CONSUMERS in Indonesia are very willing to spend money on technology and electronics, a survey from consumer research firm YouGov has found.
Noting that “enthusiasm for technology is so high that they account for a plurality of all consumers”, it dubbed 31 per cent of Indonesian consumers “early adopters” of tech. That’s head and shoulders above the overall figure of 18 per cent worldwide.
About seven in 10 of these early adopters are aged between 18 and 34 years old, while more than six in 10 are male.
They also have more disposable income than the rest of the online population: More one-quarter can afford to drop 2.5 million rupiah (US$176) to 7.5 million rupiah a month.
In fact, these early adopters were also more likely to buy a new smartphone in the next six months, with 36 per cent saying they would do so, against 25 per cent overall.
The YouGov report added: “With 267 million people and a receptive consumer audience, Indonesia may present real opportunities for businesses looking to target large, addressable markets in South-east Asia.”
Separately, former managing director of Saratoga Investama Sedaya Sandiaga Uno recently told UOB Kay Hian that electric cars are set for growth in Indonesia.
“For clean energy, electric cars are in the stage of infancy in Indonesia with less than 10 units of electric cars so far and a single public charging station,” UOB Kay Hian analysts wrote in a note after a call with Mr Uno.
“However, we expect the government could give incentives to electric cars in Indonesia that could increase sales volume of electric vehicles.”
The report was also positive on banks with strong digital platforms, on the back of a strong rise in financial technology (fintech) lending in September, saying: “We can conclude fintech funding has sizeable room to grow in and outside of Java.”
Meanwhile, the recently-signed Regional Comprehensive Economic Partnership 15-member trade deal could RCEP could benefit the digital sector and attract investments for Indonesia, the UOB Kay Hian analysts also said.