The forks in the path to become Indonesia’s first social commerce unicorn

Indonesians are among the world’s biggest social media users; and now, e-commerce is taking off there. Social commerce startups like Super, KitaBeli and ChiliBeli are growing by double digits every month, and attracting funding. But they must find the right model to realise their potential

Group-buying, community selling, online influencers—these are some social commerce models that have minted US$1 billion-valued startups in India and China

Indonesia’s social commerce challengers include Super, which just raised US$28 million, and VC-backed KitaBeli, RateS and Chilibeli

All four platforms are coming up with different strategies to gain a share of the market, which could be worth US$25 billion by 2022

Getting the right model is key, as Meesho, the Facebook-backed Indian unicorn, found when it failed with an expansion effort in Indonesia

A twenty-something influencer promotes an up-and-coming beauty brand via Instagram Live. He reviews the product line, drops the price, explains how it’s a bargain, and then lets viewers know where they can buy it.

A middle-aged woman regularly shares household items on sale to her friends on their WhatsApp group. They place their orders through an app together. They get the items at a discount because they buy together.

An agent collects his neighbours’ monthly grocery orders. He orders the goods in bulk and distributes them to his community after the shipment arrives.

Three different types of sales, but they all fall under the same category.

AUTHOR

Yunindita Prasidya

Based in Bali, Dita writes about Indonesia’s growing digital economy, including how technology is shaping the lives of young Indonesians and impacting traditional industries. She was previously a reporter at The Jakarta Post.

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