The Indonesian market may become a hot spot for the next iGaming market. Why? Today, we will talk about whether the Indonesian iGaming market will become the next hot market country! In fact, in previous articles, this article also mentioned the Indonesian iGaming market many times. But in line with the principle of saying important things three times, today we will talk about Indonesian gambling from different angles.

Indonesia is a Muslim-majority country where gambling is prohibited under Sharia law. The Indonesian government is also cracking down on gambling. Therefore, it is somewhat difficult to obtain data or information on iGaming in Indonesia. Although the Indonesian authorities have been cracking down on Indonesian gambling, gambling is still a very popular form of entertainment for Indonesians. After all, not everyone can afford an easy and quick way to make money while satisfying their sensory and stimulation needs. In fact, qualified Indonesians will go to neighboring countries, such as Malaysia or Singapore, to experience gaming. At the same time, in Indonesia, many iGaming companies have also entered the Indonesian iGaming market, whether as a vanguard or a pathfinder in the iGaming market. For iGaming companies, their market vision has never left the Indonesian market, and they have been paying attention to the Indonesian gaming market. However, with the development of Indonesia's economy and the rapid development of the Internet, gambling has begun to enter the eyes of ordinary people, which has also brought about changes in attitudes in the gambling market and other factors. Possibly Indonesia will become one of the emerging iGaming hotspots in Asia.

What are the requirements for a potential iGaming market?

The iGaming market is an area of ​​opportunity and competition. For gaming platform investors, it is crucial to assess the potential of a country’s iGaming market before entering a new gaming market. TC-GAMING has been deeply involved in the iGaming industry for 16 years, and often collects and organizes data on the iGaming market. We hope that these data can provide a certain reference value when you make a final decision.

Political and Economic Stability.

If you want to invest in gambling in a country, the country's political environment and economic development prospects must be stable, which is an important basis for creating a favorable iGaming platform. After all, gambling is not a war business. At the same time, it is necessary to understand the country’s predictions on changes in gambling market regulations and future development trends, as well as the impact that future regulatory adjustments may have on the market.

Market size and growth potential

Dimensions for assessing a country's iGaming market potential and growth trends include the country's population size, economic development level, etc. A potential gambling market should have a large user base and room for growth.

Network infrastructure and payment systems.

Internet access speed and stability, penetration rate, smartphone adoption rate, payment system diversity and e-wallet usage are among the prerequisites for iGaming operations, and payment is also the core of the iGaming industry.

Competitive conditions and market flow barriers.

Evaluate the level of competition in the iGaming market and the ease with which new players can enter a country's iGaming market to ensure whether there is an opportunity to gain share in the country's gambling market and how much share it can capture. It is necessary to study the competitors that already exist in the market and their market shares, as well as the current traffic barriers in the market.

User needs and preferences

Understanding user needs and preferences is also a key element in assessing market potential. By studying the country's culture, social customs and consumer behavior, we gain a deeper understanding of users' needs and preferences for gambling, including interest in different types of gambling games. Taking into account factors such as the country's sports culture, acceptance of gambling types, etc., it is possible to provide targeted game types or marketing promotion programs for the gambling platform to better meet the needs of the local gambling market.

Safety and credibility

Ensuring the financial security and personal information protection of bettors is an important condition for a high-quality iGaming market. The gaming platform should take appropriate security measures, such as data encryption, secure payment systems, and a compliant privacy policy, to ensure that player information is not stolen or misused. Eliminate the concerns of bettors about the gaming platform.

Then let us conduct further analysis on the Indonesian iGaming market based on these conditions.

Indonesia's political environment and economy

Indonesia is the fourth most populous country in the world and the largest Muslim country. It is also one of the largest economies in Southeast Asia. The Indonesian economy has maintained relatively stable growth. As of 2023, Indonesia's per capita GDP is US$4,332. In terms of per capita income alone, it has exceeded Vietnam and the Philippines by about US$500. It is also twice that of India. (According to data released by Statistics Indonesia, Indonesia’s economic growth rate in 2022 will be 5.31%, not only returning to the pre-epidemic annual growth rate of about 5%, but also the fastest growth rate since 2013.) Indonesia implements a multi-party system country, except that the Asian financial crisis in 1997 had an impact on Indonesia and caused turmoil. Indonesia's political environment has been relatively stable in the past 20 years.

Indonesia’s iGaming market potential

Indonesia has a population of 276.4 million, made up of various ethnic groups and religions. The Javanese is the largest ethnic group in Indonesia, accounting for about 40% of the country's population. It can be said that they have certain advantages in terms of population. However, per capita income differs significantly between urban and rural areas, with per capita income generally higher in urban areas. (At the beginning of 2022, 57.9% of Indonesia's population lived in cities and 42.1% in rural areas.) At the same time, Indonesia is also the world's largest Muslim population country, with about 87% of Indonesians believing in Islam. It can be said that if you enter the Indonesian market, basically the bettors are Muslims. Indonesian population aged 18-64 accounts for 62.9% of the national population. 49.7% for women and 50.3% for men.

Internet situation and payment system in Indonesia

Indonesia has a sizeable base of 212.9 million Internet users (up from 204.7 million last year, an increase of 10 million a year). From the perspective of network infrastructure and payment systems, Indonesia's Internet penetration rate has reached 77% of the total population, and it has 167 million social media users, accounting for 60.4% of the total population. A total of 353.8 million cellular mobile connections were active, a figure equivalent to 128.0% of the total population. (This also shows that more and more people are starting to use the Internet, perhaps one person has multiple computers, which can be used for other purposes. This also illustrates the increase in the application of the Internet in Indonesia)

Payment channels are at the heart of the iGaming industry. According to data from 2021, the number of e-wallet users in Indonesia has exceeded 100 million. But now this number may change because the e-wallet market is in a rapid development stage in Indonesia and the number of users may increase over time. The most popular e-wallet providers in Indonesia include GoPay, OVO, DANA, LinkAja and GrabPay. These e-wallet services are widely used in various scenarios in Indonesia, including shopping, takeout, transportation, utility bill payment, etc.

According to data, in January 2020, e-money transaction volume in Indonesia's retail market increased by 173% year-on-year. As Indonesia moves towards a cashless environment, non-bank financial technology has taken a dominant position. In January 2020, e-money transaction volume reached Rp 15.8 trillion. In Indonesia, the largest digital transactions came from retail (28%), online shipping (27%), food orders (20%), e-commerce (15%) and bill payments (7%). From these data, we can also see that Indonesians use e-wallets very frequently on a daily basis. From the perspective of payment channels, Indonesia has a gradually mature Internet market and payment system, which provides strong support for the development environment of the iGaming market.

Competitive conditions and market flow barriers.

1. Customer attritionUsers attach great importance to the reliability and stability of iGaming platforms. If a betting platform frequently experiences glitches, delays or instability, users may lose trust and choose to move to other, more reliable platforms. User churn will have a negative impact on the platform’s activity and profitability.


2. Feedback and Word of Mouth Questions:Users often provide negative feedback about unstable iGaming platforms and share their experiences on social media, forums or word of mouth. Negative word-of-mouth may damage the reputation and image of the platform, affecting the recruitment of new users and market competitiveness.


3. Economic losses:The instability of the iGaming platform may cause users to be unable to place bets, recharge or withdraw money normally, resulting in financial losses. Users may reduce their betting amounts or stop using the platform as a result, thereby affecting the platform's profitability.



4. Damaged brand image:Stability issues with iGaming platforms can have a negative impact on brand image. Users may perceive the platform as untrustworthy or unprofessional, thus negatively evaluating the overall image of the iGaming platform. This could lead to long-term reputational damage and adversely affect the platform's market position.

1. Quick launch:White Label iGaming provides a complete iGaming platform solution, including front-end website (can also be customized), back-end management system (can also be customized), payment system, game interface, etc. Using White Label iGaming's services can quickly start and launch the iGaming platform, saving the time and cost of self-development and construction, and it can usually be launched within 10 minutes.


2. Technical support and maintenance:White Label iGaming usually provides 24/7 technical support and maintenance services to ensure the stability and normal operation of the iGaming platform. They have a professional technical team to handle technical issues such as server management, data backup, security, upgrades, etc., allowing operators to focus on iGaming business development.


3. Diverse game content:White Label iGaming usually cooperates with multiple game developers to provide a variety of game content, including video games, live dealer games, sports betting, lottery and so on. Operators can directly obtain multiple types of games from one platform to meet the needs of bettors and provide a more comprehensive entertainment experience.


4. Data analysis and marketing support:White Label iGaming companies usually provide data analysis and marketing tools to help casinos analyze player behavior, optimize operational strategies, develop personalized marketing activities, and improve user engagement and retention rates.

Indonesian user needs and preferences

Indonesia is a multi-ethnic and multi-religious country, but mainly believe in Muslims, who account for 87% of the country's population; although, the principle of Islamic teachings is that gambling is prohibited, and Indonesia is also a country that prohibits gambling. This does not mean that all Muslims do not gamble at all. Don't understand gambling. Although personal beliefs, cultural background and regional differences will all affect personal attitudes and preferences towards gambling. But it is precisely because of this that the differences in personal beliefs and regional cultures also give them a stronger demand and stickiness for gambling.

At the same time, Indonesians are also passionate fans of sports such as football, badminton, and basketball. Indonesia has its own football league (Indonesian Super League) and national team, and football games have widespread influence and attention in Indonesian society. At the same time, badminton is one of the most successful sports in Indonesia and a global badminton powerhouse. Indonesian players have achieved many important achievements in international badminton events, so badminton is very popular in Indonesia.

We can also see from the data displayed by data AI (iOS & Google Play) and the mobile download rankings of casino and card games that chess, poker, cards, slot machines and other games are also very popular among locals in Indonesia. At the same time, the iGaming platform can have a deeper understanding of the Indonesian market’s culture, social customs, and people’s consumption behavior and frequency, which will help the iGaming platform understand Indonesian users’ needs and preferences for gaming, including their interest in different types of gaming games. Provide targeted game types or marketing promotion programs for local gamblers to better meet the needs of the Indonesian gambling market.

Security and credibility:

Ensuring the safety of gamblers' funds and personal information is an important condition for a high-quality gambling market. Especially in Indonesia, gambling is prohibited. At the same time, due to the religious and cultural factors of Indonesian Muslims, users pay more attention to the security of personal information and funds; therefore, security measures are implemented and adopted. This is why it is important to eliminate bettors’ negative perceptions of the iGaming platform.

Summary

Indonesia's iGaming market has huge development potential. With the popularity of digital currencies and e-wallet payments, this has provided strong support for the iGaming market. In addition, Indonesians are passionate about sports such as football and badminton, and card games such as chess, poker, and cards are also very popular among locals. At the same time, it is necessary to have a deep understanding of the culture, social customs, people's consumption behavior and needs of the Indonesian market, and provide targeted game types or marketing promotion programs for local gambling players to better meet the needs of the Indonesian gambling market. Gambling platforms need to choose a reliable network company to ensure the healthy and stable operation of the iGaming platform and the security of user funds and personal information. Minimize or eliminate the user's distrust of the iGaming platform. TC-GAMING has 16 years of experience in the industry. With its highly skilled team and timely and effective pre-sales and after-sales follow-up feedback, TC-GAMING has received praise and trust from many gaming giants. At the same time, the White Label iGaming platform supports multiple languages. All are translated by local language experts, and the UI or product development are designed by local senior professionals, allowing the iGaming platform to seamlessly enter the gaming markets of various countries. With over a thousand sports events every week, different sports players can find their favorite sports to bet on the platform. Slot machine games also support multiple currencies, allowing players to play on the platform regardless of nationality. I believe that choosing TC-GAMING will be your best partner to enter the Indonesian iGaming market!