DSInnovate Startup Report 2023

arman@ruangguru.
com 2024-02-12 10:09
Startup Report 2023
© January 2024
arman@ruangguru.com 2024-02-12 10:09
01-09 10-17 18-38 Startup Report 2023 | DS/Innovate
Digital Economy Startup Ecosystem Scene 2024 Trends
Digital Economy Growth Funding Data in 2023 B2B Market

Highlights the size of the digital market Analysis of funding trends throughout the year is Indonesian B2B landscape and the growing market potential,
in Indonesia. based on popular sectors, the most active stages, and including manufacturers and wholesalers.
the investment value.
Healthtech
Stakeholder and Regulation
Exploring potential growing sector in healthtech, including
Update the local startup ecosystem. Most Active Investor
genomics and preventive/wellness sub-vertical.
Table listing the most active venture capitalists in
Digital Economy Landscape Indonesia in terms of funding quantity and their Sustainability
Business dynamics in multiple verticals. focuses. Assessing the growth of green and sustainability businesses
in Indonesia, including waste management, circular economy,
Tech Winter Digital Economy Landscape climate tech, etc.
Strategies and opportunities during The analysis of IPO and M&A. Why do startups need to
Electric Vehicle
tech winter. consolidate or IPO? What’s and How's the benchmark?
Exploring the development of the electric vehicle industry in
Indonesia, mapping key players and the supporting
ecosystem.

Digital Economy
BUY
SELL

02 01-09 10-17 18-38 Startup Report 2023 | DS/Innovate
MCI XYZ Value Creation Initiative : MCI has Built a Comprehensive

Value Creation Under the Umbrella of XYZ
XYZ value creation has successfully served as the fundamental of synergy bridging, Our value creation approach will be focusing on an open
fostering collaboration and mutual benefit between Mandiri Group and startups.
ecosystem by leverage its benefits across diverse
Xponent, led by Mandiri Capital Indonesia (MCI), fosters crucial synergy between Mandiri Group's
business units and startups. This initiative serves as a platform for startups to forge transformative stakeholders and technology communities. This approach
partnerships, driving industry breakthroughs.
aims to put MCI as a forefront venture capital firm driving
Expand counterpart by visiting an innovation lab abroad, exchange knowledge and stay relevant to long-term value for all involved parties and strengthen our
the emerging industry trends.
This program facilitates decision-makers in startups, tech community, SOEs, corporations, and
PLAN presence in Southeast Asia.
Focus sectors:
investors to create meaningful connections through knowledge sharing, collaboration and
networking activities.
Zenith is an immersive accelerator uniting startups with Mandiri's business units, offering insightful
Artificial Environmental, B2B Value Chain Technology &
mentorship, synergy creation, and diverse networking opportunities. It goes beyond a program, Intelligence Social & Governance Operations
providing startups with essential resources, insightful knowledge, and business traction to rapidly (ESG) Management
grow and succeed in their industry.
Benchmarking to gain insight

from prominent player in
innovation
Business matchmaking between startups and Accelerator program to
Mandiri Group, speed dating with investment team, Innovation labs: accelerate integration
and panel session between startup and
mandiri group
Mentoring, focus group
discussion, synergy
creation
3 95 25 12
Batch startups
participant
Business unit
& subsidiaries
MoU
signed
Networking event as a
100+People
attended
6
Mandiri business
unit &
14
Investees
7
SOE &
other corp
6 startups onboard on the
first batch:
involved
medium to expose other subsidiaries
initiatives

Indonesia's Digital Market :

A Cornerstone of Southeast Asia's Demographic dividend Growing middle class
Digital Landscape. Population aged 20-54 (%) Middle class population (M)
57.3 54%
Economic Normalization: Growth and inflation are expected to return
Middle class Rest of the
52.8 population (M) population (M)
to normalcy in line with economic normalization.

52.4 94.5
Percentage of population that
is middle class
51.3
50.4
50.3 53% 53%
GDP Growth Decline: Although Indonesia's GDP growth is projected to 49%
48.8 38.0 40.7
slow after the high inflation rates in 2022, Indonesia is still expected to
111,5 29.9
48.4 42.5 35.5 30.7
grow faster than the regional average. 48.3
47.6
Indonesia has the largest middle class in the SEA
Inflation Decrease: Inflation is decreasing faster than anticipated due Indonesia has a relatively young population in the
productive age bands (20-54 year old), ranking
region, both in absolute terms and in percentage.
third in ASEAN Source: Euromonitor International (2023) AC
to a drop in input prices and government interventions. Ventures analysis.
Source: The ASEAN Secretariat (2021).
Loyal Customers: Despite e-commerce companies reducing GDP per capita growth Household consumption
promotions, the number of loyal customers compensates for slower
GDP per capita growth GDP per capita growth
market growth, resulting in higher net revenue. 7.50%
7.20%
68.20%
6.00%
Mobility Restrictions Lifted: At the end of 2022, pandemic-related 61.10%
4.60%
mobility restrictions were lifted, leading to increased offline activities 4.00% 55.60%
2.50%
and positive growth in the transportation sector. 51.51%
2.30%
1.30%
38.10%
Regulatory Influence: Regulators significantly influence the digital 0.30%
-2.40% Indonesia has a moderate consumption
economy sector, both in promoting digital payment adoption and Indonesia has a moderate GDP per capita growth, percentage of GDP, signaling a thriving
implementing new rules that may affect the overall market. faring better than most ASEAN peers. cinsumer-driven economy
Source: The World Bank (2023). Source: The World Bank (2023), 2021 data.

Navigating the Regulatory

Landscape: Stakeholder
Dynamics in Indonesia's
Digital Economy.
The most recent amendment to the ITE Law, officially approved on December 5, 2023, Regulation No. 4 of 2023 issued by the Financial Services Authority (OJK) pertains to the
and enacted on January 4, 2024, brings forth various modifications, with a particular development and fortification of the Financial Sector Law concerning the business
focus on the administration of the digital economic ecosystem: operations of both conventional and Islamic Venture Capital Companies in Indonesia. This
regulatory framework governs the activities of venture capital companies in the country.
1 Elimination of Foreign Electronic Certification:
The previous Article 13 of the ITE Law regulated both Indonesian and foreign 3 Scope of business activities of venture capital companies
electronic certifications, but the revision eliminates foreign electronic certifications. The scope of business activities of venture capital companies includes:
Electronic certification providers in Indonesia can only utilize locally issued Equity participation Consultancy services Other services related to the
electronic certifications. Financing Management services business activities of venture
The objectives include promoting the growth of the local electronic certification capital companies
industry, supporting a fairer digital ecosystem, and enhancing user data security. 4 Venture capital companies that want to conduct
business in Indonesia must obtain a business license from the OJK. The requirements
2 Government Authority to Intervene in the Digital Ecosystem: for a venture capital company business license include:
Article 40A has been added, granting the government authority to intervene in the Minimum paid-in capital of Rp100 billion Competent human resources
operation of electronic systems. Good organizational structure and governance Adequate systems and procedures
This authority encompasses orders for specific adjustments or actions, temporary
suspension of electronic system operations, and termination of access. Penalties for venture capital companies without business licenses venture capital
Non-compliance with government orders may result in administrative sanctions, companies that conduct business without a business license from the OJK may be subject
encouraging digital industry players to responsibly manage data and content in the to criminal penalties, including a fine of at least Rp1 billion and up to Rp5 billion.
digital space.
Navigating the Regulatory Landscape:

Stakeholder Dynamics in Indonesia' Digital Economy.
The Results of the Regulatory

Sandbox Trial Program on
14 Digital Health Platforms
Ministry of Health's Digital

OJK's Regulation on
Transformation Decree:
Carbon Trading:
1 The Ministry of Health in Indonesia has Six of them are 'Conditionally
1 The Financial Services Authority
introduced Ministerial Decree Recommended' and automatically
(OJK) in Jakarta issued Regulation TKDN Regulation Relaxation
HK.01.07/MENKES/1559/2022, obtain the 'Supported' status, namely
Number 14 of 2023 on Carbon for Electric Cars:
emphasizing the implementation of an Good Doctor, Halodoc, Alodokter,
Trading through the Carbon
Electronic-Based Government System 1 President Joko Widodo approved the Sirka, Sehati TeleCTG, and Naluri.
Exchange (POJK Carbon Exchange).
and digital transformation strategies in relaxation of regulations on
the health sector. 2 The regulation provides guidelines Domestic Component Level (TKDN)
for trading carbon units through the and Completely Built Up (CBU)
2 Key initiatives include the SATUSEHAT exchange, emphasizing regular and imports for electric cars, outlined in
platform for integrated health data and efficient operations, aligning with Presidential Regulation Number 79 of
the Citizen Health App (CHA) for public the government's climate change
health, aiming to enhance healthcare control efforts.
2 The TKDN requirement is reduced to
services and governance. a minimum of 40% for both
3 It covers aspects such as two-wheelers and four-wheelers by
3 The decree focuses on accetlerating registration, organizational 2026, introducing incentives like Additionally, eight other IDK providers
digital transformation, fostering requirements, capital, governance, exemptions from import duties and receive 'Improvement' notes.
collaboration in the healthcare industry, and OJK supervision, aiming to Value-Added Tax (PPnBM) to
and promoting personalized healthcare establish a legal framework for encourage investments in electric
services. carbon trading. vehicle production.
Business Dynamics in Multiple Verticals: Desprite ripples from macro headwinds, Indonesia is
The Diversified Digital Economy of Indonesia expected to bounce back and reach ~$110B in 2025,
largely fueled by e-commerce
1 Exponential Growth Projection:
Indonesia's e-commerce sector is expected to undergo exponential growth, Overall digital economy E-commerce Transport & food
with projections reaching $110 billion by 2025. Transport Food
GMV ($B) CAGR
This remarkable surge is driven by factors such as widespread smartphone 15% -8%
13%
-20
7% 15%
20% 9
adoption, a growing middle class, and the transformative impact of the internet. ~160 7 8 7
48 58 62 82
15% 2021 2022 2023 2025 2030 2021 2022 2023 2025 2030
2 Digital Economy: 8%
20%
E-commerce has become one of the fastest-growing sectors in Indonesia's Online travel Online media
digital economy. The transaction value of e-commerce in Indonesia is predicted
210-360
21%
to reach Rp526 trillion in 2025. The growth of e-commerce is fueled by 68% 6%
5%
12%
69% ~15 ~15

increased internet penetration, middle-class expansion, and changes in
109
9
82
63
76
6 6 6 7 8
2 3
consumer behavior. 2021 2022 2023 2025 2030 2021 2022 2023 2025 2030 2021 2022 2023 2025 2030
Fintech is also one of the rapidly growing sectors in Indonesia's digital economy. Source: e-Conomy SEA 2023
The transaction value of fintech in Indonesia is projected to reach Rp289 trillion
by 2025. The development of fintech is driven by the growing need for more
affordable and accessible financial services
I am proud of the strides we've made
3 Government Support and Vision: in the face of the tech winter. With
The Indonesian government recognizes the potential of digital technology, the resilience and adaptability that
implementing supportive policies and infrastructure to nurture a thriving digital defines our team, we’ve witnessed a
ecosystem. consistent growth of user base,
As Indonesia embarks on this exciting trajectory, it is imperative to prioritize transactions, and revenue.
inclusivity, ethical practices, and a shared vision to ensure a prosperous and
equitable digital landscape for all. Moses Lo, Xendit
Business Dynamics in Multiple Verticals:

The Diversified Digital Economy of Indonesia
Top 15 Value of Funding per Sector (in Million $) Top Total Deals per Sector
1,513
14
12
11
8
7
583
6
AI Rudder,
5 Fishlog, Imajin,
4
Rekosistem, Praktis, 3
213
Lifepack
153
125
30
24
36
23
26
26
10
13
12
8
EV
Enabler
Fintech
Aquatech
Healthtech
E-commerce
Social
Commerce
Agritech
Contech
SaaS
Online Media
Proptech
Food Tech
Car Marketplace
Biotech
Fintech
SaaS
Healthtech
Agritech,
Online Media,
Food Tech
EV, Edtech
Marketplace,
Logistic
E-commerce
Enabler,
Proptech
D2C
Contech, Biotech,
Waste Management,
Manufacture
Marketplace
The top 3 funding values in the marketplace sector are filled by Tokopedia in the In the fintech sector, there are a total of 14 deals this year, involving
Venture Round stage with a value of $1,500,000,000.00. Second, Novelship in companies such as Komunal Honest, Bizhare, Modalku, Investree,
the Series B stage with a value of $9,500,000.00, and thirdly, in the Seed MatchMade, ALAMI, Bunker, Finture, Finfra, Skorlife, Amartha, Kredivo
Funding series with a value of $3,000,000.00. Holdings, and Komunal. The top funding is secured by Kredivo Holdings in
Series D with a value of $270,000,000.00.

Navigating the Tech Winter: Strategies and Opportunities for Resilience

1 Current Landscape 2 Challenges and 3 Resilient Segments 4 Importance and Investor
Overview: Selective Approaches: in 2023: Confidence:
The VC tech investment The reduction in Despite the overall The ability of these
landscape is undergoing investment activity decline, specific segments to attract
a noticeable winter, highlights a period of segments thrived in substantial funding amid
evidenced by a heightened scrutiny and 2023, collectively the downturn underscores
significant 39.3% discernment, requiring amassing a substantial their importance and Our role as VCs goes beyond
year-on-year decrease investors and tech $53.4 billion, as potential for providing capital. We're strategic
partners, we offer operational
in data. startups to navigate a illustrated in the transformative innovation.
expertise, access to our extensive
challenging landscape accompanying graph.
network, and proactive guidance
This decline reflects a marked by funding This substantial on value creation, cost
prevailing caution scarcity. Leading segments, investment signifies their optimization, and market
among tech sector including Generative AI, role as key drivers of domination. MCI will leverage our
investors, signaling a Emphasis is placed on Electric Mobility, EV technological progress, network and expertise to identify
shift towards more demonstrated viability Battery, and Space Tech, reflecting investor valuable and potential startups
conservative investment and sustainable growth maintained their appeal, confidence in their that align with our strategic value
strategies that prioritize prospects, shaping a securing a significant capacity to spearhead creation model. Our investments
a deliberate and landscape where share of the investment advancements despite will be targeted and focus on
ventures with proven traction and
selective approach. cautious investment pool amid the downturn. challenges in the broader
clear paths to profitability even in
prevails. VC investment landscape.
a challenging market.
Dennis Pratistha, Mandiri
Capital Indonesia (MCI)

Navigating the Tech Winter: Strategies and Opportunities for Resilience

Klinik Pintar, a healthcare startup, defied In a recent discussion, eFishery, an
economic woes by securing hefty aquaculture-focused startup,
R
p
funding. Klinik Pintar's genius lies in its acknowledged the macroeconomic
unique business models. Their challenges posed by the current
highly-scalable clinic system enabled downturn, particularly in the shrimp
them to rapidly acquire 200 clinics, industry. With 80% of Indonesia's shrimp
demonstrating their capacity to capitalize production exported globally, the global
on growth opportunities. Additionally, by shrimp market's unfavorable conditions,
strategically partnering with existing marked by high inventory and declining
profitable clinics, they tapped into new prices, have impacted both international
markets and ensured immediate and domestic prices. However, eFishery's
profitability, a recipe for success even Furthermore, Klinik Pintar boasts a diversified portfolio, including fish for local The company strategically navigates the
during economic slowdowns. sustainable B2B model. Leveraging consumption, has mitigated the overall challenges by balancing its portfolio and
BPJS's capitation system, they enjoy impact compared to industries heavily promoting products less affected by
predictable revenue. They further reliant on global markets. external market dynamics. For instance,
200+ CLINICS diversify income through their clinic
network, offering premium features and
during periods of shrimp market volatility,
eFishery promotes fish products,
KLINIK
flexible pricing. This hybrid model, contributing to the stability of both supply
integrating telemedicine with offline and pricing.
services, caters to diverse needs and
aligns with the evolving healthcare
80% In terms of mitigation strategies, eFishery
landscape. proactively addresses challenges driven
by external factors, such as global market
In essence, Klinik Pintar's success story is a trends affecting shrimp and feed prices.
testament to the power of sound financial
management, innovative business models, and The company focuses on diversifying its portfolio, optimizing product
adaptability. Their ability to navigate the offerings based on market conditions, and promoting more
post-telemedicine era and embrace a hybrid cost-effective options. By aligning its business with segments that
approach positions them for continued growth demonstrate resilience, eFishery showcases adaptability in the face of
in Indonesia's dynamic healthcare market. macroeconomic uncertainties, ensuring continued stability and growth.
Startup Ecosystem
Scene

Funding Trend in 2023:

Analyzing Investment Patterns vs. 2022
Total deals quarterly in 2022 vs 2023 Total deals by stages 2022 vs 2023
75 2022 2023 2022 2023

71 "Total deals, both 90
62 quarterly and average

52
stages, have decreased
50
35 37 37 compared to the 41
36
30 previous year. In terms of 20 22 19
18 18
stages, there is an 10 12 11 13
7 8 6 4
1 0 2 4 3 4
0
increase in Venture Debt
Angel Corporate Pre- Pre-S Pre- Seed Series A Series B Series C Series D Venture Venture
Q1 Q2 Q3 Q4 and Venture Round. Round Round Seed eries A Series B Funding Debt Round
Total funding value quarterly in 2022 vs 2023 In terms of total value,

Total funding values by stages 2022 vs 2023
1,594,400,000
there is a sharp increase
2022 2023 1,841,250,000 2022 2023
in Q4 compared to Q4 of
1,488,982,900
the previous year and
804,000,000
785,000,000
783,200,000
Q1-Q3 of 2023. If we look
743,100,000
1,207,800,000
490,900,000
454,400,000
at the value per stages,
370,400,000
325,000,000
983,800,000
there is also a significant
180,354,900
121,200,000
101,973,000
114,710,000
54,700,000
30,400,000
40,250,000
13,500,000
48,100,000
22,500,000
23,115,000
5,085,000
4,700,000
decrease compared to
the previous year, except
0 0
for series D and venture Angel Corporate Pre- Pre- Pre- Seed Series A Series B Series C Series D Venture Venture
round. Round Round Seed Series A Series B Funding Debt Round
Q1 Q2 Q3 Q4

Indonesia's Venture Capital Landscape: Identifying Key Players and Their Investment Focuses
14
Value (in Million $) and Deals per Sector
12
11 Deals Value
8 8 8
7 7
6 6
5 5
4
3 3 3 3
2 2 2 2 2 2 2 2
1 1 1 1 1 1 1 1 1 1
Cybersecurity
EV
Builder
Enabler
Car
Fintech
Marketplace
Beauty Tech
Healthtech
Cleantech
Contech
Logistic
Aquatech
Venture
Food Tech
SaaS
Job
Marketplace
D2C
Biotech
Proptech
Game
Manufacture
Farmtech
Agritech
Legaltech
Waste
Management
AI
Online
Media
Web3
Edtech
B2B
Marketplace
B2B
Commerce
E-commerce
Social
Commerce
Sport
Blockchain
Insurtech
Marketplace
Value (in Million $) and Deals per Stage
Deals Value 1,594,000,000
50
804,000,000
114,710,000
19 22,500,000
18 101,973,000
40,250,000 18 121,000,000 30,400,000
12 13,500,000
5,085,000 8
2 4 4 4
Pre-Seed Seed Funding Pre-Series A Series A Pre-Series B Series B Series C Series D Venture Round Venture Debt

Indonesia's Venture Capital Landscape: Identifying Key Players and Their Investment Focuses
Fund Name Owner Amount Stage Sector Fund Name Owner Amount Stage Sector
Early consumer,fintech, Merah Growth

NSV I - Part 2 $140 million Stage enterprise solution $300 million sector agnostic
Putih Fund Stage
proptech, mortgage tech,
Multi fintech, embedded finance,
BTN Fund , $25 million Stage construction tech, Multi energy
open finance, SaaS
Energi Fund Undisclosed Stage
Telkomsel Multi internet solution, AI,

Ventures 2 Undisclosed Stage SME, e-commerce,
digital content Multi
Argor Fund $240 million Stage sector agnostic
Early
Fund 1 $12 million Stage sector agnostic
Multi
Peak XV Fund $2 billion Stage sector agnostic
Healthcare Early healthtech
Fund $30 million
Stage
Growth Plus $250 million Growth sector agnostic
East Ventures biotech, healthtech, Stage
South Korea Fund Multi
in Partnership with $100 million Stage EV, cleantech,
SV Investment online media
Growth Growth
Fund III $2,1 billion Stage sector agnostic
Ascent Multi
Fund 3 $200 million Stage sector agnostic
Fund 1 Early
Multi $19.2 million Stage D2C
Fund V $541 million Stage sector agnostic
Early Early consumer, fintech,

500 SEA III $143 million sector agnostic NSV I - Part 1 $90 million Stage enterprise solution
Stage

M&A Dominates as Indonesian Startups Delay IPOs
32
Number of M&A M&A activity in the digital
25 ecosystem remains prevalent
across various verticals,
15 though the number of actions
13 announced in 2023 decreased
slightly compared to 2022. A
total of 25 M&A actions were
announced in 2023.
2020 2021 2022 2023

List of Announced M&A in 2023

Year Company Acquired Vertical Year Company Acquired Vertical Year Company Acquired Vertical
Shenzen Fengwang
Jan-23 Fintech May-23 Information Technology Logistic Aug-23 Conglomerate
Co., Ltd.
Aug-23 E-commerce
May-23 E-commerce enabler
Feb-23 Fintech
enabler
Sep-23 Aviation
Job
Feb-23 May-23 Edtech
marketplace
Oct-23 Proptech
Mar-23
Felgo Capital Fintech May-23 On-demand
Pte Ltd.
Oct-23 Media
Jun-23 Job
Apr-23 OTA
marketplace
Oct-23 Fintech
Apr-23 Telecom-
Jul-23 Fintech
munication
Nov-23 Internet
Apr-23 E-commerce Jul-23 Healthtech

Nov-23 Game
May-23 Wealthtech Aug-23 Media Dec-23 Internet
Indonesian startups are turning to M&A to survive in a maturing market with One of the highlights in 2023 was the major partnership between GoTo and
fierce competition. M&A is a more efficient route to expansion, enabling ByteDance. Both companies decided to merge their e-commerce businesses
startups to quickly acquire market share, resources, and talent and consolidate through Tokopedia and TikTok Shop, which is expected to bring new
their position. opportunities and benefits to customers.
Public Market Updates Listing Date

PT Bukalapak.com Tbk (IDX: BUKA) ( in Rp billion )
In 2023, 8 technology companies
were listed on the Indonesian stock 2022 Q3 2023
exchange. However, due to market

August 2021
uncertainty, no digital startup
companies, such as Akseleran,
Digiasia Bios, and Kredivo, were able March 2022
to list on the exchange despite having 1,997 3,618
1,997 3,338
scheduled plans to go public. -776
Akseleran postponed its target to Nett Loss/Profit Net Revenue November 2022
2024, while Digiasia recently received
approval for a merger using the SPAC
mechanism.
PT GoTo Gojek Tokopedia Tbk (IDX: GOTO) ( in Rp billion ) PT Global Digital Niaga Tbk (IDX: BELI) ( in Rp billion )
Although major tech companies such
2022 Q3 2023 2022 Q3 2023
as GOTO, BUKA, and BELI have listed
on the IDX in recent years, they are
facing challenges in maintaining a 11,349 10,510 15,269 11,462
11.349 10.510
positive outlook for their business. -2,624
-9.548
-9.548 -5,503
Despite some income growth, they
are struggling to make profits, which -40.408
-40.408
has raised concerns about their
long-term sustainability.
Source: Financial Report GOTO, BELI, & BUKA
Nett Loss/Profit Net Revenue Nett Loss/Profit Net Revenue

Shutdown & Pivot: Exploring the Process of Adapting in Tech

Business Shifting in 2023 Business Closure in 2023
Some tech companies have shown resilience and adaptability in response to
Year Company Vertical
changing market conditions. However, due to unsustainable business
Jan-23 E-commerce
practices, investors are becoming more selective about adding new
Feb-23 F&B directory
portfolios. Many startups are unable to convince investors to support their
Mar-23 Social commerce
business, leading them to run out of funds and ultimately give up.
May-23 Cloud kitchen
The closure of Futuready and Aigis' shift to a new business model with the May-23 E-grocery
new brand "Finnix" highlights the challenges that insurtech companies face May-23 Car marketplace
Jul-23 Insurtech
in Indonesia in terms of innovation and business growth.
Aug-23 Proptech
Meanwhile, Ula has decided to exit the FMCG distribution business because Oct-23 Logistic
the sales and margins from traditional stall and retail businesses did not meet Dec-23 OTA
their expectations.
The closure of Futuready's and Aigis' shift to a new business model highlight
Tamasia, on the other hand, had to change its business model to become a the difficulties insurtech companies in Indonesia face in terms of innovation
physical gold trader because it did not have permission from BAPPEBTI to and business growth. E-commerce is also facing challenges in establishing
operate as a digital gold trader. The company has recently announced that it itself as a profitable business, with JD Group leaving the Indonesian market
has become part of PT Bank Pembayaran Rakyat Syariah Attaqwa. in early 2023 due to intense competition.
Today's correction is a testament to the resilience of our digital industry. Since the start, the journey has been marked by a remarkable absence of
significant corrections. The trajectory of every asset in the startup ecosystem seemed unstoppable, fueled by soaring expectations. However, the
tide turned in 2022-2023 as the funding landscape shifted. Cash ceased being cheap, and the specter of rising interest rates loomed.
In response, many investors recalibrated their strategies, migrating from riskier assets to the safety of familiar havens like deposits and fixed
income. This shift is more than a market adjustment; it reflects a profound change in investor expectations. As stewards of these dynamic
markets, caution becomes paramount in navigating this evolving landscape.
Markus Liman Rahardja, BRI Ventures
2024 Trends

Indonesia B2B Landscape

Unleashing the Potential of Indonesia's
B2B (Business-to-Business) Market:
Health
FMCG
A Pathway to Enhanced Business
Efficiency
Market Surge:
Construction
Logistics
1
Indonesia's B2B e-commerce, valued at $1.5 billion in 2018, is

set for robust growth, targeting a remarkable 50%-55% CAGR,
aiming for $30 billion by 2025.
Aquaculture
Fintech
2 Shift in Discourse:
Moving beyond specific sectors, the current focus is on B2B
business models, acknowledged for their broad applicability
Manufacturer
Agriculture
across diverse verticals.
SaaS
3 Key Report Insights:
The startup report highlights three critical B2B topics. Firstly, The evolving trends in the startup ecosystem emphasize a departure
manufacturing is expected to lead Indonesia's GDP in 2023. from conventional sector-centric assessments to a more nuanced
The second spotlights B2B in FMCG, impacting GDP growth in examination of business models. In particular, the transition from
Q2 2023. The third introduces Fintech as a vital solution for business-to-consumer (B2C) dynamics towards diverse models like
financial inclusion. business-to-business (B2B), business-to-business-to-consumer
(B2B2C), or direct-to-consumer (D2C) reflects a strategic response to
the demand for increased potential and sustainability. The strategic
4 B2B's Impact:
adoption of a business model plays a pivotal role in determining revenue
B2B opens avenues for MSMEs, facilitating direct connections streams, capital expenditure (CAPEX), operational costs (OPEX), and,
with suppliers, addressing supply chain complexities, ultimately, the path to profitability.
ensuring transparent pricing, and optimizing logistics. Eddi Danusaputro, BNI Ventures
Opportunities in the Indonesian Software as a Service (SaaS)

Revenue in the Software as a Service market is Revenue in million US$ Forecast 769.10
31.9%
Annual
projected to reach $490.20m in 2024.
690.00
617.60
552.80
Revenue is expected to show an annual growth rate
Growth Rate
490.20
(CAGR 2024-2028) of 11.92%, resulting in a market 427.10
357.80
volume of $769.10m by 2028. Rapid Growth of Saas Market
283.80
The average spend per employee in the Software as a 197.10
232.00
154.80
Service market is projected to reach $3.41 in 2024. 120.00
79.76
Opportunities in the Indonesian SaaS Market: US$ US$

Digital Transformation Priority: With Indonesia's focus 2016 2017 2018 2019 2020 2021 2022 2023 2024F 2025F 2026F 2027F 2028F
100M 400M
on digital transformation, the SaaS market is set to
expand. Notes : Data shown is using current exchange rates and reflects
market impacts of the Russia-Ukraine war.
2018 2023
Market size of SaaS Business
Most recent update : September 2023 in Indonesia ( BCG )
Awareness and Credibility: Due to low digital literacy Source : Statista Market Insights
levels, educating businesses and individuals is crucial.
Early SaaS players, such as Moka, have conducted
workshops to build awareness and credibility, resulting in Navigating the current economic downturn has been a challenge, but
iSeller has remained profitable and resilient by focusing on our core
a significant increase in active users.
strengths. We've strengthened our strategic partnership efforts and
fostered long-term relationships with key partners such as Bank
Strategic Partnerships: To ensure rapid expansion, SaaS
Mandiri. Through this partnership, we’ve been able to efficiently tap into
companies need reliable distribution channels. Partnering their network of 3 million merchants across Indonesia, allowing us to
with telecommunications providers, given their extensive expand our customer base and revenue streams in a sustainable
customer reach and operational infrastructure, becomes a manner while at the same time reducing our acquisition costs by 90%.
strategic move for SaaS players. Jimmy Petrus, iSeller
Navigating SME Adoption, Manufacturing Dynamics, and Regulatory Impacts in Manufacture

The process of digitizing B2B presents unique challenges, Digital Manufacturing Driving Business Outcomes Source : Cisco, 2015
with one notable obstacle being the divergent
decision-making processes within companies as opposed
to individuals or B2C.
New OEE Improved
Digitalization within the realm of B2B is apparent; Product
Introduction Improvement Inventory
however, the difficulty lies in its expansion to Small and
Medium Enterprises (SMEs), particularly those 48% 49% 23% 16% 35% 18%
accustomed to manual processes. Unplanned Defect rate New product Average OEE Inventory turns Annual energy
downtime down down introduction cycle improved increased cost down
time reduced
The unique characteristic of manufacturing in IKM (SMEs)
lies in their order-based production, where they receive
Digital Manufacturing Driving Business Outcomes Source : Business Sweden, 2018
specifications from customers and produce accordingly.
Digitization efforts focus on transforming manual

record-keeping into real-time, digital processes. 203 billions
US$ output in 2017
25
Million Workers
20%
GDP Contribution
6-7%
Annual Growth
Government regulations, especially from the Ministry of
Industry, have positively impacted Imagine, particularly in
the context of Domestic Component Level (TKDN) B2B consists of a multitude of individuals. Now, these individuals are
requirements. already very accustomed to digitization. So, they already want to have
those tools when they work in a company with minimal digitalization.
in 2024 new opportunities, especially in the automotive
Looking ahead, both small B2B, like what we call SMEs (Small and Medium
and technology sectors, with a positive outlook on
Enterprises), will always look for usable tools for project effectiveness,
Indonesia's role in electric vehicles and battery project recording, project monitoring, or even job searching.
production.
Chendy Jaya, Imajin

Resilience and Transformation in B2B FMCG Source : Technavio, 2020

1 B2B FMCG Resilience: Notably resilient, the B2B FMCG
The market will be Accelerating Incremental The year-over-year growth
sector stands out in contrast to its B2C counterpart,
growing at a CAGR of almost growth rate for 2019 is estimated at
which heavily leans on promotions. B2B explores
growth via omnichannel strategies, emphasizing $42.34 bn
streamlined, cost-effective solutions and flexible
payment structures. 6% 4.36%
2018 2023
2 Data-Driven Competitiveness: Staying competitive
70%
The market is Fragmented One of the Key Trends for this
entails a growing demand for real-time transaction
with several players market will be the Growth in
data. This ensures FMCG companies promptly adapt to occupying the market share E-commerce
market shifts. An emerging need for integrated SME of the growth will come
from Food and Beverages
financing within a comprehensive B2B platform also
Segment
offers versatile tenors aligned with SME business
needs.
3 Challenges in B2B Manufacturing and Supply Chain: In the manufacturing and distribution sector, the biggest killer for startups
Challenges in the B2B Manufacturing and Supply Chain is asset heaviness, which happens by being too focused on inventory and
sector involve hurdles in implementing asset-heavy taking credit and payment terms positions, particularly if the start-up
and people-intensive models. Startups should avoid lacks the expertise to manage and collect when things go wrong. On top of
dealing with potential inefficiencies from a cash-heavy environment,
inventory-heavy methods and focus on establishing a
fraud, and an analog ecosystem, these obstacles create leaky business
robust working capital cycle. The emphasis lies in
models. Being asset-light and focused enables you to avoid some of these
empowering existing intermediaries and distributors
pitfalls, giving you time to develop the right infrastructure to move into
through technology support, optimizing processes for heavier asset plays and end-to-end margins if and when it makes sense.
enhanced efficiency rather than eliminating them. Yann Schuermans, Baskit

Fintech's Role in Revolutionizing B2B Dynamics:

Addressing Capital Shortages for Indonesian SMEs in 2024
Source: e-Conomy SEA 2023
Fintech emerges as a key supporter of B2B DFS : Lending and wealth expected to rise rapidly from a low base report: Indonesia
potential in Indonesia, with a specific focus on
alleviating capital shortages for MSME. CAGR
Digital payments Digital lending Digital insurance Digital wealth
One of the primary challenges faced by GTV1 ($B) Loan book balance2 ($B) APE & GWP3 ($B) AUM4 ($B)
banking institutions in serving the MSME
segment is collateral limitations, a gap that
fintech aims to address.
2024 Trends in Fintech Lending: Expresses

15%
concerns about the multi-purpose or cash 10% ~40 ~1.0 ~40
~760
lending segment due to a significant decrease 22%
50%
in interest rates. 27%
27% 32%
85% 29%
417 39%
286 313 104%
234 31%
15 0.3
0.2 0.2 7
5 6 0.1 4
3 1 2
2021 2022 2023 2025 2030 2021 2022 2023 2025 2030 2021 2022 2023 2025 2030 2021 2022 2023 2025 2030
OPEN Notes: (1) Gross transaction value (GTV) for digital payments includes the value of credit, debit, prepaid card,
account-to-account (A2A), and e-wallet transactions; (2) Loan book balance for digital lending includes end-of-year balance
for consumer loans (excluding credit card and mortgage) and SME loans; (3) APE & GWP for digital insurance includes APE for
life insurance and health under life insurance policies and GWP for non-life insurance; (4) Assets under management (AUM)
for digital wealth includes end-of-year mutual fund AUM balance.

Fintech's Role in Revolutionizing B2B Dynamics:

Addressing Capital Shortages for Indonesian SMEs in 2024
Source: OJK
Fintech industry assessment
Credit Gap
Outstanding
Unbanked SME
46.6
Unbanked People
Rp 1.650 T
Rp Million 132 Rp Million The financing requirement is
Loan MSMEs that don't have Individuals who don't IDR 2,650 T, but conventional IJK
(comparing data yoy Oct 2022 vs 2023)

one yet access to credit have one access to credit only supports IDR 1,000 T nationally
58.05 Trillion
October 2023
Estimated Credit Gap
Individual Rp 4300 T
186 Rp Million
Based on AFPI-EY research results, the total need for MSME financing in 2026
is projected to reach IDR 4,300 trillion, with a supply capacity of IDR 19,000
VS Productive individuals (age > 15 years) trillion, so there will be a credit gap of IDR 2,400 trillion for traditional finance
Outstanding Over time, the Indonesian government has acknowledged the persistent challenge faced by
Loan Small and Medium Enterprises (SMEs), distinct from micro-enterprises. The core issue lies in
49.33 Trillion risk management restrictions banks have to follow. Traditional banking practices often
require collateral, limiting these enterprises' growth potential.
October 2022 Recognizing their pivotal role as the engine of economic growth, it is imperative, as
emphasized by Bank Indonesia and government directives spanning decades, that financial
institutions extend credit to these enterprises with a risk management framework that
doesn't rely on hard collateral, essential contributors to Indonesia's economic landscape.
Dino Setiawan, Awan Tunai

Revolutionizing Healthcare through Technology:

Indonesia's Thriving Healthtech Sector
The digital health market revenue
Revenue of the digital health market in Indonesia from 2017 to 2028
1
(in million $ dollars)
Around $1.66 billion. The Statista Digital
Market Outlook estimated the revenue of Forecast 2,919
the market would continue to increase
2,705
and reach around $2.92 billion by 2028.
2,487
The digital treatment and care 2,279
2 Contributed the highest revenue to the
digital health market in Indonesia. The 2,028
segment generated revenue of about 1,784
$781 million. By way of comparison, the 1,658
online doctor consultations segment 1,527
contributed approximately $222.8 million
revenue in the same year. 1,173
Digital treatment and care is the largest

839
segment in the digital health market in
Indonesia in terms of users. The total 604.9
number of digital health users in the 436.6
digital treatment and care segment has
been increasing steadily and was forecast
to be around $68.29 million by 2027.
2017 2018 2019 2020 2021 2022 2023 2024F 2025F 2026F 2027F 2028F

Revolutionizing Healthcare through Technology: Indonesia's Thriving Healthtech Sector

Indonesia Healthcare Landscape
Science
Dental
Life
SaaS
Maternal
Mental Health
Teleconsultation
Clinic
Pandemic had been a ‘moment of truth’ for all of

us to simplify access to healthcare. And we are
Fitness and Nutrition

very grateful to have the opportunity to take part
in helping users overcome tough challenges in
Medical Expert
terms of healthcare access. Plenty of innovations

Marketplace
were born due to the pandemic. The pandemic

has indeed accelerated digital and health literacy,
bolstering higher awareness of healthy lifestyle
among the people. Post pandemic, as we
embrace the new normal, the number of lives we
HEALTHCARE are reaching is continuously growing, as
telehealth has been a part of the everyday lives of
Indonesians.
Veronica Utami, Halodoc

Embracing the Telehealth Hybrid Model in the Post-Pandemic Era

The evolution of health tech businesses, Percentage of encounters conducted using telehealth Source: epicsearch, 2023
especially in the post-pandemic era, is
witnessing a transition from the Mental Health
Transplant
predominance of telemedicine to a hybrid Endocrinology
GI
model that combines online Infectious Disease
teleconsultation with offline services. This Neurology
Allergy/Immun.
hybrid approach addresses a broader Geriatrics
OB
spectrum of medical needs, enhances Pain Med
Pulmonary The emerging trend in the health
patient engagement, and maintains Nephrology
tech industry is the hybrid model,
cost-effectiveness. Rheumatology
Internal Med seamlessly integrating
Family Med
Overall Average
teleconsultation and offline
Although global data indicates a decline in Surgery services. Termed as 'hybrid' due to
telemedicine usage across various Urology
its unified medical pathway with
Cardiology
sub-diseases since the initial peak of the Hem/Onc both online and offline touchpoints,
PM and R
pandemic, its adoption remains Gynecology this approach ensures an elegant
significantly higher than pre-pandemic Dermatology and seamless experience for
Urgent Care
levels. Pediatrics patients, eliminating the need for
Sports Med multiple offline visits. Beyond its
Occupational Med
The Ministry of Health is pivotal in ENT convenience, the hybrid model also
Orthopaedics offers cost-effectiveness, marking
cultivating a favorable environment for Ophtalmology
Wound Care it as a significant and anticipated
health tech companies, focusing on Podiatry trend in the future of healthcare.
preventive care, investments in data 2020 2021 2022 2023 2020 2021 2022 2023
infrastructure, and digital transformation
Harya Bimo, Klinik Pintar
initiatives being duly recognized.

Advanced Research
Navigating Challenges in Genomic Sector: Timing and Regulatory Insights Drug Development
By studying the genetic makeup of diseases. researchers
Challenges in the genomic sector involve Primary Benefits can identify new targets for drug development. which can
lead to the creation of more effective and specific
treatments
Economic Benefits Healthcare Benefits
timing the market and patience, especially 1 2
Genomics can help increase productivity for the Indone- Genomics can help patients save high costs on health-
in a new and evolving industry. sian economy by ~$13.2 billion as early detection of care as they spend on targeted treatments for diseases
based on DNA studies
diseases such as cancer, TB etc., will not make people
Predictive Medicine
exit workforce.
Identifying genetic markers associated with disease risk
~$96 billion can be potentially saved in the long term by
Improved Diagnostics
can help predict which individuals may be more likely to
The complexity of healthcare involves Indonesia can immediately earn ~$1 billion in the form of applying genomics on rare diseases as more clinical
applications develop
develop certain diseases, allowing for earlier intervention
new employment generation and data monetization and prevention
multiple stakeholders, such as hospitals, opportunities.
Genomics will also help in improving the quality of life
doctors, patients, insurance companies, and increase life expectancy for Indonesians
and the government. Diagnostics

Secondary Benefits Genomics testing can identify genetic markers
associated with certain diseases. allowing for earlier and
Social Benefits Technology Ecosystem Benefits
Scientific research and discoveries are more accurate diagnoses
3 4
Greater awareness levels on ancestry and genealogy for Use cases beyond healthcare and medicines such as:
needed in diverse populations like the population. Indonesia is an ethnically diverse country
(-1300 micro-ethnic groups), and the information would
Agritech (a major contributor to Indonesia's economy)
Forensics
Southeast Asia. be useful for the people to trace their ancestry and family
heritage Development of research talent pool in the country in the
Gene Therapy
form of scientists, healthcare workers, researchers
The awareness levels towards lifestyle and other Genomics enables the identification of specific errors
encoded in our DNA which enables us to design
Regulatory approval is also a significant genetic-related disease markers would rise significantly.
This would help the population take more proactive
Government can spend more towards the creation of
infrastructure away from spending on reactive healthcare
strategies to correct them
challenge, especially in the medical field. measures for their health rather than being reactive
Improved Treatment
Specifically for genomics, as a new sector,
The primary obstacle involves effectively timing
the Indonesian Ministry of Health Cancer Treatment
By studying the genetic makeup of cancer cells,
market entry, so we ventured beyond Indonesia researchers can identify specific mutations and targeted
regulatory framework is considered therapies that can more effectively treat cancer
to scale to markets where awareness and
positive, outlining technologies and healthcare reimbursement are more mature.
concerns that still need to be addressed. Nala’s predictive genetic testing solution for a
Personalized Medicine
new market like Indonesia still requires extensive
Doctors can tailor treatments and therapies to their
Emphasis is placed on data security and market education and value for multiple specific needs by studying an individual’s genetic
makeup, leading to effective and efficient care
engagement with the ministry for data stakeholders.
collection. Source: Genomics: Leapfrogging into the Indonesian
Levana Sani, NalaGenetics healthcare future, 2023

Embracing Sustainable Practices: Share of

respondents
54%
Indonesia's Transition to a Green Economy
1 The long-term prospects of the green Intention to pay a higher
economy are still being determined due to price to get a more Share of
regulatory and political factors in 2024. environmentally friendly respondents
product among
40%
However, introducing COP 28 and its
consumers in
adoption by multinational companies
Indonesia in 2022
could contribute to shaping a more Source: Statista
sustainable future for Indonesia.
2 The current business model faces There’s still a lot of unrecognized

challenges as there is a lack of urgency opportunities in ASEAN that will
among people to invest in green Share of soon emerge as lucrative
initiatives. The public is not fully ready to respondents investment opportunities from
7%
embrace green products and services, foreign investors. Community is
crucial in developing nature-based
primarily due to a need for more
economy, but fragmentation
awareness about environmental
hinders scalable and investable
sustainability.
cases, so we need more scalable
solution: Multi-stakeholder
3 Insufficient regulations also present collaboration with shared vision
obstacles for green startups, as the that unifies fragmented
existing regulatory framework does not ecosystems to promote investable
fully support the development of business models.
environmentally friendly businesses. Decrease Stay the Increase Rama Manusama,
Same
Katalys Partners

Unleashing Potential: Investing in Indo-Pacific Sustainable Future

Pioneering Sustainability Investment Amidst Nascent Green Opportunities in The Region
Climate Investment Landscape in Southeast Asia MCI eager to establish Global Climate Tech Fund as the forefront of
Climate-Tech investment in South East Asia
$2T
The total value of investment required
in SEA for Climate-related initiatives Global Climate Tech Fund
to achieve NZE target “Catalyzing Climate Tech Initiatives in South East Asia & Australia”
Investment Vehicle for Bridging market & Sustainability Initiative of
Movement to support Investment in SEA Climate Fund
Climate Tech Fund Initiative

MCI to be a Global Player collaboration across region Mandiri Group
$5.2B
Collaborate with Australian Connect cutting edge Support ESG initiatives and
Green Investment Realization in

$20B
Asian Development Bank total investment
Venture Capital to resonate
MCI’s impact to the regional
level
technologies in SEA & brings
Value Creation impact to
achieve Sustainability
NZE goals within Mandiri
Group
SEA by 2022 allocation for Climate sectors in SEA until 2030
Share of SEA Climate Tech Fund

Climate
Fund Size Stage Geographic
6%
5%
0%
tech
Other 2. Target up to Early to Early Indonesia,
9.
7.
$150Mn Growth Stage SEA, Australia

90.5% 93.0% 93.0%
90.5%
11M23
90.5%
2022 2021
Climate-Related StartUp SEA Startups able to raised $685M in Equity Size in the first 11
months of 2023 Food & Forest & Energy
Equity Funding Agriculture Land Use
Landscape 92 Equity Funding Deals in Climate-Tech startups, increasing up
to 12% compare to 2022
Partner Sector
The untapped potential for climate-related investment in SEA presents Building Industry Transport
a compelling opportunity to drive sustainable growth in the region & Cities
Source: Deal Street Asia 2023, SEA Green Economy 2023 Report, ASEAN BAC Climate Forum 2023

Indonesian Sustainability Startup Mapping
Circular Economy: Waste Management Eco Packaging Alternative Proterin
Clean Tech
Agriculture
New Energy: Energy Efficiency
New Energy: Solar New Energy: Biogas Carbon Venture Builder

Carbon Market in Indonesia: Navigating Early Growth, Potential, and Challenges

1 Indonesia's current carbon market Carbon credit market size, by, type,2021-2023 (US$ billion) Indonesia's Carbon Trading Potential
conditions are in the introduction and early Voluntary Compilance
growth stages. The presence of The extent of Indonesia's forests is supported by policy instruments
The government is encouraging the implementation of a carbon trading
sustainability-focused businesses has
scheme in an effort to achieve net-zero emissions.
increased in demand, especially from
multinational companies with global Indonesia Potential (Million ha*)
86.3 87.9
sustainability regulations.
125.9
Tropical 3.31
2 Carbon trading in the future is highly
beneficial for Indonesia, which possesses
2021 2022 2023 2024 2025 2026 2027 2028 2029 2030 2031 2032
Source: www.gminsights.com
Forest Mangroves
Forest
7.5
peatlands
one of the world's largest tropical forests Carbon trading in

and blue carbon reservoirs. Based on the Indonesia has yet to absorb absorb absorb
extensive forest data, with a carbon credit show significant 25,18 billion 33 billion
tons of carbon tons of carbon
55 billion
tons of carbon
selling price scenario of $5 per ton, the activity. Since its official
potential revenue could reach By 2030, it's launch by President Rp8.000 triliun pendapatan dari perdagangan karbon
expected that the carbon market size in Joko Widodo on
Indonesia will be at $22 Billion. The key to unlocking the carbon market
September 26, 2023, in Indonesia is regulation. Regulation is
the total trading value on the Indonesian pivotal in enhancing market awareness
3 Challenges and Strategies:
and appetite, particularly concerning
There is a need for carbon market carbon exchange has only reached Rp30.7
carbon tax obligations. Companies,
regulations to be in place. billion, with a trading volume of 490,716 tons of including state-owned enterprises, have
Actively participating in shaping regulations carbon dioxide equivalent (CO2e) until proactively sought guidance on
and focusing on natural climate solutions. November 30, 2023. However, 71.95 percent of strategies and climate initiatives in
Adapting to the current trend where the offered carbon still needs to be sold. anticipation of impending carbon taxes.
investors prioritize profitable and impactful
Jessica Novia, CarbonEthics
ventures.

From Idealistic Models to Waste Management and Beyond

Due to economic and infrastructural Volume of national waste pile (2019-2022)
constraints, the Indonesian ecosystem is not 2021
No Year Value/Tonne
ideal for idealistic models. There is a need for
gradual disruption and the construction of
29.44 62.49%
Total Waste Managed 1 2019 28,725,366.3
basic foundations to achieve an ideal state. (Million ton) Waste
The investor landscape in climate and green 2 2020 29,005,278.37

tech has evolved positively. Current investor 2022
3 2021 29,446,146.21
confidence is higher due to proven tractions
and aligned ESG goals.
35.93 62.63%
Total Waste Managed
(Million ton) Waste
4 2022 35,833,450.64
Given the investor appetite, existing problem
statements, and the involvement of various Throughout 2023, the ESG sector experienced significant developments with increased
players in managing the increasing amount of global awareness, such as the United Nations' statements on Global Boiling and events
waste each year, coupled with the rising trend like COP28, as well as incidents involving several Waste Processing Sites (TPA) catching
of managed waste, waste management in fire. Rekosistem believes in the need for collective awareness and collaboration with all
Indonesia remains worth pursuing. stakeholders to change mindsets and adopt more innovative approaches. This aims to
optimize waste management in Indonesia and minimize negative environmental impacts.
It is vital to address waste management Collective awareness among individuals, businesses, and the government regarding the
challenges in areas with high population importance of planning and implementing ideal waste management governance across all
levels through circular economy and waste-to-energy approaches can undoubtedly drive
density, with an initial focus on Java.
exponential growth in the ESG sector. This is in pursuit of a shared vision for a green,
Highlighting the need for partnerships with
pollution-free, and healthy future, aligning with the vision of the Golden Generation of
existing waste collection points to upgrade Indonesia by 2045 and achieving Net Zero Emissions by 2060.
them into Material Recovery Facilities (TPS
Ernest Christian Layman, Rekosistem
3R).

Powering the Future of Mobility:

Indonesia's Electric Vehicle Industry on the Rise
The adoption of Electric Vehicles (EVs) in Barriers of adoption for consumers
Considerations for purchasing electric motorcycles
Indonesia has witnessed a doubling in the past
Key Problems Difficulty in finding 71.2
year, though it encounters hurdles when pitted charging stations
Inadequate energy Reliability &
against traditional combustion engine vehicles. distribution infrastructure performance of the
Price 62.0
Despite this growth, the EV market penetration Such as charging station availability, current product Limited range 52.0
range anxiety, and charging Motorcycles are the
rate remains modest, constituting only 2.1 duration are hindering consumers primary mode of Battery charge &
other operational
46.6
from shifting to e-motorcycles. transportation and a
percent of total vehicle sales in Southeast Asia in source of income for low to Charging duration 32.4
middle-income families,
2022. This figure contrasts with 2.3 percent in Expensive price of the EV performance factors such Performance, 28.6
Approximately 56.77% of electric as driving range, charging reliability, safety
India and a substantial 29 percent in China. motorcycles are sold with upfront duration, and speed result Model and 10.2
in hesitation towards type options
Contributing factors to this slow progress include battery cost (charging model),
trusting e-motorcycles.
Spilking the price for customers. Source(s): Institute for essential service reform
Others 1.2
the sluggish development of charging (Indonesia,2022)
infrastructure and the relatively higher cost of Subsidies to promote procurement

Government supports the e-motorcycle roadmap
imported EVs. Sales subsidies totaling to ~$455.8 Million will be deployed in
2024
Since 2019, the Indonesian government continually impose
Combustion conversion subsidies amounting to $339/unit
Additionally, Indonesia's distinctive challenges, regulations to incentivize consumers, reduce manufacturing to cover the conversion cost for electrical engines
such as variations in people's behavior and cost, and accelerate infrastructures for electric two- wheelers
Tax incentives to grow sales
commuting distances, set it apart from direct to achieve its targets by 2030.
Adjusting Luxury Sales Tax (PPnBM) to be based on
comparisons with other countries. The current emissions (PP No. 73/2019)
30% Easing Value-Added-Tax (VAT) from 11% to 1% (PMK No.
lack of significant incentives for individuals to
transition to EVs is influenced by factors like
31,000 67,000 Motorcycle 13.5M 38/2023)
Charging Swapping sales E-motorcycles
comparable prices for charging EV batteries and Stations Stations composed on the road Standardization to enhance infrastructure
by electric Provision of regulatory guidelines: Framework for EV
filling up gas, higher initial costs, limited production, on-the-road usage (Perpres No. 55/2019;
infrastructure, and concerns about resale value. Source(s): CNN Indonesia, 2020; Ministry of Finance, 2023; Ministry of Transportation, 2020; Permenhub No. 45/2020; Permenperin No. 6-7/2022;
Ministry of Industry, 2022; Ministry of Energy & Mineral Resources, 2023
Permen ESDM No. 1/2023)

Indonesian EV Startup Mapping

EV two wheeler producers OEM E-motorcycles
Energy Distribution - Battery Swapping
Battery Production Ride Hailing Ride Hailing

Navigating Challenges and Seizing Opportunities:

The Landscape of Electric Motorcycles in Indonesia
The significant market potential in Indonesia for electric Number of Motorcycles Number of
Year
motorcycles due to the large number of motorbike users / Unit in Millions (Kataboks) electric vehicles
and the relatively low EV penetration.
2023 130.530 74,988* *Oct 2023
Challenges discussed include consumer perceptions,
particularly the belief that electric motorcycles cannot
match the performance of their gasoline counterparts. 2022 125.27 33,461
Resale value concerns, infrastructure issues, and the need
for more affordable and capable EV options are highlighted 2021 120.05 7,498
as obstacles to widespread adoption.
The government's balanced approach, acknowledging the 2020 115.02 2,176

need for gradual localization to meet both quality and
affordability requirements.
The performance and capabilities of electric motorcycles exhibit notable
distinctions from their combustion counterparts. Despite the
The EV industry is still of interest to investors despite acknowledgment of electric vehicles (EVs), only half of those with
economic downturns. The demand for EVs may remain awareness manifest an inclination to acquire them. The predominant
stable due to the focus on environmental, social, and hurdles revolve around the perception that EV engines may not seamlessly
governance (ESG) investments. substitute combustion engines in motorcycles, the limited liquidity in the
resale market, and the inadequate charging infrastructure in numerous
The penetration of EVs in Indonesia is considered early regions. Furthermore, despite the diminished frequency of replacements
stage. The number of registered electric motorcycles is for EV components compared to Internal Combustion Engines (ICE), the
significance of after-sales services remains paramount.
relatively low, but there is optimism about future growth,
especially with recent government subsidies.
Raditya Wibowo, MAKA Motors



DS/innovate is a Jakarta-based
innovation consultant and research firm.
We help companies and enterprises
connect to Indonesia’s startup
ecosystem through advisory, Contact us to know more:
research, hackathons and bizdev@dailysocial.id
incubators/accelerator programs.
Engage with our team to discuss Rahmat Harlyadi Muthia Kamilia
GM of Business Development Sr. Business Development
how innovation ecosystem can +62811-945-805 +628211-477-8017
benefit your company both short
and long term. rahmat@dailysocial.id muthia@dailysocial.id

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Olson, Brian. “Telehealth Utilization Higher Than Pre-Pandemic Levels, but Down from Pandemic Highs.” Epic Research, 21 November 2023,
https://epicresearch.org/articles/telehealth-utilization-higher-than-pre-pandemic-levels-but-down-from-pandemic-highs. Accessed 10 January 2024.
“Potensi Industri FMCG di Indonesia.” SalesGis, 2 December 2020, http://www.salesgis.com/2020/12/tulisan-ini-dikutip-dari-teknologi.html.
Accessed 10 January 2024.
“StoneBridge Acquisition Corporation Shareholders Approve Business Combination with DigiAsia.” EIN Newswires, 22 December 2023,
https://world.einnews.com/pr_news/676782969/stonebridge-acquisition-corporation-shareholders-approve-business-combination-with-digiasia.
Accessed 25 Jan 2024.
Wickberg, Anders. “Industry 4.0 – Indonesia moving up the Manufacturing Value Chain.” 17 December 2023,
https://www.linkedin.com/pulse/industry-40-indonesia-moving-up-manufacturing-value-chain-wickberg-3d/. Accessed 10 January 2024

Date Startup Stage Sector Quarter Value
3 January, 2023 Bingkai Karya Pre-Seed Online Media Q1

5 January, 2023 Evo Commerce Pre-Series A D2C Q1 $2,000,000.00
5 January, 2023 Imajin Seed Funding Manufacture Q1
6 January, 2023 Tentang Anak Seed Funding Edtech Q1
9 January, 2023 FLIK Pre-Seed E-commerce Enabler Q1 $1,100,000.00
14 January, 2023 Surplus Seed Funding Food Tech Q1
16 January, 2023 Mindtera Seed Funding Healthtech Q1 $850,000.00
17 January, 2023 Komunal Seed Funding Fintech Q1 $8,500,000.00
18 January, 2023 Qoala Series B Insurtech Q1 $7,500,000.00
24 January, 2023 Desty Series A Social Commerce Q1
25 January, 2023 DCT Agency Pre-Series A Online Media Q1
26 January, 2023 iSeller Series B SaaS Q1 $12,000,000.00
26 January, 2023 Kargo Tech Venture Round Logistic Q1
31 January, 2023 Eden Farm Pre-Series B Agritech Q1 $13,500,000.00
1 February, 2023 Peris.ai Seed Funding Cybersecurity Q1
6 February, 2023 KiriminAja Venture Round Logistic Q1
9 February, 2023 Waste4Change Seed Funding Waste Management Q1
10 February, 2023 Migo Series C Online Media Q1 $20,000,000.00

10 February, 2023 Asa Ren Seed Funding Biotech Q1 $8,150,000.00

22 February, 2023 Ledgerowl Seed Funding SaaS Q1
27 February, 2023 Semaai Seed Funding Agritech Q1 $2,900,000.00
2 March, 2023 SATU Dental Seed Funding Healthtech Q1
8 March, 2023 Broom Pre-Series A Car Marketplace Q1 $10,000,000.00
14 March, 2023 Gaspack Pre-Seed Web3 Q1
14 March, 2023 Bababos Seed Funding Manufacture Q1
15 March, 2023 Charged Venture Round EV Q1 $3,200,000.00
17 March, 2023 Jagofon Seed Funding Marketplace Q1 $150,000.00
20 March, 2023 Bang Jamin Seed Funding Insurtech Q1
20 March, 2023 Etana Seed Funding Biotech Q1
21 March, 2023 Pajakind Series A SaaS Q1
24 March, 2023 Kredivo Holdings Series D Fintech Q1 $270,000,000.00
27 March, 2023 Amartha Venture Debt Fintech Q1 $15,000,000.00
28 March, 2023 Social Bread Pre-Seed Online Media Q1 $400,000.00
29 March, 2023 Baskit Pre-Seed B2B Commerce Q1 $1,500,000.00
30 March, 2023 Mobee Seed Funding Blockchain Q1
3 April, 2023 Fresh Factory Pre-Series A E-commerce Enabler Q2 $4,150,000.00

3 April, 2023 Swap Pre-Series A EV Q2

10 April, 2023 Travelio Series C Proptech Q2
11 April, 2023 Legit Group Series A Food Tech Q2 $10,350,000.00
12 April, 2023 Fit Hub Pre-Series A Healthtech Q2 $6,500,000.00
12 April, 2023 Cakap Series C Edtech Q2
14 April, 2023 Zi.Care Series A Healthtech Q2
17 April, 2023 Saturdays Venture Debt D2C Q2
19 April, 2023 D3 Labs Pre-Seed Blockchain Q2
19 April, 2023 Ketitik Seed Funding Online Media Q2
2 May, 2023 Kecilin Pre-Series A SaaS Q2 $4,000,000.00
3 May, 2023 Coldspace Seed Funding Logistic Q2 $3,800,000.00
4 May, 2023 Praktis Series A E-commerce Enabler Q2 $20,000,000.00
4 May, 2023 BRIK Pre-Series A Contech Q2 $11,500,000.00
5 May, 2023 Mimin Seed Funding SaaS Q2
8 May, 2023 UENA Seed Funding Food Tech Q2
10 May, 2023 Dektors Seed Funding Online Media Q2
10 May, 2023 PowerCommerce Asia Pre-Series B E-commerce Enabler Q2
15 May, 2023 Looyal Pre-Seed SaaS Q2

15 May, 2023 Ayo Indonesia Seed Funding Sport Q2

16 May, 2023 Titip Seed Funding Logistic Q2
17 May, 2023 Quipster Pre-Series A Marketplace Q2
24 May, 2023 Skorlife Seed Funding Fintech Q2 $4,000,000.00
25 May, 2023 JumpStart Series B Food Tech Q2
26 May, 2023 Evermos Series B Social Commerce Q2 $30,000,000.00
29 May, 2023 Rakamin Seed Funding Edtech Q2
30 May, 2023 Eten Tech Pre-Seed SaaS Q2
31 May, 2023 Ringkas Seed Funding Proptech Q2 $3,500,000.00
8 June, 2023 Fazpass Seed Funding SaaS Q2
9 June, 2023 Lister Pre-Series A Edtech Q2
14 June, 2023 Finfra Seed Funding Fintech Q2 $1,000,000.00
16 June, 2023 Claude Seed Funding D2C Q2
19 June, 2023 SIRCLO Series C E-commerce Enabler Q2 $10,400,000.00
21 June, 2023 Slice Group Pre-Seed Online Media Q2 $645,000.00
22 June, 2023 Finture Venture Round Fintech Q2 $15,000,000.00
22 June, 2023 TransTrack Pre-Series A Logistic Q2 $2,100,000.00
27 June, 2023 Baskit Seed Funding B2B Commerce Q2 $3,300,000.00

1 July, 2023 eFishery Series D Aquatech Q3 $200,000,000.00

1 July, 2023 Halodoc Series D Healthtech Q3 $100,000,000.00
1 July, 2023 MAKA Motors Seed Funding EV Q3 $37,600,000.00
1 July, 2023 Bunker Seed Funding Fintech Q3 $5,000,000.00
1 July, 2023 Eratani Seed Funding Agritech Q3 $2,000,000.00
1 July, 2023 Jagofon Seed Funding Marketplace Q3 $223,000.00
1 July, 2023 Alodokter Venture Round Healthtech Q3
1 July, 2023 KarirLab Pre-Seed Edtech Q3
1 July, 2023 Aevice Health Seed Funding Healthtech Q3
1 July, 2023 Orderfaz Pre-Seed SaaS Q3
1 July, 2023 SoLeLands Pre-Seed Edtech Q3
1 August, 2023 ALVA Series B EV Q3 $50,000,000.00
1 August, 2023 Charged Asia Venture Round EV Q3 $40,000,000.00
1 August, 2023 Beleaf Series A Agritech Q3 $6,850,000.00
1 August, 2023 Rekosistem Venture Round Waste Management Q3 $5,000,000.00
1 August, 2023 Datasaur Seed Funding AI Q3 $4,000,000.00
1 August, 2023 BintanGO Venture Round Online Media Q3 $2,200,000.00
1 August, 2023 GORO Pre-Seed Proptech Q3 $1,000,000.00

1 August, 2023 GENEXYZ Seed Funding Web3 Q3 $1,000,000.00

1 August, 2023 PrimaKu Pre-Series A Edtech Q3
1 August, 2023 PasarMikro Venture Round Agritech Q3
1 August, 2023 Baskit Venture Round B2B Marketplace Q3
1 September, 2023 Novelship Series B Marketplace Q3 $9,500,000.00
1 September, 2023 Bobobox Series B Proptech Q3 $8,300,000.00
1 September, 2023 Mythic Protocol Seed Funding Game Q3 $6,500,000.00
1 September, 2023 KUPU Venture Round SaaS Q3 $6,000,000.00
1 September, 2023 Staffinc Series B Job Marketplace Q3 $3,900,000.00
1 September, 2023 Manuva Venture Round Manufacture Q3 $3,000,000.00
1 September, 2023 Bababos Seed Funding Marketplace Q3 $3,000,000.00
1 September, 2023 Zi.Care Series A Healthtech Q3 $3,000,000.00
1 September, 2023 BroilerX Seed Funding Farmtech Q3 $1,300,000.00
1 September, 2023 Kora Pre-Seed Agritech Q3 $400,000.00
1 September, 2023 Hukumku Seed Funding Legaltech Q3
1 September, 2023 Koltiva Series A Agritech Q3
1 September, 2023 Grouu Venture Round Food Tech Q3
1 September, 2023 Waste4Change Venture Round Waste Management Q3

1 September, 2023 DELOS Series A Agritech Q3

1 October, 2023 Investree Series D Fintech Q4 $234,000,000.00
1 October, 2023 Good Doctor Series A Healthtech Q4 $10,000,000.00
1 October, 2023 Qiscus Venture Round SaaS Q4 $2,000,000.00
1 October, 2023 Grou Pre-Seed Job Marketplace Q4 $40,000.00
1 October, 2023 LUNA Seed Funding SaaS Q4
1 October, 2023 MatchMade Pre-Seed Fintech Q4
1 October, 2023 AMODA Seed Funding Contech Q4
1 October, 2023 ALAMI Venture Round Fintech Q4
1 October, 2023 Little Joy Series A D2C Q4
1 October, 2023 Moosa Genetics Pre-Seed Biotech Q4
1 October, 2023 Kozystay Seed Funding Proptech Q4
1 November, 2023 Compawnion Seed Funding Food Tech Q4
7 November, 2023 Volta Venture Round EV Q4
9 November, 2023 Yoona Seed Funding Healthtech Q4
11 November, 2023 Modalku Venture Debt Fintech Q4 $7,500,000.00
15 November, 2023 Vilo Venture Debt Food Tech Q4
17 November, 2023 Pawprints Seed Funding Food Tech Q4 $1,700,000.00

21 November, 2023 Bizhare Series A Fintech Q4

22 November, 2023 Honest Venture Round Fintech Q4 $18,000,000.00
23 November, 2023 Teratai Seed Funding Venture Builder Q4 $2,000,000.00
28 November, 2023 JALA Series A Aquatech Q4 $13,100,000.00
28 November, 2023 Bioniqa Seed Funding Cleantech Q4
30 November, 2023 Fr8Labs Seed Funding Logistic Q4 $1,500,000.00
4 December, 2023 Gravel Series A Contech Q4 $14,000,000.00
8 December, 2023 Neutura Pre-Seed Cleantech Q4
13 December, 2023 Klinik Pintar Series A Healthtech Q4 $5,000,000.00
21 December, 2023 Rose All Day Series A Beauty Tech Q4 $5,410,000.00
22 December, 2023 Swap Enegry Series A EV Q4 $22,000,000.00
26 December, 2023 Tokopedia Venture Round Marketplace Q4 $1,500,000,000.00
28 December, 2023 Komunal Series A Fintech Q4 $5,000,000.00

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arman@ruangguru.

com 2024-02-12 10:09

Startup Report 2023

Digital Economy Startup Ecosystem Scene 2024 Trends

Digital Economy Growth Funding Data in 2023 B2B Market

arman@ruangguru.com 2024-02-12 10:09

arman@ruangguru.com 2024-02-12 10:09

MCI XYZ Value Creation Initiative : MCI has Built a Comprehensive

Benchmarking to gain insight

arman@ruangguru.com 2024-02-12 10:09

Indonesia's Digital Market :

to normalcy in line with economic normalization.

arman@ruangguru.com 2024-02-12 10:09

Navigating the Regulatory

Navigating the Regulatory Landscape:

The Results of the Regulatory

Ministry of Health's Digital

69% ~15 ~15

Business Dynamics in Multiple Verticals:

arman@ruangguru.com 2024-02-12 10:09

Navigating the Tech Winter: Strategies and Opportunities for Resilience

arman@ruangguru.com 2024-02-12 10:09

Navigating the Tech Winter: Strategies and Opportunities for Resilience

arman@ruangguru.com 2024-02-12 10:09

Funding Trend in 2023:

75 2022 2023 2022 2023

62 quarterly and average

Total funding value quarterly in 2022 vs 2023 In terms of total value,

arman@ruangguru.com 2024-02-12 10:09

arman@ruangguru.com 2024-02-12 10:09

Early consumer,ﬁntech, Merah Growth

Telkomsel Multi internet solution, AI,

Early Early consumer, ﬁntech,

arman@ruangguru.com 2024-02-12 10:09

M&A Dominates as Indonesian Startups Delay IPOs

2020 2021 2022 2023

arman@ruangguru.com 2024-02-12 10:09

List of Announced M&A in 2023

Apr-23 E-commerce Jul-23 Healthtech

May-23 Wealthtech Aug-23 Media Dec-23 Internet

Public Market Updates Listing Date

exchange. However, due to market

arman@ruangguru.com 2024-02-12 10:09

Shutdown & Pivot: Exploring the Process of Adapting in Tech

arman@ruangguru.com 2024-02-12 10:09

Indonesia B2B Landscape

Indonesia's B2B e-commerce, valued at $1.5 billion in 2018, is

Opportunities in the Indonesian Software as a Service (SaaS)

Opportunities in the Indonesian SaaS Market: US$ US$

Navigating SME Adoption, Manufacturing Dynamics, and Regulatory Impacts in Manufacture

Digitization efforts focus on transforming manual

arman@ruangguru.com 2024-02-12 10:09

Resilience and Transformation in B2B FMCG Source : Technavio, 2020

2 Data-Driven Competitiveness: Staying competitive

arman@ruangguru.com 2024-02-12 10:09

Fintech's Role in Revolutionizing B2B Dynamics:

2024 Trends in Fintech Lending: Expresses

arman@ruangguru.com 2024-02-12 10:09

Fintech's Role in Revolutionizing B2B Dynamics:

(comparing data yoy Oct 2022 vs 2023)

Dino Setiawan, Awan Tunai

Revolutionizing Healthcare through Technology:

Digital treatment and care is the largest