Singapore Post (SingPost) has entered a partnership with PT Trikomsel Oke Tbk — a distributor and retailer of mobile phones in Indonesia — to tap on the fast growing e-commerce market in Indonesia.
Indonesia is expected to become the third largest consumer base globally, and the seventh largest economy worldwide, according to SP eCommerce's study. Supporting this, research firm IDC estimates the value of e-commerce transactions in Indonesia to top US$3 billion in 2015, in line with the increasing smartphone use in the country.
To leverage this expected growth, the partnership's strategic objective is to become the preferred go-to-market partner for brands and merchants looking to enter the Indonesian e-commerce market, said Trikomsel and SingPost in a joint media release. The two companies said it will do so by combining the strengths of Trikomsel's distribution network in Indonesia and SingPost's expertise in regional e-commerce and logistics operations to provide end-to-end business to consumers (B2C) e-commerce solutions to businesses, and a seamless shopping experience for consumers.
"Trikomsel has a broad retail distribution reach and will provide access to convenient pick-up locations across the country," explained SingPost's Group Chief Executive Officer Dr Wolfgang Baier. "Trikomsel in return can leverage our expertise in ecommerce logistics as well as our existing business platforms and initiatives to grow their business," he added.
"With solid expertise, technology and resources owned by both parties, we are optimistic that this cooperation will be able to meet and provide innovative, efficient and effective services to our customers across Indonesia," Pak Sugiono Wiyono, President Director of Trikomsel.
Under the partnership, Trikomsel will take a 67 percent stake in the joint venture while SingPost will take the remaining 33 percent stake through its wholly-owned subsidiary SP eCommerce.
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