Ä¢¹½AV

With a booming economy and a flourishing middle class, Indonesia has become an intense battleground for leading ecommerce players, including Shopee, Tokopedia, and TikTok Shop.

Indonesia tops TikTok user growth in the region. Indonesia will be the fastest-growing market worldwide for TikTok users this year. We expect TikTok’s user base to grow 11.4% YoY to 86.7 million, making Indonesia the second-biggest market for TikTok behind the US (when China is excluded). Click here to view our forecast for TikTok user growth by country.

Regional online shopping platform Shopee will account for 56.2% of retail ecommerce sales in Indonesia in 2025. Shopee’s recent partnership with YouTube, which enables shopping directly within videos, has reinforced its leadership in both traditional ecommerce and live shopping.

In 2024, retail ecommerce sales in Indonesia surged by 11.5%, reaching $84.31 billion—after a tumultuous 2023 in which growth dipped to 1.6%. The growth was driven by an enhancement in connectivity and ecommerce adoption, including livestreaming, an improved economic outlook, and shrinking inflation. Retail sales growth in Indonesia will dip slightly, from 5.0% in 2025 to 4.7% in 2028.

The brand currently has three in operation: one in Jakarta, Indonesia; one in Tinton Falls, New Jersey; and another in Austin, Texas. The rationale: Coach’s coffee shops are both an exercise in branding and a revenue stream. The brand is inescapable throughout, with logos plastered on everything from disposable cups to napkins to coffee stirrers.

India, Indonesia, Nigeria, and the Philippines are four of the largest countries in the world by population, and all four will grow their social user bases at a faster rate than the global average. That said, growth will be slow essentially everywhere besides Nigeria. TikTok crossed the 1 billion user mark last year but still trails Facebook and Instagram by huge margins.

More than half stated that ads influence purchase decisions, with Thailand (66% of respondents) and Indonesia (60%) leading. Southeast Asians were 1.6 times more likely than the worldwide average to be influenced by ads when shopping online.

Consumers were from 18 countries, namely Australia, Brazil, Chile, Colombia, France, Germany, Hong Kong, India, Indonesia, Italy, Japan, Mexico, Philippines, Singapore, Spain, Thailand, the UK, and the US.

Other markets, including Vietnam, Malaysia, Indonesia, and Pakistan, are enacting sweeping child safety laws that could challenge TikTok, Meta, and Snap.

The news: TikTok, Meta, and Snap are facing unprecedented regulatory pushback in the Asia-Pacific region as Vietnam, Malaysia, Indonesia, Pakistan, and Australia enact laws to protect children.

But exports to Association of Southeast Asian nation (ASEAN) countries more than made up for that decline, rising 20.8% YoY thanks to surging demand from countries such as Indonesia (up 37%) and Thailand (28%). Temu and Shein are shifting their ad budgets from the US to Europe in a bid to quickly gain market share before those countries also limit duty-free purchases.

Countries including Australia, Malaysia, Argentina, and Peru will see declines up to -0.9%, while Indonesia, Colombia, and Taiwan will see more modest shrinkage in active user base. These numbers signal a reversal of past expectations, when Facebook was presumed to still be expanding steadily across middle-income and mobile-first economies.