On-Demand Services in Indonesia

by GDP Venture

Fast development in technology has opening a lot of new business opportunities, one of them is what people called on-demand services. Basically it is a service or good which is immediately delivered to customer once they had placed an order according their particular needs. This idea combined with recent technology has contributed in a booming collaborative consumption industry. In emerging market like Indonesia, the opportunity still wide-open.

On-demand services in Indonesia began to grow in align with the rapid growth of e-commerce business. But it had their mark when Go-Jek joins the market with their mobile app in early 2015. They offer to book motorcycle taxis-ojek through the app then considered as a problem solver for the transportation dilemma, especially in  Jakarta.

Go-Jek didn’t stop there. In a 12 months span, the company launched several new services, like Go-Food to order food from its partner, Go-Mart to shop from minimarket, and newly launch Go-Car and Go-Auto has their own mark in the market. Go-Jek alone has become first Indonesia’s unicorn by its last investment round.

The good news is on-demand services market in Indonesia is not stopped on services like what Go-Jek offered. There are startups that let users find local vendors who will fix ACs, washing machines, or even cleaning your room such as Seekmi, Tukang, Sejasa, Beres.id and AhliJasa. And harnessing a better speed of the internet, video on-demand services like iFlix, Netflix, HOOQ, and Catchplay has arise to find their own cake in Indonesia market.

Meanwhile, healthcare on-demand service sector have their own scene too even though it’s still very limited. Some of the players are PesanLab, ApotikAntar, and Go-Apotik.

Though many players began to show up, but on-demand services still in the baby phase. It is a tough market to play with because the vertical is lacking in almost every aspects, like internet infrastructure, traffic problem, or even lack of high standard in formal or informal business. We could often see many “independent contractor,” who essentially is just a guy and his buddy who said they are handymen who had no uniforms, no business cards, asked for payment upfront, disappeared for a day, asked for more money, then disappeared for another day.

But in another point of view, the opportunity is still forgeable. Indonesia today still holds a record as fourth-ranked the most populous country in the world while the internet user penetration is not even reaching half of them. So, there is still a lot of gold to dig in and chance to mark name through history. It will depend on how startup do the business and how market react to it.

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