Expenditure of Indonesian Citizens in Remote Areas on Online Transactions

According to a survey by the Indonesian Internet Service Providers Association (APJII), 28.99% of respondents in underdeveloped regions spent less than Rp500,000 per month on online transactions in 2024.

Furthermore, 10.37% of respondents spent between Rp500,000 and Rp1 million; 3.10% spent between Rp1 million and Rp3 million; and 1.49% spent more than Rp3 million per month on online transactions.

Meanwhile, 56.05% of residents in underdeveloped regions of Indonesia had never conducted online transactions.

Among those who had never engaged in online transactions, the majority, or 52.6%, stated a preference for in-person shopping. Then, 10.08% cited excessively high shipping costs; and 8.19% reported an inability to use applications for online transactions.

This survey involved 1,950 respondents from 64 underdeveloped regions spread across 17 provinces. Data collection was conducted from July to September 2024 through face-to-face and telephone interviews.

According to Regulation of the Minister of Villages, Development of Disadvantaged Regions and Transmigration (Permendes-PDTT) Number 11 of 2020, "underdeveloped regions" are districts whose areas and communities are less developed than other regions on a national scale.

59.23% of respondents were male, and the remaining 40.77% were female. Respondents were dominated by millennials aged 28-43 years (40.10%), followed by Generation Z aged 12-27 years (34.36%), and Generation X aged 44-59 years (6.05%).