Online spending soars as government rejects claims of weak purchasing power

  • Published on 07/08/2025 GMT+7

  • Reading time 2 minutes

  • Author: Julian Isaac

  • Editor: Imanuddin Razak

Coordinating Minister for the Economy, Airlangga Hartarto, said that the continued rise in online shopping transactions is clear evidence that Indonesians' purchasing power remains strong, contrary to recent concerns.

According to data from Statistics Indonesia (BPS), e-commerce transactions in the second quarter of 2025 rose by 7.55 percent compared to the previous quarter.

This surge aligns with Indonesia's economic growth of 5.12 percent year-on-year and 4.04 percent quarter-to-quarter during the same period.

Airlangga emphasized that the number of online shopping transactions in 2024 reached 3.24 billion − an increase of over 11 times compared to just 80 million in 2018.

The increase was driven primarily by growing purchases of personal care and cosmetic products, as well as household and office supplies.

In 2024, the transaction value of personal care and cosmetic products hit Rp67.6 trillion (US$41.1 billion), up 16.95 percent year-on-year. Meanwhile, household and office goods reached Rp72.8 trillion, reflecting a 29.38 percent year-on-year increase.

Airlangga highlighted that this shift reflects a transformation in consumer behavior from in-store to online purchasing.

He also referenced the financial performance of three major retail companies in Indonesia − PT Sumber Alfaria Trijaya (AMRT), PT Mitra Adiperkasa (MAPI), and PT MAP Aktif Adiperkasa (MAPA) − which all experienced significant growth in both revenue and profit during the first half of 2025.

AMRT, which operates Alfamart, saw net revenue growth of 7.76 percent, MAPI (managing brands like SOGO and ZARA) grew by 8.72 percent, and MAPA (which runs Sports Station and Kidz Station) recorded 11.51 percent growth. Profits also rose by 4.99 percent, 6.85 percent, and 12.87 percent respectively.

In response to the circulating public narrative around weakening purchasing power − jokingly dubbed “Rohana” (Rombongan Hanya Nanya, or "just looking") and “Rojali” (Rombongan Jarang Beli, or "rarely buying") − Airlangga dismissed such concerns as exaggerated.

“This narrative about Rohana and Rojali has been blown out of proportion. The data clearly shows a different reality. And this is what we need to focus on,” he said.

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