Groowe Groowe BETA / Newsroom
⏱ News is delayed by 15 minutes. Sign in for real-time access. Sign in

Opportunities in Indonesia's E-commerce Market 2026-2031: Live-stream Shopping Set to Transform Indonesia's Retail Landscape

globenewswire.com
SE Sea Ltd is mentioned as one of the companies covered in a market report on Indonesia's e-commerce. The article does not provide specific sentiment or performance data for Sea Ltd itself, but places it within a growing market context.

Dublin, Jan. 23, 2026 (GLOBE NEWSWIRE) -- The "Indonesia E-commerce - Market Share Analysis, Industry Trends & Statistics, Growth Forecasts (2026-2031)" has been added to ResearchAndMarkets.com's offering.

The Indonesia e-commerce market is poised for substantial growth, expanding from USD 90.35 billion in 2025 to USD 104.21 billion in 2026, and is projected to reach USD 212.58 billion by 2031, marking a CAGR of 15.32% from 2026 to 2031. The report covers an array of companies including Sea Ltd, PT GOTO Gojek Tokopedia Tbk, Lazada, and others, providing extensive market estimates, insights, and future forecasts.

Key drivers include the proliferation of smartphones, the rise of social commerce, and fintech-facilitated payments, which are boosting transaction frequency and average order values. Concurrently, government initiatives are hastening the onboarding of micro-, small-, and medium-sized enterprises (MSMEs), while platform consolidation is refining competitive pricing and fulfillment standards.

Surge in Live-stream Shopping on Mobile Platforms

Live-stream shopping is becoming a major trend, with 60% of online shoppers participating in live purchasing sessions, propelling video commerce to comprise 20% of online GMV by 2025. Platforms like TikTok Shop are capitalizing on their 22 million local users, transforming entertainment consumption into shopping via integrated payments. This trend is particularly resonant among Gen Z who value peer-endorsed purchases. Brands are shifting marketing efforts towards influencer collaborations and time-bound offers, while logistics providers synchronize inventory in real-time to meet delivery promises, thus minimizing return rates.

Digital Transformation in Tier-2/3 Cities through Logistics Micro-Hubs

Tier-2 and tier-3 cities are anticipated to account for 50% of the e-commerce market by 2025. Logistics firms, such as JNE Express and TIKI, are establishing container-scale hubs close to consumers, reducing last-mile delivery times and enabling next-day service beyond major islands. This movement is bolstered by government infrastructure investments worth IDR 400 trillion (USD 25.8 billion), enhancing match routes, port functionalities, and air cargo capacities. Food and beverage sectors are particularly benefitting, displaying a projected CAGR of 22.4%, while the micro-hub networks curb shipping expenses significantly.

Challenges from Fulfillment Cost Inflation

Jakarta's traffic restrictions, due to odd-even license systems and narrow freight hours, extend delivery times and inflate last-mile costs by approximately 20%. This delays urgent deliveries, negatively impacting customer satisfaction. In response, major ecommerce platforms are expanding their use of peripheral warehouses, e-bikes, and pilot bicycle courier services. However, these strategies necessitate significant investment, which could tighten margins for smaller players.

Detailed Analysis of Other Market Drivers and Segments

Key influences on the market include fintech-driven checkout solutions boosting average order value, governmental SME support programs, and cash-on-delivery preference impacting return rates. In segment analysis, the B2C market dominated with an 86.90% share in 2025, driven by a substantial internet user base. In contrast, B2B is expected to grow robustly at an annual rate of 18.74%, fueled by digital procurement transformation among MSMEs.

Device Usage and Future Outlook

Smartphones dominated with a 69.40% market share in 2025 and are projected to sustain growth at 18.38% CAGR, driven by widespread 5G adoption and high smartphone penetration. Mobile commerce is set to exceed USD 155.6 billion by 2030. Despite gradual decreases, desktops remain relevant for high-value business transactions. Emerging technologies like voice-assistant and smart-TV commerce are gaining traction as broadband access improves, while feature-phone users in rural areas use agent-assisted models.

Key Topics Covered:

A selection of companies mentioned in this report includes, but is not limited to:

For more information about this report visit https://www.researchandmarkets.com/r/qdp9dq

About ResearchAndMarkets.com

ResearchAndMarkets.com is the world's leading source for international market research reports and market data. We provide you with the latest data on international and regional markets, key industries, the top companies, new products and the latest trends.