Indonesia Startup

Report 2015

DS Annual Startup Report 2015

 Content
• Indonesia internet market
• Market overview
• Mobile market
• E-commerce market
• O2O
• Advertising market
• Fintech market
• Investment landscape
• Fundings overview
• Angels revival
• Investment trends in 2016
• Startup landscape
• 2015 in startups
• On-demand services
• E-commerce
• Fintech
• Issues & predictions
• DS10 2015
• DS10 Founders 2016
• DS10 Investors 2016
• DS10 Startups 2016
 About This Report
• DailySocial.id is Indonesia’s fastest growing tech blog that
focuses on startups, entrepreneurship, business, lifestyle and
consumer tech. This report is a curated and aggregated
information on Indonesia’s tech scene, with the sole objective
of helping both local and foreign entities to better understand
the tech landscape.

• Research team:
• Amir Karimuddin - Chief Editor, DailySocial Business
• Adjie Priambada - Journalist, DailySocial Business
• Yenny Yusra - Reporter, DailySocial Business
• Michael Erlangga - Jr. Reporter, DailySocial Business
• Rama Mamuaya - Managing Editor, DailySocial.id
Market Overview
“Internet in Hand: Power of Mobile”

DS Annual Startup Report 2015

General Market Overview
• Indonesia has a GDP per capita of $3,540
($4,900 at PPP) exceeds many of its ASEAN
neighbors such the Philippines and Vietnam,
and with 253 million people (World Bank),
Indonesia’s economy comprises nearly half
of ASEAN economic output.

• The number of households in Indonesia

earning US$5,000 to US$15,000 in annual
disposable income is expected to expand
from 36% of the population to more than
58% by 2020.

• More than 60 million low-income Indonesian

workers are expected to join the middle
class in the coming decade, significantly
increasing the already strong consumer
demand.

• The Indonesian consumer is ranked as one

of the most confident in the world, and 50%
of Indonesia’s 253 million citizens are under
the age of 30
Internet & Mobile Market
• 83,600,000 Internet users (33%)

• 28.3% are categorised as Digital

Immigrants (late adopters, older
generation 40-59 y/o)

• 69.3% are categorised as Digital Native

(early adopters, younger generation
20-39 y/o)

• 281,963,665 active mobile subscription

(113% population)

• 99% prepaid customers

• 34% mobile connection is broadband

Source: Tiket, APJII & AdPlus
 Devices Used

85% 32% 14% 13%

Source: APJII 2014-2015

 Top 10 Popular Sites
1. 6.

2. 7.

3. 8.

4. 9.

5. 10.
Source: Alexa 2015
50% most popular sites

are local.
 A Facebook Country
• Indonesia is the 4th largest
Facebook population in the
world.
• 70% of Facebook users in
Indonesia are under 25 years old
• 75% of Facebook users in
Indonesia accessing through
mobile devices
• Male-Female ratio is 53-47

Indonesia’s President Joko Widodo with Facebook CEO Mark Zuckerberg

Time Spent
of the internet via a pc or tablet (internet
users) 5h 06m

of the internet via a mobile phone 3h 10m

of social media via any device (social

media users) 2h 52m

television viewing time (internet users

who watch tv) 2h 29m
Market Overview
Mobile Market
 Internet Access
2014 Q4 2015 Q1 2015 Q2

70%

62.63% 61.16%
59.08%
52.5%

35%

27.69% 28.3%
26.35%
17.5%

11.03% 11.15% 12.61%

2G 3G Wifi
Android Version
• In 2014 Q4, 80.10% of people used
lower than version 4.4, and this
percentage dropped to 59.20% In
2015 Q2.

• However, 15% of the market share is

still using version 2.X.

• It is thus still important to

consider compatibility for lower
OS versions when developing
apps.
Source: Baidu Data, Indonesia users, 2015
 App Download Days
Non-game download Game download

Sunday

Saturday

Friday

Thursday

Wed

Tuesday

Monday

0% 25% 50% 75% 100%

Source: Baidu Data, Indonesia users, 2015

App Download Behaviour
• 16.67% of users download apps
on a daily basis. On average,
each user downloads 0.65 apps
per day.

• There is a large discrepancy in

the number of apps individual
users download per day.

• 39.84% of users download 1 app

per day, while 22.73% of users
download 5 or more apps per day.
Source: Baidu Data, Indonesia users, 2015
 Payment 

Credit Card
7%
Methods
Others
8%

Cash On Delivery Bank transfer

28% 57%

Source: PaymentsAsia
Mobile ARPU
• Quarterly ARPPU Average
Payment Size

• Carrier billing ARPPU:

• Q2 ’15: $7.83

• Q3 ’15: $6.13

• Carrier billing ARPPU change

QoQ:-21.7%
Source: Fortumo
Market Overview
E-Commerce Market
E-Commerce in Indonesia
• E-commerce shopping makes up just 1-2% of total retail sales in SEA.
This compares with 16% in Korea, 12% in the U.S. and 8% global average

• Indonesia has been extensively mentioned as the next frontier for e-

commerce after China and India.

140 e-commerce sites participate in National Online Shopping Day 2015 in Indonesia
 Popular E-Commerce 

Brand Index
Lazada
Tokopedia
OLX
Bukalapak
Zalora
Elevenia
Blibli
Rakuten
Qoo10
FJB Kaskus
Groupon Disdus
Berrybenka
Bhinneka
Matahari Mall
PinkEmma
0 10 20 30 40

Source: W&S Research

 E-commerce Sales Growth
90%
85%

67.5% 71%

45%
45%

0.35 37%
0.34
0.31 0.3
22.5% 26% 0.24
0.22 0.2 22% 0.2
0.18 0.17 0.15 0.14

0%
2012 2013 2014 2015 2016 2017

Indonesia India Worldwide

Source: SparkLabs
 Estimated B2C Sales
$32
$30.31
$27
$25.65

$21 Indonesia
$20.74 India
$16 $16.32

$11

$5
$4.89
$3.56
$1.79 $2.60
$0
2013 2014 2015 2016
(in billions)

Source: SparkLabs
Market Overview
Advertising Market
 Digital & Mobile 

Advertising Budget
8000
$7,800

6000

4000

2000

$460 $800
0
2014 2015 2019
(in millions USD)
(Predicted)

Source: eMarketer
 According to a recent survey by
TubeMogul, last year purchases of
video ads in Indonesia 

grew by more than

600%
the fastest in Southeast Asia
Market Overview
Fintech Market
 Only 19% of Indonesia
population is BANKABLE
Impact of Fintech
• Structural solutions for the e-commerce
industry
• Enable SMEs and the small
businessman
• Enable development (mass market
remains largely unbanked)
• Reduction in operating cost
• Customer-centric
• New cross-selling opportunities
• Mobility & Accessibility
• Better risk-management
• Simpler and Faster access to credit
Source : Kejora, Mountain Indonesia, ideabox, HK Fintech
Investor Overview
“The Rise of the Angels & Giants”

DS Annual Startup Report 2015

 2015 Overview
• It’s an amazing year for the startup ecosystem in Indonesia.
Although there is some gravel, industrial growth still looks super
attractive and slowly began to have broad impact to society.
• One factor that makes the startup ecosystem Indonesia grow this
year is the flow of investment funds and we recorded at least 70
publicly announced investments in 2015.
• Approximately 50 capital owners invested this year and it includes
funding to startups outside Indonesia.
• Some significant growth of financing activities by angel investors
in Indonesia was recorded too in 2015. In addition to that, this year
Indonesia officially had two angel clubs: Angel EQ and ANGIN.
 Investor List
Investor Name Categories Based Portfolio 2015

• Local: Giftcard, HappyFresh

Sinar Mas Group [SMDV] Corporate VC Indonesia
• Foreign: aCommerce, Omise
• Local: MatahariMall, Giftcard, Bridestory, Telunjuk,
Lippo Group
Corporate VC Indonesia Ruangguru
[LDV and Venturra]
• Foreign: Prenetics, BitX
• Local: Dealoka, Qerja
SB-ISAT Fund Corporate VC Indonesia
• Foreign: Techinasia
EMTEK Group • Local: HijUP, Bukalapak, Bobobobo, Kudo
Corporate VC Indonesia
[Kreatif Media Karya] • Foreign: PropertyGuru
Skystar Venture • Local: HijUP, Bridestory
Venture Capital Indonesia
[Skystar Capital] • Foreign: None
• Local: Indotrading, Adskom, YesBoss, Qraved
Convergence Ventures Venture Capital Indonesia
• Foreign: Paktor, Ematic Solutions
• Local: Jualo
Mountain Kejora Ventures Venture Capital Indonesia
• Foreign: None
• Local: Jualo, UangTeman, IDBlogNetwork
Alpha JWC Ventures Venture Capital Indonesia
• Foreign: None
• Local: 8Wood, eFishery, Stockbit, Bhinneka
Ideosource Venture Capital Indonesia
• Foreign: TuringSense
• Local: Goers
Indigo Incubator Incubator Program Indonesia
• Foreign: None
 Investor List
Investor Name Categories Based Portfolio 2015

• Local: Indotrading, Kleora [Prelo

Rebright Partners Venture Capital Singapore
• Foreign: None

• Local: Kudo, Touchten

GREE Ventures Ventures Capital Singapore
• Foreign: None

• Local: Kudo, Fabelio, YesBoss

IMJ Investment Partners Venture Capital Singapore
• Foreign: None

• Local: Kakoa Chocolate

LGT Venture Philanthropy Venture Capital Switzerland
• Foreign: None

• Local: HappyFresh
Ardent Capital Venture Capital Thailand
• Foreign: aCommerce

• Local: Go-Jek
Sequoia Capital Venture Capital America
• Foreign: None

• Local: Ralali
CyberAgent Ventures Venture Capital Japan
• Foreign: None

• Local: Fabelio
KK Fund Venture Capital Singapore
• Foreign: None

• Local: Yogrt
Linear Ventures Venture Capital Singapore
• Foreign: None

• Local: HappyFresh
Asia Venture Group Micro VC SEA Region
• Foreign: None
 Investor List
Investor Name Categories Based Portfolio 2015

• Local: Bornevia, Jurnal, Bridestory, WhatWeLike, Otten

Coffee, Livaza, Kudo, Ralali, Adskom, Cermati,
East Ventures Venture Capital Japan BerryKitchen, PopBox Asia, Talenta, IDNTimes, Konsula,
Jojonomic, Prinzio, RuangGuru
• Foreign: Omise, Techinasia

• Local: Bornevia, Ralali, Cermati

Beenos Venture Capital Japan
• Foreign: None
• IN:: Giftcard, Bridestory, Berrykitche
Sovereign’s Capital Venture Capital Japan
• Foreign: None
• Local: Giftcard
RMK Ventures Venture Capital ???
• Foreign:: None
• Local: VIP Plaza
Yahoo Japan Capital Venture Capital Japan
• Foreign: None
• IN:HijUp, Bridestory, Talenta
Fenox Ventures Capital Venture Capital America
• Foreign: Techinasia
• Local: HijUp, ZeemiTV, Kudo, Touchten, Fabelio,
500 Startups Venture Capital America HappyFresh, YesBoss, Qraved
• Foreign: Omise, Ematic Solutions
• Local: Vela Asia [Paraplou]
Ajuven Venture Capital Singapore
• Foreign: Paktor
• Local: Indotrading
GMO Gate Venture Venture Capital Japan
• Foreign: None
• Local: Indotrading, Laku6
Golden Gate Ventures Venture Capital Singapore
• Foreign: None
 Investor List
Investor Name Categories Based Portfolio 2015
• Local: Dicoding
DailySocial Media Company Indonesia
• Foreign: None
• Local: elevenia
XL Axiata Telco Company Indonesia
• Foreign: None
Hospitality • Local: Bobobobo
Ismaya Group Indonesia
Company • Foreign: None
Finance • Local: Goers
Undisclosed Indonesia
Institution • Foreign: None
• Local: IDBlogNetworks
Undisclosed Undisclosed Indonesia
• Foreign: None

Jakarta’s
Institutional Investor • Local: MobilWow
Undisclosed Indonesia
[early backer • Foreign: None
Tokopedia]

Jakarta’s
Institutional Investor
• Local: MobilWow
Undisclosed [Hospital & Property Indonesia
Development
• Foreign: None
Copany]
Angel Investments
Angel Name Funding in
Anonymous Grivy
Badroni Yuzirman Tees.co.id

Anonymous SociaBuzz

ANGIN Kakoa Chocolate

Anonymous Kleora [Prelo]

Anonymous Ralali

Roshni Mahtani
Fabelio
Sandeep Tandon

Anonymous

Anonymous Goers

Anonymous

Indra Djokosoetono Maskoolin

Andy Zain Laku6

Toivo Annus Qraved

ANGIN Taralite

ANGIN KitaBisa
 Angels’ Club
Name Angel Club Name Angel Club
Mariko Asmara ANGIN Shinta Dhanuwardoyo Angel-eQ
Stephanie Hermawan ANGIN Sandiaga Uno Angel-eQ
Veronica Lukito ANGIN Tony Fernandes Angel-eQ
Johanes Soetanto ANGIN Erick Thohir Angel-eQ
Izak Jenie ANGIN Erik Meijer Angel-eQ
Iwan Tjam ANGIN Adi Sariatmadja Angel-eQ
Diono Nurjadin ANGIN Emil Abeng Angel-eQ
Harun Hajadi ANGIN Michael Steven Angel-eQ
Christopher Angkasa ANGIN Adriani Onie Angel-eQ
Revival of Angel Investors

• On October 2015 ANGIN announced 11 new

members joining their angel network, adding to a
total of 26 Angels at the club.
• Shortly after, Angel-eQ Network was officially
launched with15 initial members.
• Indonesia now has 100+ angels who are ready to
invest in startup. Including both angel club
members and individuals investing in tech startups.
 “Our ecosystem needs much more
angel investments done. We cannot
sustain these many VCs operating in
the country without angel-invested
companies feeding their pipeline.”

Dondi Hananto
Founder of Kinara Indonesia, Angel Investor
 Tech
Strategic Partnership
1%
Investments
3%
Undisclosed
8%
in Indonesia
4%

Series B
4%

Seed
49%
Seed
Series A
Series B
Series A Series C
30% Private Equity
Undisclosed
Strategic Partnership
Investment by Categories
Marketing Payment Sharing
Categories e-Commerce Entertainment Media Social Media
Platform Gateway e-Conomy

Total 33 1 3 1 1 3 3

Wearable Developer
Categories Hospitality Travel Software Daily Deals Salary Portal
Devices Hub

Total 1 4 4 4 1 1 1

Peer-to-peer Hardware Virtual

Categories Healthcare Game FinTech Logistic
Courir Agriculture Assistant

Total 3 1 1 6 1 1 1

Categories Crowdfunding Education

Total 1 1
 Investment Categories
40

30

20

10

0
E-commerce Marketing Platform Media Social Media Wearable Travel SaaS Healthcare Fintech
E-commerce still got a lot of funding
because a lot of them already large
and mature. Market in Indonesia also
at inflection point this year.
Willson Cuaca
East Ventures
 Investment by Quarter
(2015)
20
20
19

15 16 16

10

0
Q1 Q2 Q3 Q4
 Active Investors
• East Ventures with 20 activities, it’s including co-
investment to startup outside Indonesia. 18
Indonesia startups, 2 Outside.

• 500 Startups with 10 activities, including co-

investment outside Indonesia. 8 Indonesia startups,
2 Outside.

• Lippo Group with 7 activities including co-

investment outside Indonesia. 5 Indonesia startups,
2 Outside.
 Investment Trends 2016

Advertising
8%
IoT
8%

SaaS Fintech
What investors think will 8% 42%
be the next big thing in
tech investment E-Commerce
8%

On Demand
25%
 Newly Announced Funds
Investor Name Capital Region
Formation8 [via F8 Asia Growth] $400 M [expected] SEA Region and South Korea

Pakistan, Bangladesh, Sri Lanka, &

Aavishkaar [via Aavishkaar Frontier Fund] $75 M [expected]
Indonesia [North Atlntic Inc.]

Golden Gate Ventures $50 M [expected] SEA Region

Venturra Capital by Lippo Group $150 M [expected] Indonesia & SEA Region

Mandiri Capital $ 36 M [expected] Indonesia

CyberAgent Venture $25 M [expected] Indonesia

Startup Scene
“Growth. Growth. Growth”

DS Annual Startup Report 2015

 The Hype

On Demand Services Fintech E-commerce

These 3 startup verticals has been seeing

a major traction both from consumer side
and from investor side, and are showing
no signs of slowing down in 2016.
On Demand Services (1)
• Go-Jek rapidly grow as a king in this sector. Their vision is to
build that one app where consumer can facilitate Anything-
On-demand. By the end of the year, Go-jek has Go-Ride, Go-
Food, Go-Send, Go-Mart, Go-Box, Go-Busway, and recently
launched Go-Life (Go-Clean, Go-Glam, and Go-Massage).
• Go-Ride became a massive service used by consumer in
Jakarta, Jogjakarta, Bandung, Bali and a few other cities to
outsmart the traffic using motorcycle transportation, while Go-
Food claimed as a market leader for food delivery service,
leaving FoodPanda and KlikEat behind. It’s the prove that
Indonesian love to be served.
• Another startup like Monolia come up with broader category
like photo services, household services, and so on. Go-Jek
has approximately 200 thousand driver partner, and rumours
on the street says that Go-Jek is now valued close to US$1bn
as the result from the latest stealth funding from Digital Sky
Technologies, a Silicon Valley VC led by billionaire Yuri Milner.
On Demand Services (2)
• The new competition on the on-demand space, is
between YesBoss and HaloDiANA. Both companies are
essentially doing the same thing, private virtual assistant
startup trying to help consumer to do anything from
ordering food, paying bills, shop, buy movie tickets and
so on. Although both startups haven’t monetise their
service, but both are talking to platform owners such as
Go-jek and GrabTaxi to collect commission. HaloDiana
launched their Android app on Q4 in order to pump
recurring orders, while YesBoss is currently developing an
AI system using NLP to help machine communicate with
consumer, a huge risk, but if succeed, will make YesBoss
a highly scalable company.
• YesBoss closed funding at around six digit figures lead by
500 Startups in September 2015.
• In the other hand, Halo DiANA is a perfected feature of
Sribulancer’s virtual private assistant. Sribulancer is a
freelancer platform founded since 2014, and funded by
East Ventures.
 Fintech Investments
• Fintech is growing very fast. The urge to reach unbanked people in the whole
country quite fast, while e-commerce growth and adoption is really promising.
Fintech is the tool to escort the e-commerce vertical reach it’s best state.
• Payment gateway itself has already established, the only thing that is left is
educating and giving the market financial products with or without banks’
intervention in the simplest way. Major local players such as Veritrans, Doku,
CekAja, NgaturDuit, UangTeman, etc, named as a top of mind fintech player
in the industry recently.
• The number of investment also grow in the significant amount:
• Compare88 (parent company of CekAja) handed series A funding from
Monk’s Hill Ventures
• Indotrading nabbed Series A funding worth $1,5 million
• HaloMoney’s parent company received $40M from Goldman Sachs, Nova
Founders Capital, and others
• SinarMas Digital Ventures led investment into Omise $2.6M
• Cermati closed seed funding from East Ventures
• Stockbit Closed Seed Funding from Ideosource
• Jojonomic grabbed seed funding from East Ventures
• Taralite closed seed funding from ANGIN after incubated by GEPI
• Indonesian Fintech Association “FinTech Indonesia” was founded in 17th
Sept 2015.
 Notable E-Commerce
Investments
• Lippo Group is the biggest spender in the industry, spent $500M at
MatahariMall in March 2015.
• One of the early player Bhinneka injected $22M from Ideasource at
last.
• Prinzio got $400K from Raksul and East Ventures
• $1M given to Tripvisto from Gobi Partner
• Laku6 secured seedfunding from Golden Gate Ventures and
Mountain SEA Ventures at undisclosed amount
• Maskoolin grabs funding from Grupara, rumors said its around $1M
• Telunjuk closed series A from Lippo Digital Ventures
• HijUp secured another $1M from Fenox Capital, 500 Startups, and
EMTEK Group
• Fabelio grabbed $500K led by 500 Startups
• PropertyGuru booked $130M from Square Peg and EMTEK Group
• Ralali booked Rp 33 Billion of Funding
• Kudo secured series A funding from EMTEK Group
• Prelo (known as Kleora) got $40K from Rebright Partners
• iPrice Groups sealed seed from Asia Venture Group for $550K
 Issues & Challenges
Government Regulation
7%
Infrastructure

“
12%

As a startup founder in Indonesia,

what is your biggest challenge?
Capital availability

“
35%

Talent acquisition
46%
Issues & Challenges: Talent
• Talent is a big big big issue for tech
startups in Indonesia. It’s very hard to find
digital savvy professionals across function,
but specifically in the tech department.
Talent war & poaching has been a
common practice among well funded
startups where they can pay up to 2-3x
salary + signing bonus in order to poach
people and grow their tech team. The root
of the problem: universities do not
produce enough tech talents with
ambition and drive to be able to work at
high-pace startup companies.
Issues & Challenges: Capital
• Although most startups say that
capital availability is one of the
biggest problem, ironically, investors
has been saying that finding a good
founder/startup is very hard as well.
This proves the disparity between
investors and founders. A lot of
founders are still not ready to be
invested, although this number is
decreasing quite rapidly.
Founders Maturity
• Startup founders nowadays
equipped with a lot of resources,
some failed in the past (first
generation startup founders, ca.
2009-2011) but they bounce
back well-prepared

• Series A founders profile with

strong business model and
traction came from startup
background

• Raise funding more than last

year, past experience in startup
making a huge point for investors
 Notable 

Mergers/Acquisitions
• ADplus acquired by Yello Mobile
• Lamudi Indonesia acquires PropertyKita
• Kresna Graha Investama Acquires Three Startups
• Rumah.com acquires RumahDijual
• Fimela Media Network merged with KapanLagi
Network
• KapanLagi Network acquired by Mediacorp
• Quipper acquired by Recruit Holdings
• Karir.com acquired by EMTEK
• HipWee.com acquired by MigMe
• ShopDeca acquired by MigMe
Conclusion
DS Annual Startup Report 2015
 Conclusion (1)
• Mobile e-commerce will become something big. Already some
players such as Carousell, Shopee, Coral, Lyke, SaleStock and
others trying to grab the e-commerce market.

• O2O commerce is showing to be popular as a bridge between the

newly digitised market with e-commerce companies & services.

• Financial technology shows huge early traction in 2015 and it will

only go up in 2016.

• On-demand services has changed the landscape in 2015, and

will become stronger and stronger in 2016. The number of
investment and startups in this particular vertical is growing by the
day.
 Conclusion (2)
• More and more angel investor will come out and
start clustering via angel networks. This will help the
foundation of the investing scene in Indonesia.

• A lot of conglomerates already getting into the tech

scene in 2015, and in 2016 we will see the laggards
starting to bring their offline strength online.

• 2016 will be the year of M&A, where a lot of

companies will either merge, getting acquired or
simply shut down.
 Conclusion (3)
• Current government has shown positive efforts in order to
help push the growth of the digital economy, although
there are still resistance from old traditional corporates with
strong lobbying power.

• Ministry of Communications & Informatics led by

Rudiantara has been very actively involving industry
players in order to get feedback for regulations.

• Although the government has been pushing some

regulations on e-commerce, local players has been very
rigorous in running against it. Government is not
showing signs of revising the regulation anytime soon.
For feedback on this report : research@dailysocial.net
For business & partnership inquiries : bizdev@dailysocial.net

DS Annual Startup Report 2015