The Indonesian market may become a hot spot for the next gambling market. So today, we will talk about whether the Indonesian gambling market will become the next hot market country. In fact, in previous articles, the Indonesian gambling market has been mentioned many times. But in line with the principle of saying important things three times, 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 activities. Therefore, obtaining data or information on gambling in Indonesia is somewhat difficult. 

Although the Indonesian government 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, just to experience gambling. At the same time, many iGaming gambling companies have also entered the Indonesian gambling market, whether as a vanguard or pathfinder in the gambling market. 

iGaming gambling companies' market vision has never left the Indonesian market, and they have always paid attention to the Indonesian gambling market. However, with the development of the Indonesian economy and the rapid development of the Internet, gambling has also begun to enter the vision of ordinary people, which has also brought about factors such as changes in the attitude of the gambling market. That said, Indonesia may become one of the emerging gambling hotspots in Asia.

What are the conditions for a potential gambling market?

The iGaming gambling market is an area of ​​opportunity and competition. For gambling platform investors, it is crucial to assess the potential of a country’s iGaming gambling market before entering a new gambling market. TC-GAMING has been deeply involved in the gambling industry for 16 years, often collecting and organizing data on the gambling 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 gambling platform. After all, betting 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 possible impact of future regulatory adjustments on the market.

Market Size and Growth Potential

Dimensions to evaluate a country’s gambling market potential and growth trend 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 rate are among the prerequisites in iGaming gambling operations. At the same time, payment is also the core of the gambling industry.

Competitive Conditions and Market Traffic Barriers

Assess the level of competition in the gambling market and the ease of entry for new entrants into a country's gambling market to ensure an opportunity to gain a share in the country's gambling market and by how much. It is necessary to study the existing competitors in the market and their market share, as well as the current traffic barriers in the market.

User Needs and Preferences

Understanding user needs and preferences is also key to assessing market potential. By studying the country's culture, social customs, and consumer behavior, gain an in-depth understanding of users' needs and preferences for gambling, including interest in different types of gambling. It is possible to provide gambling platforms with targeted game types or marketing promotions to better meet the needs of the local gambling market if you consider factors such as the country's sports culture and the acceptance of gambling types.

Security and Reputation

Ensuring the financial security and personal information protection of bettors is an important condition for a high-quality gambling market. The gambling 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. By doing so, you can eliminate the concerns of bettors about the gambling platform.

Indonesian Gambling Marketing Analysis Based on Different Conditions

Indonesia's Political Environment and Economy

Indonesia is the fourth most populous country and the largest Muslim country in the world. It is also one of the largest economies in Southeast Asia. The Indonesian economy has maintained relatively stable growth. By 2023, Indonesia's per capita GDP will be US$4,332. In terms of per capita income alone, it has surpassed 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%, returning to the annual growth rate of about 5% before the epidemic and the fastest growth rate since 2013. But the Asian financial crisis in 1997 had an impact on Indonesia and caused turmoil in the situation. However, Indonesia's political environment has been relatively stable in the past 20 years.

Indonesia's Gambling Market Potential

Indonesia has a population of 276.4 million people, made up of various ethnic groups and religions. The Javanese are 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. The 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 sizable base of 212.9 million Internet users, up from 204.7 million last year, an increase of 10 million yearly. From the perspective of network infrastructure and payment systems, Indonesia's Internet penetration rate has reached 77% of the total population and 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. One person may have multiple computers, which can be used for other purposes. This also shows the increase in the application of the Internet in Indonesia.

Payment channels are at the heart of the iGaming gambling industry. According to 2021 data, the number of e-wallet users in Indonesia has exceeded 100 million. But this number may change now because the e-wallet market is in a fast-growing stage in Indonesia, and the number of users may increase over time. 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, food delivery, transportation, utility bill payment, etc.

According to data, in January 2020, the volume of e-money transactions in the Indonesian retail market increased by 173% yearly, and non-bank fintech took the lead as Indonesia moved towards a cashless environment. In January 2020, the volume of e-money transactions reached RP 15.8 trillion. In Indonesia, the largest digital transactions are from retail (28%), online shipping (27%), food orders (20%), e-commerce (15%), and bill payment (7%). From these data, we can also see that Indonesians use e-wallets frequently. 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 gambling market.

Competitive conditions and market traffic barriers

Regarding the competition in the Indonesian market, in order to avoid suspicion of advertising, the editor will not go into too much detail here. However, I can share with you here that the keywords related to gambling in Indonesia are much less competitive on Google than in other countries. The technical staff can know this point of your company after analyzing it. 

1. Traffic Entry Barriers: In Indonesia, Facebook is the main traffic entry point. Facebook has 119.9 million users in the country. YouTube has 139 million, Instagram has 89.15 million, and TikTok has 10 million. Using these traffic portals and coordinating with Google search can open up Internet channels for new customers. The remaining work may be to convert, attract new customers, and increase the unit price of customers. Therefore, it is the primary job of a new gambling platform to enter the gambling market of a new country to open up the entire customer acquisition channel.
2. Gambling Platform Stability Guarantee: The stability of a gambling platform is a key element in maintaining user trust, ensuring economic stability, and maintaining a good reputation. Therefore, the gambling platform needs to ensure stable, safe, and normal operation to avoid potential operational risks. A lot of manpower and material resources have been spent, and at the same time, the company's overall operating costs have been raised.

If the stability of the gambling platform is not guaranteed, it may lead to the following consequences:

1. Loss of users: Users attach great importance to the reliability and stability of the gambling platform. If a gambling platform experiences frequent failures, delays, or instability, users may lose trust and choose to switch to other, more reliable platforms. The loss of users will have a negative impact on the activity and profitability of the platform.
2. Feedback and word-of-mouth issues: Users often give negative feedback about unstable gambling 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 joining of new users and market competitiveness.
3. Economic losses: The instability of the gambling platform may cause users to be unable to place bets, recharge or withdraw money normally, resulting in economic losses. Users may reduce the betting amount or stop using the platform, affecting the platform's profitability.
4. Damaged brand image: The stability issue of the gambling platform will have a negative impact on the brand image. Users may perceive the platform as untrustworthy or unprofessional, thus negatively evaluating the overall image of the gambling platform. It could lead to long-term reputational damage and adversely affect the platform's market position.

But fortunately, most gambling platforms now use the gambling system of white label, also known as gambling platform suppliers. Because white companies have obvious advantages, most gambling platforms now cooperate with white labels. There are several benefits to cooperating with white label companies:

1. Quick launch: White provides a complete gambling platform solution, including a front-end website (can also be customized), background management system (can also be customized), payment system, game interface, etc. Using white label's services can quickly start and launch the gambling 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 usually provides 24/7 technical support and maintenance services to ensure the stability and normal operation of the gambling platform. They have a professional technical team to deal with server management, data backup, security, upgrades, and other technical issues, enabling operators to focus on gambling business development.
3. Diversified game content: White label usually cooperates with multiple game developers to provide a variety of game content, including video games, live dealer games, sports betting, lottery, etc. 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 companies usually provide data analysis and marketing tools to help gambling analyze player behavior, optimize operating strategies, formulate personalized marketing activities, and improve user participation and retention rates.

However, it should be noted that in order to avoid various problems or troubles in the development of the local area during operation, it is very important to choose a reliable white label company. The gambling platform should consider the reputation, professional knowledge, technical team capabilities, company experience, qualifications, and services of the package network company to ensure that it chooses a reliable and suitable white label partner. Ensure the normal operation of the gambling platform!

Indonesian User Needs and Preferences

Indonesia is a multi-ethnic and multi-religious country but mainly believes in Muslims, who account for 87% of the country's population. Although the principle of Islamic teachings dictates gambling is prohibited, that's why Indonesia is also a country that prohibits gambling. It does not mean that all Muslims are completely incapable of gambling and don't understand gambling. Although personal beliefs, cultural backgrounds, and regional differences will all affect personal attitudes and preferences toward gambling. But because of this, differences in personal beliefs and regional cultures also make them have a stronger demand and stickiness for gambling.

At the same time, Indonesians are also loyal 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 a wide range of 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 (iOS & Google Play) displayed by the data AI and the ranking list of mobile game downloads about casinos and card games. Games such as chess, poker, poker, and slot machines are also very popular among locals in Indonesia. At the same time, gambling platforms can gain a deeper understanding of the Indonesian market’s culture, social customs, and people’s consumption behavior and frequency. This will help gambling platforms understand Indonesian users’ needs and preferences for gambling, including interest in different types of gambling games. Provide local betting players with targeted game types or marketing promotions better to meet the needs of the Indonesian gambling market.