Feb 5, 2020   SOURCE: PR NewsWire

The Payments Industry in Indonesia, Forecast to 2025 - eWallets Growth is Rapid but Cash Will Still be King for Now

DUBLIN, Feb. 5, 2020 /PRNewswire/ -- The "The Opportunities and Challenges of the Payments Industry in Indonesia, Forecast to 2025" report has been added to ResearchAndMarkets.com's offering.

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This study briefly analyses growth opportunities in the payments industry, such as within the online payments industry and with regards to cross-border payments. With the advancement in technology, such as with omni-channel marketing and with the ISO20022 standard, the market will have the capability to provide more innovative solutions to address the challenges and be better able to meet the demands within the market segments.

The growing number of people of working-age, greater financial inclusion, increasing literacy levels, and growing internet penetration present a significant opportunity for the payments industry in Indonesia.

The industry has recorded positive growth in terms of transaction value from US$ 333 billion in 2013 to an estimated US$ 563 billion in 2019. Growth is especially rapid in the mobile payments segment, where the transaction value recorded until September 2019 has already more than doubled compared to the transaction value recorded in 2018. Within ASEAN members states, Indonesia accounted for more than 40% of the population in the region and a third of the region's annual GDP.

However, Indonesia's mobile payments industry only accounted for 27.6% of the total mobile payments transaction value in the region. This represents a gap and a potential market opportunity that the local regulator together with industry players are actively working to address. As is, the payments industry in Indonesia is still very fragmented.

Although growth prospects for the payments industry in Indonesia are positive, the industry still needs to address various challenges.

A majority of the population in Indonesia is still heavily reliant on cash in their daily activities. Many are hesitant to begin using digital payments due to security concerns. Moreover, the country's large population and geographical spread presents a challenge to building an integrated digital payments ecosystem and infrastructure. Initiatives are being taken by the local regulators and industry players to address these challenges.

Newly minted regulations places emphasis on the interoperability and security of digital payments, thus increasing user convenience and trust. Meanwhile, market players are offering incentives for users to use their payments platforms, thus encouraging users to reduce their dependence on cash. Market players are starting to think about strategies to drive adoption beyond major cities and focus on rural areas as well.

Companies mentioned in this study include, but are not limited to: 2C2P, Alto, American Express, ATM Bersama, Bank Bukopin, BCA, BNI, BRI, CIMB Niaga, Citi, DANA, Dooet, Doku, Espay, Faspay, GoMobile, Go-Pay, indoPay, iPaymu, iSaku, Jenius, Link, LinkAja, Mastercard, NicePay, OVO, Panin Bank, Paytren, Permata Bank, Prima, Sakuku, Standard Chartered, UnionPay, and VISA.

Countries covered in ASEAN mobile payments market include: Indonesia, Malaysia, Philippines, Singapore, Thailand, and Vietnam.

Key Issues Addressed

    --  What are the trends in the payments industry in Indonesia?
    --  Who are the key market players and what are their product/service
        offerings?
    --  What are the key updates on government regulations and standards for the
        payments industry in Indonesia?
    --  What are the growth opportunities for the payments industry in
        Indonesia?
    --  What are the key challenges for the payments industry in Indonesia?

Key Topics Covered

1. Executive Summary

2. Market Overview - Total Payments Market

    --  Market Definitions
    --  Key Questions this Study Will Answer

3. Forecast and Market Trends - Total Payments Market

    --  Forecast Assumptions
    --  Transaction Value by Payments Instruments Forecast
    --  Transaction Value by Payments Instruments Forecast Discussion
    --  Active Mobile Payments Customers and Transaction Value Forecast
    --  Active Mobile Payments Customers and Transaction Value Forecast
        Discussion
    --  Mobile Payments Transaction Value Forecast among ASEAN Member States
    --  Mobile Payments Transaction Value Forecast in ASEAN Member States -
        Discussion

4. Indonesia Payments Market Analysis

    --  Indonesia Payments Market - Overview
    --  Indonesia Payments Market - Key Participants
    --  Indonesia Payments Market - Drivers
    --  Indonesia Payments Market - Drivers Explained
    --  Indonesia Payments Market - Restraints
    --  Indonesia Payments Market - Restraints Explained
    --  Indonesia Payments Market - Analysis

5. Indonesia Mobile Payments Market Analysis

    --  Indonesia Mobile Payments Market - Overview
    --  Indonesia Mobile Payments Market - Key Participants
    --  Indonesia Mobile Payments Market - Drivers
    --  Indonesia Mobile Payments Market - Drivers Explained
    --  Indonesia Mobile Payments Market - Restraints
    --  Indonesia Mobile Payments Market - Restraints Explained
    --  Indonesia Mobile Payments Market - Analysis

6. Mobile Payments Market Analysis on a Regional Level

    --  Mobile Payments on a Regional Level

7. Payment Methods within the Internet Economy

    --  Payment Methods within the Internet Economy

8. Growth Opportunities and Companies to Action

    --  Growth Opportunity 1 - Push Towards a Cashless Society
    --  Growth Opportunity 2 - The Internet Economy
    --  Growth Opportunity 3 - Cross-border Payments
    --  Strategic Imperatives for Success and Growth

9. The Last Word

    --  Conclusions and Recommendations
    --  The Last Word - 3 Big Predictions

For more information about this report visit https://www.researchandmarkets.com/r/up5e12

Research and Markets also offers Custom Research services providing focused, comprehensive and tailored research.


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