Expansion of Mobility Services and Its Impact on the Development of a Cashless Society in Indonesia(13)

Spread of mobility service and Indonesian cashless society

It goes without saying that such spread of mobility services accelerated by actualization of e-payment on mobile gadgets has raised the expectation of a cashless society in Indonesia. 

As a result, financial environments without coins and bills have been realizing inch by inch. For instance, it is commonly observed that IT-savvy youngsters enjoy full benefits of a cashless society with Go-Jek or Grab on a daily basis.

Expansion of Mobility Services and Its Impact on the Development of a Cashless Society in Indonesia(2)

Recent startup boom across Southeast Asia

This figure is over 30% higher than the total startup investment of $7.9 billion in 2017. This is far startling because investment in Southeast Asian startups failed to reach even $1 billion in 2013. 

Consequently, 10 unicorns have been emerged in the region. VNG, an online game platform in Vietnam and Go-Jek, an Indonesian application-based ride-hailing service provider are renowned digital players. Why startup markets in Southeast Asia have been much spotlighted? 

Expansion of Mobility Services and Its Impact on the Development of a Cashless Society in Indonesia(10)

Spread of mobility service and Indonesian cashless society

Beginning from the desperate idea of improving chronic traffic congestions in urban districts, both Go-Jek and Grab have risen to their fame as supper applications inevitable for daily lives of the Indonesian people, young generation in particular. 

As snowballing amount of investment continues to rush in, anticipation has been getting bigger that the local mobility market will fulfill its growth potentials in a maximum level. Huge success of two mobility startups in Indonesia can be partly attributed to the introduction of e-payment methods to their applications.

Expansion of Mobility Services and Its Impact on the Development of a Cashless Society in Indonesia(9)

Spread of mobility service and Indonesian cashless society

In tandem with the e-commerce, fintech and online travel areas, mobility service has been often acclaimed as the leading trailblazer of the Indonesian digital economy. 

It is due to the rapid development of the mobility industry mainly triggered by ever-intensifying rivalry between Go-Jek and Grab, two and only decacons in Southeast Asia. 

Expansion of Mobility Services and Its Impact on the Development of a Cashless Society in Indonesia(2)

Recent startup boom across Southeast Asia

According to Tech in Asia , startups in Southeast Asia were awarded with as much as $10.9 billion in investment in 2018. This figure is over 30% higher than the total startup investment of $7.9 billion in 2017. This is far startling because investment in Southeast Asian startups failed to reach even $1 billion in 2013. 

Consequently, 10 unicorns  have been emerged in the region. VNG, an online game platform in Vietnam and Go-Jek, an Indonesian application-based ride-hailing service provider are renowned digital players.

Startup fever in Southeast Asia and its implication for India(3)

Recent startup boom across Southeast Asia

Lazada, an e-commerce platform in Singapore and Gojek, an Indonesian app-based ride-hailing service provider are well-known cases. It is mainly young Southeast Asians equipped with experiences of studying in Western countries who initiated startup craze in the region. 

As more and more young generations across the region rush to kick off their own companies, business models of startups are getting shaped up in a various way. For example, attempts to introduce mobile technology to region-specific circumstances have been drawing enormous attention. 

Spread of mobility service and Indonesian cashless society(2)

Spread of mobility service and Indonesian cashless society

Huge success of two mobility startups in Indonesia can be partly attributed to the introduction of e-payment methods to their applications. Go-Jek and Grab added electronic payment function to their applications back in 2016. 

In a country where less than 10% of the population holds credit cards, implementation of e-payment system on mobile devices served as a game changer for the leapfrog of the mobility market.

Spread of mobility service and Indonesian cashless society(1)

Spread of mobility service and Indonesian cashless society

Mobility service is often acclaimed as the leading trailblazer of the Indonesian digital economy. 

It is due to the rapid development of the mobility industry mainly triggered by ever-intensifying competition between Go-Jek and Grab, two and only decacons, privately held startup companies valued at more than $10 billion, in Southeast Asia. Both Go-Jek and Grab have risen to their fame as supper applications inevitable for daily lives.

Spread of mobility service and Indonesian cashless society(2)

Spread of mobility service and Indonesian cashless society

As snowballing amount of investment continues to rush in, anticipation has been getting bigger that the local mobility market will fulfill its growth potentials in a maximum level. Huge success of two mobility startups in Indonesia can be partly attributed to the introduction of e-payment methods to their applications. 

For example, after purchasing a few electronic wallet-related startups, Go-Jek added Go-Pay, an e-payment function to its application in April, 2016.

Spread of mobility service and Indonesian cashless society(2)

Spread of mobility service and Indonesian cashless society

Huge success of two mobility startups in Indonesia can be partly attributed to the introduction of e-payment methods to their applications. Go-Jek and Grab added electronic payment function to their applications back in 2016. 

In a country where less than 10% of the population holds credit cards, implementation of e-payment system on mobile devices served as a game changer for the leapfrog of the mobility market.

Spread of mobility service and Indonesian cashless society(2)

Spread of mobility service and Indonesian cashless society

As snowballing amount of investment continues to rush in, anticipation has been getting bigger that the local mobility market will fulfill its growth potentials in a maximum level. Huge success of two mobility startups in Indonesia can be partly attributed to the introduction of e-payment methods to their applications. 

For example, after purchasing a few electronic wallet-related startups, Go-Jek added Go-Pay, an e-payment function to its application in April, 2016.