Some thoughts and analysis on Indonesia Internet Users in 2013, Penetration, segmentation, spending habits of the netizens.
Note: This document was presented at Jakarta Marketeers Club Dinner Seminar in October 2013 and published for Marketeers Magazine November 2013 Issue "What's Wrong with Michael Porter" which got a gold medal at Indonesia Print Media Award (IPMA) 2014.
MarkPlus on Indonesia Internet Users 2013 - Marketeers Nov 2013 edition
2. 45%
22%
11%
10%
7%
4%
1%
Asia
Europe
North America
Latin America/ Carribian
Africa
Middle East
Oceania/Australia
Source: http://www.internetworldstats.com/stats.htm, ITU World Telecommunication /ICT Indicators database
In 2013, over 2.7 billion people are using the Internet, which
corresponds to 39% of the world’s population
Internet User (%)
Base:World Population
3. 538.0
137.0
101.2
74.5
40.3 33.6 31.0 29.1 20.1 17.7
40.1
11.4
79.5
30.1
82.5
32.4 33.9
15.3
30.0
60.7
0.0
10.0
20.0
30.0
40.0
50.0
60.0
70.0
80.0
90.0
100.0
-50.0
50.0
150.0
250.0
350.0
450.0
550.0
internet users (mio) internet penetration (%)
Source: http://www.internetworldstats.com/stats.htm, ITU World Telecommunication /ICT Indicators Database, MarkPlus Insight Analysis
In the developing world, 31% of the population is online, compared
with 77% in the developed world
Internet User (mio)
Base:World Population
4. 74
29
37
80
33
41
developed country (%) developing country (%) world (%)
Women
Men
Globally, 37% of all women are online, compared with 41% of all
men; it corresponds to 1.3 billion women and 1.5 billion men
Source: ITU World Telecommunication /ICT Indicators Database
Internet User (mio)
Base:World Population
5. 42.2
55.2
61.1
74.6
2010 2011 2012 2013In million 2010 2011 2012 2013
Urban Population 121.16 123.24 123.57 133.73
Urban Internet User 37.56 50.53 56.38 62.19
Internet User 42.16 55.23 61.08 74.57
Internet Penetration (Mio)
Base: Indonesia Population
The number of Internet users grow significantly from 2010 to 2013; it
has been grew by 13.5 million in 2013
Source: MarkPlus Insight, published on Marketeers Magazine Nov 2013 edition
6. 42.2
55.2
61.1
74.6
8.0
13.8
24.2
31.7
18.98
24.99
39.62
42.49
2010 2011 2012 2013
Internet Users Netizen (Access more than three hours per day) Netizen proportion (%)
Netizen Penetration (Mio)
Base: Indonesia Population
The number of internet users in 2013 grew by 22% but the netizen
penetration growth is only 3% y-o-y
%
%
%
%
Source: MarkPlus Insight, published on Marketeers Magazine Nov 2013 edition
7. 233.48 236.33 239.14 242.02 244.81 247.57 250.34 253.09 255.79
43.37
52.20
62.84
74.57
91.04
109.59
131.91
158.79
191.13
8.00 13.80
24.20
31.69
39.79
47.94
56.08
64.23
72.38
2010 2011 2012 2013 2014* 2015* 2016* 2017* 2018*
Citizen of Indonesia (mio) Indonesia Internet User (mio) Indonesia Netizen (mio)
In 2013, 6 new internet users were born every a baby birth
*) Projection
Indonesia Population vs Internet User (mio)
Base: Indonesia Population
Source: MarkPlus Insight, published on Marketeers Magazine Nov 2013 edition
8. 1
2
3
To explore Netizen online habits and behaviors
To determine Netizen purchase behavior
To determine Netizen anxiety and desire
4 To understand Netizen media habits
This research is aimed to get insightful information for marketers to
formulate an appropriate strategy to approach Netizen sub-culture
Source: MarkPlus Insight, published on Marketeers Magazine Nov 2013 edition
9. AREA RESPONDENTS
Jakarta 500
Bandung 200
Semarang 150
Surabaya 300
Medan 250
Makassar 150
Palembang 150
Denpasar 150
Pekanbaru 150
Banjarmasin 150
Total 2150
*)Margin of error 2,11%
Quantitative Phase
Face to Face Interview
Multi Stage Random Sampling
• SEC A/B/C
• Age 15 – 64 years old
• Internet and/ or mobile internet users
• Use internet for at least 3 hours a day
• Not working or having family whose work at
market research company, advertising agency,
and mass media.
Respondent Criteria
This survey was conducted by quantitative and qualitative research
approach
Qualitative Phase
Focus Group Discussion
• Digital Immigrant (1 group)
• Digital Native (1 group)
Source: MarkPlus Insight, published on Marketeers Magazine Nov 2013 edition
10. Gender (%)
Base: All Respondents (n=2150)
49.9
50.1
Male Female
51.2
50.0
50.7
49.7
50.0
50.0
52.7
50.0
50.0
44.7
48.8
50.0
49.3
50.3
50.0
50.0
47.3
50.0
50.0
55.3
Jakarta (n=500)
Bandung (n=200)
Semarang (n=150)
Surabaya (n=300)
Medan (n=250)
Palembang (n=150)
Pekanbaru (n=150)
Denpasar(n=150)
Banjarmasin (n=150)
Makassar (n=150)
Gender (%)
Base: All who live in particular city
The gender composition is balanced for all cities
Source: MarkPlus Insight, published on Marketeers Magazine Nov 2013 edition
11. 27.7
20.9
16.8
17.9
10.7
6.0
15 – 22 y.o 23 – 30 y.o
31 – 35 y.o 36 – 45 y.o
46 – 55 y.o 56 – 64 y.o
Age (%)
Base: All Respondents (n=2150)
17.9
21.7
23.6
23.0
13.8
A1 (More than Rp. 4.500.000)
A2 (Rp. 3.000.001 - Rp. 4.500.000)
B (Rp. 2.000.001 - Rp. 3.000.000)
C1 (Rp. 1.500.001 - Rp. 2.000.000)
C2 (Rp. 1.000.001 - Rp. 1.500.000)
Monthly Household Expenditure (%)
Base: All Respondents (n=2150)
The respondents comes from SEC A – C; and mostly from younger
segment (below 45 y.o)
Source: MarkPlus Insight, published on Marketeers Magazine Nov 2013 edition
12. Single
45.5
Married and
Have Kids
46.1
Married and
have no kid
yet
7.2
Marital Status (%)
Base: All Respondents (n=2150)
Most of respondents are married and have kids
Source: MarkPlus Insight, published on Marketeers Magazine Nov 2013 edition
13. Key Findings
• 5 Netizen Species
• Spending behavior
• Online behavior
• Social media
• Anxieties & Desires
• Media Habit
• Netizen Favorite Brand
14. 5 Species of Indonesian Netizens
32,6%
45,1% 5,1% 11,5%
5,5%
Those who has actively
write an article, have a
blog, upload video,
social media buzzer,
can’t be separated from
the internet
Those passive users who
only read other’s status
or post in social media
but never comment or
share their own life
Those who loves to
search and collect news
for their own shake but
don’t have any intention
to share – research
online, purchase offline
Those who love to chat
by instant messaging
Those who are actively posting
in social media, commenting
other’s status or posts, criticize
other’s idea
Source: MarkPlus Insight, published on Marketeers Magazine Nov 2013 edition
17. Currator CatalystCrawler Chatter Commentator
Content
Segmentation
Reading online
news on website
“I rarely read
newspaper. I’d
rather search news
in detik.com”
{ Male, worker,
digital immigrant }
Reading status on
social media
“I frequently
reading my friend’s
Facebook comment
or status silently”
{ Male, worker,
digital immigrant }
Collecting
Information
“My friend status
always spot where
she found a good
place to eat and I
always noted down
her location.”
{ Female, worker,
digital native}
Get connected -
chatting
“We’re using chat
messenger (as the
main way) to
communicate with
friend/family.”
{ Most respondents}
Make a call using
Skype
“I am using Skype
regulary to stay in
touch with my
friend in England (1
am in a morning).”
{ Female, worker,
digital native}
Post a comment
“I state my
perspective with
posting a comment
on one of Kaskus
thread”
{ Male, high school
student, digital
native }
Buy toys on Ebay
“Recently, i’ve bought
McD minion toys on
eBay because I’m too
lazy to search in McD
outlet.”
{ Male, first jobber
digital native }
Sharing, sharing,
sharing
“Tweet our thought,
sharing photos of
our food pr activity,
sharing music that
we listened to or
recommend good
place to eat.”
{ Most respondents}
I tweet therefore
I am
“I speak my mind
through online. I tweet
a lot and has so many
reply. Sometimes I also
create my own meme
jokes on Path”
{ Male, first jobber
digital native }
Amplify the
enthusiasm
“I love to collect people
writing about illuminati
on Kaskus, which I am
is an illuminati
enthusiast.”
{Male, high school
student, digital native}
Digital natives crowds catalyst segment for their role as content
generator and also a creative content creator
Aware ShareAppeal Ask Act
Source: MarkPlus Insight, published on Marketeers Magazine Nov 2013 edition
18. Key Findings
• 5 Netizen Species
• Spending behavior
• Online behavior
• Social media
• Anxieties & Desires
• Media Habit
• Netizen Favorite Brand
19. 7.9
9.3
12.0
15.7
16.8
18.3
36.7
40.0
60.9
61.0
63.3
69.3
Insurance
Ciggarete
Health care
Shopping
Save money for zakat
Education cost
Body care
Savings
Transportation
Telephone communication
Daily food & beverages
Internet
Planned Expenses (%)
Base: All respondents (n=2150)
0.6
0.6
0.8
1.4
3.3
9.2
18.1
18.6
26.1
29.3
31.3
32.7
33.6
38.2
59.4
Credit card payment
mortgage payment
Insurance
Debt payment
Education cost
Cigarette
Health care
Save money for zakat
Body care
Internet
Transportation
Daily food & beverages
Telephone communication
Entertainment
Shopping
Impulsive Expenses (%)
Base: All respondents (n=2150)
Internet is on the top list of planned expenses of 69.3 % respondents
Source: MarkPlus Insight, published on Marketeers Magazine Nov 2013 edition
20. Do You Shop Online? (%)
Base: Respondents (n=2148)
20.3
79.7
Yes No
The number of netizen who shop online increased by 5%
compared to last year
Source: MarkPlus Insight, published on Marketeers Magazine Nov 2013 edition
21. 3.7
4.2
7.6
8.3
9.3
12.1
12.4
17.0
56.4
79.2
Bus/train ticket
Glasses
Handphone accessories
Watch
Handphone
Book
Cinema ticket
Bags
Shoes
Apparel
Offline Shopping
Base: All respondent (n=2105)
1.8
2.3
2.8
3.0
5.1
5.1
7.6
20.0
20.2
67.1
Book
Cosmetic
Handphone accessories
Car accessories
Handphone
Airline ticket
Watch
Bags
Shoes
Apparel
Online Shopping
Base: Respondent ever bought online product (n=435)
Netizen are starting to buy primary items from the internet
Source: MarkPlus Insight, published on Marketeers Magazine Nov 2013 edition
22. Messenger group
27.0%
Online forum for
shopping
26.6%
Social media
26.4%
Online shop
20.0%
Online Shopping Channel (%)
Base: respondents who shop online (n=434)
Most of respondents choose to do online shopping on
messenger group and social media
Source: MarkPlus Insight, published on Marketeers Magazine Nov 2013 edition
23. Account transfer is the most widely used payment method for
online shopping
Payment Methods of Online Shopping (%)
Base: All respondents who bought a product/service through internet (n=435)
0.5
0.5
0.9
2.5
27.1
80.7
PayPal
KasPay
Rekening bersama (Rekber)
Credit card
Cash on Delivery (COD)
Account transfer
Source: MarkPlus Insight, published on Marketeers Magazine Nov 2013 edition
24. Key Findings
• 5 Netizen Species
• Spending behavior
• Online behavior
• Social media
• Anxieties & Desires
• Media Habit
• Netizen Favorite Brand
25. #1 SPENDING ON INTERNET SERVICE
Feel uneasy without internet
#1 CONTACT PEOPLE BY CHAT
MESSENGER
Use chat messenger first (not
SMS), make a phone call later
MODEM
UNLIMITED
INTERNET
PACKAGE
WHATSAPPLINE KAKAO TALK
Smartphone appealing so much not only for youngster; Netizen
firmly embrace hi-tech devices for supporting their online activities
#1 PROVIDER CONSIDERATION:
INTERNET CONNECTION SPEED
Most activty rely on internet connection
COVERAGE
AREA
INTERNET
CONNECTION
SPEED
SIGNAL
STRENGTH
Source: MarkPlus Insight, published on Marketeers Magazine Nov 2013 edition
26. Used Gadget To Access Internet (%)
Base: All Respondent (n=2150)
86.0
42.3
15.2
10.6
Smartphone Own laptop laptop/pc at the office laptop/pc at home
Smartphone is the most widely used gadget to access internet for
both men and women
Source: MarkPlus Insight, published on Marketeers Magazine Nov 2013 edition
27. Average Monthly Spending For Internet Access Through
Smartphone/Tablet (%)
Base: All accessed internet through smartphone/tablet (n=1831)
75.544
111.386
85,435
95,648 92,118
86,807 90,140
85,818
97,184
74,743
91,808
78,924
62,581
80,290 81,620
61,960
67,384
82,191
76,579
72,618
0
50,000
100,000
150,000
Jakarta Denpasar Makassar Palembang Bandung Semarang Medan Surabaya Pekanbaru Banjarmasin
2012 (n=1831) 2013 (n=1374)
The average Netizen spending tends to be higher in particular cities
compared to 2012
Source: MarkPlus Insight, published on Marketeers Magazine Nov 2013 edition
28. Only 11.5 % of respondents has purchased goods, most of them
come from younger age
11.5
88.5
yes no
Have You Ever Bought A Product Because Of Online Ads? (%)
Base: All respondents (n=2505)
Source: MarkPlus Insight, published on Marketeers Magazine Nov 2013 edition