Lazada Proposes Three Major Challenges In The Indonesia E-commerce Industry
Jayson 10 Nov 2023 12:17
Stefan Winata, head of seller development and sales operations at Lazada Indonesia, said that while the country's e-commerce industry is expected to continue to grow in the future, his team believes three challenges must be faced at this time.
"When we engage and talk to sellers, our sellers encounter many obstacles and we see many challenges in e-commerce today," he said at a media conference yesterday.
First, Lazada sees a need for talent in the digital economy. He believes that under such circumstances, the readiness of Indonesian digital economy talents is unevenly distributed and there is an imbalance between supply and demand.
Secondly, digital literacy. He believes that the public's understanding of e-commerce is unevenly distributed and is an important obstacle to fully realizing the potential of the digital economy.
Finally, rapid changes in buyer behavior are also a challenge for local brands and MSMEs. Therefore, he believes that continuous innovation is needed to overcome the increasingly fierce competition.
"Therefore, to be able to compete in the open market, sellers must develop strategies that are in line with the changing behavior of buyers. Therefore, be sure to attract them through fashion products, daily necessities products, and promotions," he explains.
It is understood that the gross merchandise value (GMV) of Indonesian e-commerce is expected to reach US$62 billion by 2023, according to a report by Google, Temasek, and Bain & Company.
This number is expected to grow to $82 billion by 2025, growing at a compound annual growth rate (CAGR) of 17%. Compared with other digital industries, e-commerce GMV will be the largest in 2023, accounting for 75.6% of the total GMV of the digital economy.
"When we engage and talk to sellers, our sellers encounter many obstacles and we see many challenges in e-commerce today," he said at a media conference yesterday.
First, Lazada sees a need for talent in the digital economy. He believes that under such circumstances, the readiness of Indonesian digital economy talents is unevenly distributed and there is an imbalance between supply and demand.
Secondly, digital literacy. He believes that the public's understanding of e-commerce is unevenly distributed and is an important obstacle to fully realizing the potential of the digital economy.
Finally, rapid changes in buyer behavior are also a challenge for local brands and MSMEs. Therefore, he believes that continuous innovation is needed to overcome the increasingly fierce competition.
"Therefore, to be able to compete in the open market, sellers must develop strategies that are in line with the changing behavior of buyers. Therefore, be sure to attract them through fashion products, daily necessities products, and promotions," he explains.
It is understood that the gross merchandise value (GMV) of Indonesian e-commerce is expected to reach US$62 billion by 2023, according to a report by Google, Temasek, and Bain & Company.
This number is expected to grow to $82 billion by 2025, growing at a compound annual growth rate (CAGR) of 17%. Compared with other digital industries, e-commerce GMV will be the largest in 2023, accounting for 75.6% of the total GMV of the digital economy.
