Bukalapak

Social
Impact2020
#GrowTogether to Create
a Fair Economy for All

Bukalapak Social Impact Report - 2020

Bukalapak for a Fair Economy for All
Bukalapak has come a long way since it was founded by Achmad Zaky, During the Covid-19 Pandemic, the vast reach of Mitra Bukalapak was
Fajrin Rasyid, and Nugroho Herucahyono in a dorm 11 years ago. Our mission proven to be instrumental in assisting government, NGOs and other
is to help everyone get access to capital, technology and infrastructure institutions in distribution of relief packages. Our continuous innovation
required to trade and transforming MSMEs through technology. We which now covers over 42 virtual products and an online investment
believe that we can tackle the core challenges that hinders MSMEs from platform helps to accelerate economic inclusion in Indonesia. We want
growing and thereby lead to a better economy for Indonesia. The spirit, to create a digital ecosystem for MSMEs to help us achieve our mission
values, and impact that the founders wanted to bring was my main reason statement, which is to create a fair economy for all.
to join the company.
Through this report, we tell the stories of our
Started as a marketplace platform, we have grown into a Indonesian all journey during 2020, and at the same time
commerce platform that serves both the online and offl ine market, with showcase how our products and features
more than 100 million users, 13.5 millions MSMEs partners that utilize provide direct impacts to the wider public.
our platform and technology for commercial activities. To ensure that no
MSMEs are left behind, in 2016, we started to provide solutions to cater
offline market needs covering warungs, traditional kiosks and individual Rachmat Kaimuddin
agents, enabling them to sell beyond FMCG goods. Now, we have 7 million
Mitra Bukalapak in more than 500 cities and regencies across Indonesia. CEO Bukalapak
Through Mitra Bukalapak, Mitras can sell source FMCG and various
physical goods and also offer virtual products as well as basic financial
services to even the 50% of Indonesians who are unbanked. In addition
to offering various services such as remittance, bill and tax payments
and micro investments, our Mitras also serve as efficient distribution
chain of national food aid program and various other social services.
Contents
7
Social:
Business Resilience 21
Product & Innovation:
Increase digital and 32 Economic:
Accelerate & provide
during pandemic financial literacy in better access for SMEs
Supporting Indonesian economy
Indonesia through improved
8 amidst the pandemic infrastructure
22 Building an ecosystem for better
economic inclusion
Continue to increase penetration of
11 technology to SMEs and society
29 Innovation in logistics products
Supporting talent to build a
15 stronger workforce

16 Working with relevant stakeholders

to overcome challenges
Executive Summary
Social: Business Resilience during pandemic
The Covid-19 pandemic significantly impacted the global economy, and Collaborative action has been taken with several stakeholders such as,
Indonesia is no exception. The social distancing policy that aims to curb government, private institutions and NGOs to overcome the economic
the spread of the virus changes the way people perform commercial challenges that have arisen as a consequence of the pandemic.
activities. People are more likely to stay at home and carry out their daily
activities near their home.

This change in consumer behaviour creates a new and bigger opportunity

for the digital economy. The pandemic accelerates Indonesia’s digital
penetration, including outside tier 1 cities and in rural areas where more
than 85% of Indonesians reside. As a homegrown all-commerce company
in Indonesia, Bukalapak has proven the resiliency of its business model,
which covers both online and offiine segments. It is a solution for MSMEs,
particularly during the pandemic.

Bukalapak has spurred the growth of its MSMEs partners and boosted
their financial performance while simultaneously creating tools to enable
online and offline merchants to sell both in Bukalapak’s marketplace as
well as Mitra Bukalapak platform. These tools empowers MSMEs
with better technology than even modern retail chains and enables the
traditional stores to grow their business.
Executive Summary
Product & Innovation: Increase digital and
financial literacy in Indonesia
As an all-commerce player serving online and offiine MSMEs, Bukalapak Bukalapak also created new virtual products, which were launched
is improving its products and services to build a strong ecosystem that to mitras, increasing the variety of the products they sell. This
creates values for Indonesian MSMEs. The Marketplace services enables increased the penetration of technology, making their business and
MSMEs to carry out commercial activity without being constrained by their society more digitally and financially inclusive.
capital or logistics. Bukalapak’s innovations in logistic and
investment solutions has enabled users to make the
most of technology, Economic: Accelerate & provide better access
making their for MSMEs through improved infrastructure
lives better.
Through the wider ecosystem that Bukalapak is building, it can help
partners and users to tackle their commercial challenges, creating
value for them. Bukalapak brings technology to offiine retailers and
innovations to MSMEs in general, to create a fair economy for all.
Business Resilience
During Pandemic
Bukalapak Social Impact Report 2020

Of total enterprises in
Indonesia are
Building the Economy categorized as MSMEs

through MSMEs
MSMEs are major contributors to Indonesia’s economic growth, and
play an essential role in economic inclusion. From creating jobs to Number of employment
million **

facilitating economic growth, Indonesian MSMEs account for 99% of

total enterprises in Indonesia, and responsible for more than 120
that absorbed by
million of employment. MSMEs in Indonesia still face many challenges, MSMEs
especially in technology adoption or digitization of their business. We
believe that MSMEs define the future of Indonesia and thus, our focus ***
to empower, develop and transform MSMEs will directly contribute
the future of our country.
Of total MSMEs that
use technology in their
business

*Fajar BIlly Sandi, 2020, pajak-online.com

** Ministry of Cooperatives and MSMEs Republic of Indonesia, 2018, depkop.go.id
*** Statistics Indonesia, bps.go.id

Social: Business Resilience During Pandemic 8

Bukalapak Social Impact Report 2020

COVID-19 Pandemic:
4 million new MSMEs join
Bukalapak to thrive during a
challenging period
When COVID-19 struck, MSMEs across Indonesia faced huge In total, there are
challenges. However, we turned these challenges into opportunities 6,5 million Pelapak & 7 million Mitra Bukalapak
for MSMEs. As the pandemic restricts and limits movements, we
all across Indonesia with
empower MSMEs with capability to offer various services, from
selling groceries and basic needs to offering remittance, bill more than 100 million users.
payment and various other financial services and virtual products.
As such, we enable general population to obtain these services During Covid 19, we launched several new initiatives across Financing,
from their local mom and pop stores (our Mitras), located near their Payment, Virtual Product and other Financial Services to support the
home. In turn, these MSMEs enjoy business growth and enhance growth of Pelapak and Mitra Bukalapak.
their revenues and incomes.

4 Million
New additional pelapak and Mitra Bukalapak in 2020

Social: Business Resilience During Pandemic 9

Bukalapak Social Impact Report 2020

“During the pandemic, selling virtual

product really helps me to get the
additional income. Phone bills and
Laku Pandai (remittance service)
become the product with the highest
demand.”
— Amat, Warung Owner
in Kemanggisan, Jakarta.

Social: Business Resilience During Pandemic 10

Bukalapak Social Impact Report 2020

Mitra Bukalapak has a mission to empower Mitras to

unlock higher growth potential and enhance their
competitiveness. With Mitra Bukalapak, anyone can sell
and create new income streams
Access to a wider Helping with
range of physical supply chain and
products SKUs sourcing needs

Financial inclusion
Access to
2017 solutions, e.g. 2020
financial products

3,000 ~7m
working capital
to expand their
financing and
offerings
e-money platform
Mitras Mitras

Social: Business Resilience During Pandemic 11

Bukalapak Social Impact Report 2020
Easy Access
Quick order anytime
anywhere without
minimum order
1 Stop Shopping
Both groceries (FMCG,
cigarettes, etc), financial
& virtual products
(pulsa, listrik, BPJS, etc)
Social: Business Resilience During Pandemic
How do we help our Mitra?
Digitalized & upgraded mitra
Instant Delivery Paylater Creative Promo Upgraded Look
Fast delivery Paylater for Mitra’s Attractive promotion for Modern look with
up to 1x24 hours working capital outlets & their shoppers better lay out
Smart Logistic Time Saving Space Rental
Traffic Generator
Integrated technology Save time for Additional revenue for
Outlets are connected
from app, warehouse, restocking to space / branding rent
to 100 Million of
to outlets wholesale Bukalapak users
12
Bukalapak Social Impact Report 2020
We Continue to Help MSMEs Go Online and Reach Out
to More than 100 Million of Consumers
Online Seller Enablement
We empower sellers to do more, to sell
more and to engage more with their
customers through our online and online
to offline platform. Our data analytics
assist online merchants to craft a more
targeted strategy, enabling for higher
conversion and therefore sales. Online
sellers are also benefitted through our
vast Mitras network that typically
purchases in bulk and higher volume.
Social: Business Resilience During Pandemic
Connecting SME distributors to Accelerate Financial Inclusion
our Mitras, and help them to be through Virtual Products
digitized through our Mitra
We currently offer 42 different virtual
Bukalapak apps products and financial services, from
donation to travel tickets. Our B2B2C
Mitra Bukalapak is expanding the supply of
approach converts cash to digital payments
wholesale products to 28 provinces in
allowing for higher inclusion.
Indonesia by collaborating with more than
300 local distributors. The number of local
In 2020, we continued to innovate through
distributors has increased 15x since Jan
the launch of QRIS (uniform QR code) -
2020. Our single layer distribution
payment with QRIS at Bukalapak Mitra
structure offers Mitras with better pricing
increased by over 50%, directly
and faster delivery, enhancing Mitras’
participating in the enhancement of
profitability.
Indonesia’s financial inclusion.
13
Bukalapak Social Impact Report 2020

Our Focus on Non-Tier 1 cities, especially on the underserved segment

shows our commitment to accelerate economic inclusion

37% 56%
Tier 1 vs. Non-Tier 1 * **

The growth of internet Of new internet users come

users in Indonesia from non-metro region
Tier 1 during the pandemic

Less than 15% of the population lives in Tier 1 cities like Jakarta,
Surabaya, Bandung, Medan and Semarang with the rest spread across

Non-Tier 1 more than 17 thousand islands. In cities like Jakarta, consumers have
access to malls/ offline retailers where a wide range of products are
available. These tier 1 cities also have higher financial inclusion, enabling
easy access to e-commerce. We took our focus to outside tier 1 cities as
these are the area where our services and solutions are required.
Outside these tier 1 cities, goods selections are limited and offering of
Total TPV virtual products and financial services are scarce. Over 70% of our
businesses are generated from outside tier 1 cities of Indonesia. Our
services seek to provide a fair economy to those that need it most,
Source:
namely those that reside outside tier 1 cities of Indonesia.
*Google, Temasek, Bain & Company, e-conomy SEA Report, 2020.

Social: Business Resilience During Pandemic 14

Bukalapak Social Impact Report 2020

Supporting our
employees to
build a stronger
workforce
To become a strong and sustainable company We create a hybrid working We provide an Employee Talent development is
that creates impact, we want to provide the arrangement, with remote Assistance Program, especially crucial during
right environment for our employees to grow. working for everyone, with where our employees these challenging times.
The Covid-19 pandemic created challenges for access to the office (with can consult with a We have created a
our talent management. We responded by safety measures), when professional psychologist comprehensive online
creating an improved and healthy working needed. to address any emotional learning program where
arrangement to support our employees: challenges that may arise our employees can access
due to restrictions and enroll based on their
imposed during this learning aspirations.
pandemic period.

Social: Business Resilience During Pandemic 15

Bukalapak Social Impact Report 2020

Leveraging our vast offline

mitra network to address the
COVID-19 pandemic
One of the major challenges for the government is
to access the remote areas of Indonesia efficiently.
Even the banking system in Indonesia has less than 500k
branches and ATMs. The Indonesian government has
recognized the significance of our 7 million offline Mitras.
Mitra Bukalapak become the designated physical
locations for social services during the pandemic period.
Our Mitras play instrumental role and have been part of
an efficient distribution chain of the national food aid
program.

Social: Business Resilience During Pandemic 16

Bukalapak Social Impact Report 2020

Enabling millions of
jobless Indonesians to
acquire new skills and
opportunity to become
MSMEs entrepreneurs
One of the consequences of the Covid-19 pandemic
was the lost of jobs by millions of Indonesian
workers. Kartu Prakerja is a flagship government
program enabling Indonesians to upgrade their
skills and learn new competencies by leveraging on
technology. Bukalapak was selected as one of the
seven digital platforms to distributed the program.

Through users can access

this feature,
200+ online courses approved by the
government. Since its launch, we
have served more than 1 million
users nationwide, providing our users with
the opportunity to become MSME entrepreneurs.

Social: Business Resilience During Pandemic 17

Bukalapak Social Impact Report 2020

Leveraging our B2B procurement platform, Buka

Pengadaan to address COVID-19 challenges
Working together with multiple stakeholders, our B2B procurement business, Buka Pengadaan
helped thousands of people that were impacted by the Covid-19 pandemic, including:

We collaborated with We were appointed as a

We helped Kadin to Mitra Operator for the siBela
hospitals, and B2B customers
distribute 50 thousand (procurement platform)
to distribute Personal
relief packages to those launched by the Indonesian
Protective Equipments (PPEs)
that need them President Bpk. Joko Widodo
all over Indonesia

Social: Business Resilience During Pandemic 18

Bukalapak Social Impact Report 2020

Paying taxes made easy

We partner with Indonesian government and
enable our 7 million Mitras to be offline outlets
servicing tax payments. This enables the

400% 300%
government to improve access and allow
Indonesians to pay their taxes punctually at vast
amount of offline points in proximity to their
home.
Total growth of Total growth of
Our combined reach and technology have been Penerimaan Negara Penerimaan Negara
instrumental in helping to improve government transactions from TPV from 2019 to
revenue while facilitating the livelihoods of 2019 to 2020. 2020
societies and making significant impact.

Social: Business Resilience During Pandemic 19

Bukalapak Social Impact Report 2020

Providing training and

courses for MSMEs to
leverage technology

.
and grow their
business
One of the key challenges for MSMEs is
147
Number of Online
50,20%
Merchants with improved sales
the fear of technology as they are not Classes in 2020 after attending online courses
familiar with it. We seek to break this

12,665
barrier by providing training and courses
for our MSMEs

We have held hundreds of training and

courses of various topics such as Existing Merchants participated
business management, financial in Online Classes in 2020
management, digital marketing, financing,

6,205
and many more.

Through these courses we increase their

familiarity with technology, enabling them New Merchants participated in Go
to use digital tools to grow their business Online Training in 2020
and flourish - MSMEs attending courses
increase their sales by 50%.

Social: Business Resilience During Pandemic 20

The Covid-19 pandemic
accelerated our innovation
capabilities. We continued to
improve digital and financial
literacy of our MSMEs to boost
economic inclusion
Bukalapak Social Impact Report 2020

Bukalapak o ers MSMEs the opportunity to become

an All Commerce experience through Mitra Bukalapak
A typical MSME would only r physical products, but with Mitra Bukalapak, MSMEs are able to
expand their rings while obtaining tools to run their business

Motorcycle &
FMCG Electronics Fashion
B2B marketplace Household appliances, Women and men’s vehicle accessories
Physical Vehicle spareparts and
transaction for Mitra smartphones, etc. apparel
accessories

Phone Credit Voucher deals

Electricity bills Buy discounted Telkom bills
Electricity bill settlement Pulsa & data plan
vouchers for KFC, Landline bill settlement
top ups
Virtual H&M, Alfamart, etc
Products
Game voucher BPJS
Google Play, Mobile
BPJS fee settlement
Legends, PUBG, etc.

Bookkeeping
SaaS O ine
transaction recording

Top up E-money Pay at Mitra

Remittence
Financial Converting o ine’s Paying C2C
Mitra act as Agent for
Inclusion customer’s cash into marketplace
domestic remittance
E-money at Mitra transaction at Mitra

Product & Innovation: Increase digital and financial literacy in Indonesia 22

Bukalapak Social Impact Report 2020

With QRIS, Bukalapak

provides a fast and
convenient digital payment
solution Mitras and their
customers
With QRIS (common QR code standard), Mitras can now accept
cashless payments from all e-wallets registered with Bank
Indonesia.

During the pandemic, QRIS allowed Mitras to provide contactless and

cashless payments for their customers, addressing one of the a major
concern during the pandemic. The initiative boosts the number of
transactions at our Mitras while simultaneously assist the government
to accelerate financial inclusion in Indonesia.

Product & Innovation: Increase digital and financial literacy in Indonesia 23

Bukalapak Social Impact Report 2020

Leveraging technology
to support charity and
other social impact
programs
In line with the increasing in technology usage, Our partners
Bukalapak also help various social institutions and
philanthropies on donations/ Zakat (a religious
donation for Muslims in Indonesia) collection
digitally.

4,7 Billion
The value of Zakat transactions in
Bukalapak in 2020

66%
The growth of Zakat Fitrah transactions
compared to same period in 2019

Product & Innovation: Increase digital and financial literacy in Indonesia 24

Bukalapak Social Impact Report 2020

BukaReksa and BukaEmas –

Investments made easy and
affordable
BukaReksa (mutual funds) & BukaEmas (gold investment) was officially
launched in late 2016 to serve clients who want to experience the ease
of technology for their financial needs by investing in mutual fund
products & digital gold. Since inception, we have on-boarded gold and
25 other mutual fund products across all asset classes, both
conventional & shariah compliant

During 2020, Bukalapak placed its focus on acquiring and deepening

clients through campaigns, improved operational process as well as
developed several new features for gold and mutual fund transactions.

These activities successfully grew client base by 160% in BukaReksa

and by +4900% in BukaEmas YOY 2020.

24
Product & Innovation: Increase digital and financial literacy in Indonesia 25
Bukalapak Social Impact Report 2020

Amid the pandemic,

BukaEmas and BukaReksa
enable general population
to invest

48% 139%
After 4 years of establishment, BukaReksa and BukaEmas investors
spread throughout the country and help underbank, unbanked and
grassroot segment to have accessible investment product that
previously can only be afforded by middle upper segment. With
BukaReksa and BukaEmas, users can start investing from Rp 1,000 BukaReksa Growth in 2020 BukaEmas growth in 2020
(less than USD10c). This will enable more users, especially from lower with 318,000 users with 8,6 million users
segment to finally start their investment.

Today, BukaReksa is the home for 318,000 investors, 12% of the Investment in BukaReksa &
total number of mutual fund investors in Indonesia. Buka Emas start from

Rp 1,000
Meanwhile, BukaEmas has 8.6 million users throughout country.

Product & Innovation: Increase digital and financial literacy in Indonesia 26

Bukalapak Social Impact Report 2020

Through technology, Bukalapak is committed to improve financial inclusion

by reaching people throughout Indonesia

Kalimantan
Investor
Sulawesi
Investor
,
25,000
,
27,000
BukaReksa investors are Maluku & Papua
widely spread throughout the Investor
country. While majority ,
2,000
resides in Western Region of
Indonesia (81%), we see a Sumatra
significant growth potential in Investor
the Eastern Indonesia Region. ,
37,000
We seek for deeper
penetration of financial
products, particularly in the
area where it is needed most,
namely Eastern Region of
Indonesia. Java
Investor
,
224,000 Bali & Nusa Tenggara
,

Product & Innovation: Increase digital and financial literacy in Indonesia 27

Bukalapak Social Impact Report 2020

All of our investment features

are tailor-made to improve
financial inclusion across
Indonesia, especially the
underserved segments

Product & Innovation: Increase digital and financial literacy in Indonesia 28

Bukalapak Social Impact Report 2020

BukaExpress
Providing a reliable service for MSMEs to send their product with best
delivery experience is important to allow our merchants to grow. Thus,
Bukalapak launched a white-labeled delivery service supported by
multiple 3PLs that ensure the best delivery experience for our users.

Why should buyers try BukaExpress?

Money back Delivery

Delivery Wide coverage 24h customer
guarantee discount up to
discount all over service
Rpto50k
up Indonesia
Rp50k

BukaExpress launched in November 2020, since

then, it has 30% week-on-week transactions
growth and 250,000+ sellers using BukaExpress.

Product & Innovation: Increase digital and financial literacy in Indonesia 29

Bukalapak Social Impact Report 2020

BukaSend: Opportunity for

Mitras to be logistic agents
Logistic service is the blood stream of commerce. While we do not
own our own logistic assets, we believe in innovations and creating
solutions that enhance Indonesia’s logistic standing. At the same
time, our solution creates opportunity for MSMEs to upgrade and
expand their business. That solution is BukaSend.

Through BukaSend, we partner with various leading Indonesian

logistic providers. We allow our logistic partners to leverage their
service by tapping into our vast Mitra networks. Through such
collaboration, logistic partners connected with us instantaneously
expanded their offline presence without having to foot significant
capital expenditure bills required in rolling out their own offline
stores.

Mitras who participate serves as the first and last mile points and by
doing so, Mitras also receive commissions for every delivery passes
through their stores. This initiative helps to accelerate the rollout of
logistic providers while at the same time create additional revenue
streams for our Mitras. We allow Mitras who previously were a mere
traditional convenient store to upgrade its business, even to the
extend to be logistic agent.

We continue to innovate to provide opportunities to MSMEs in our bid

to create a fair economy for all.

Product & Innovation: Increase digital and financial literacy in Indonesia 30

Bukalapak Social Impact Report 2020

BukaSend as a Logistic
Solutions to develop
MSMEs Business

Competitive pricing Multi platforms:

with cashback up to Mobile app, web and
35% API Integration

Auto-generated Pick-up at your

receipt (AWB) doorstep

Cashless payment Real-time tracking

Product & Innovation: Increase digital and financial literacy in Indonesia 31

And we stay true to
Our mission - to create
a Fair Economy for All
by enabling MSMEs
with better
infrastructure
Bukalapak Social Impact Report 2020

BukaModal
Ease of accessing capital is one of the most important elements for
MSMEs to grow their business. Bukalapak established BukaModal as
a platform for MSMEs to access capital for their needs with ease.
This enables them to grow their business, stock more products that
are in high demand, and purchase more products with better prices.

Application criteria for BukaModal:

• Own a store on Bukalapak minimum of 6 months.
• Indonesian nationals age 20-55 years old.
• Minimum income of IDR 2 million.

Benefits for using BukaModal:

• Limit vary from IDR 2 million to IDR 2 billion
• Borrow without collateral
• Could be approved within 5 working days if all the
documents needed are fulfill
• Period starts 3 to 24 months
• Flat interest every month starts from 0.75% to 2.17%.
• Approved loan will be transferred to the respective
owner’s bank account
• Auto deduction payment feature

Economic: Accelerate & provide better access for SMEs through improved infrastructure 33
Looking forward to 2021

Continue doing good by

doing well
 Thank you.
Let’s Grow Together