Bukalapak: Expanding customer offerings in E-Commerce
Indonesia is one of Asia’s foremost mobile-first nations with 70% of their internet traffic coming from mobile devices. Estimated at $40 billion in 2019, Indonesia’s Internet economy has more than quadrupled in size since 2015 at an average growth rate of 49% a year. As the largest and fastest growing Internet economy in the region, Indonesia is well on track to cross the $130 billion mark by 2025.
However, a roadblock that eCommerce in Indonesia faces is the security of online payments and eCommerce delivery reliability. A report by JP Morgan in 2019 found that Indonesia still has significant rates of online eCommerce fraud. With the booming eCommerce scene in Indonesia, there is an increasing gap due to the inherent risks associated with the eCommerce market – damage and loss during transit.
Bukalapak teamed up with Igloo to offer six different protection policies to merchants and consumers on its platform:
- Digital Goods
- Goods Protection
- Returns Insurance
- FLEXAS protection (Fire, Lightning, Explosion, Impact of Aircraft)
Google, Temasek, and Bain & Company 2019. ‘e-Conomy SEA 2019′
Indonesia-Investments.com, May 2016. ‘Online Scams in Indonesia: 26% of Consumers Become Victim of Fraud.’