See why Indonesia is a very promising market for online advertising, mobile marketing and other emerging technologies.

According to a July 2, 2009 article on CNN Wire, Indonesia is "exhibiting surprising resilience in the face of the global economic downturn. Growth topped 6 percent last year, and Indonesia was the fastest-growing economy in Southeast Asia in the first quarter of this year."

With a population of 237 million, Indonesia is the "world's fourth most populous country and is considered the world's third largest democracy (after India and the United States)." (Internet World Stats). Out of 237 million people, only 25 million are online -- approximately 10.5 percent of the population.
 
As broadband services are still in its infancy and internet user penetration rates are still quite low compared to Indonesia's other Asian counterparts, there is still a big opportunity for the country to be a central online hub due to the following components:

E-government
It is evident that the government of Indonesia's information and communication technology plan for the upcoming years is to promote the increase in internet usage for both its citizens and business sectors. According to the Association of Southeast Asian Nations:

"In Indonesia, E-government is needed for the following reasons: 1) to support the change towards democratic governance practices; 2) to support the application of authority balances between central and local governments; 3) to facilitate communication between central and local governments; 4) to gain openness; and 5) transformation towards the information society era."

The intention of the Indonesian government is that online services will motivate people to recognize the internet. This is quite comparable to Thailand's government, which has taken steps to fix the regulatory regime, so that the international internet gateway market could be opened up. For more information on this, please read a previous article, titled Thailand's developing technology powerhouse.

Mobile market
The Indonesian mobile market has one of the most progressive penetration and growth rates in the world, and advertisers should start to view the mobile space as a promising marketing platform. According to global telecommunications research firm, Budde Communication:

"Indonesia's mobile market has grown rapidly in recent years, with the number of subscribers passing 130 million in early 2009, up from 90 million in early 2008; this followed on from market growth of nearly 40 percent in 2007. There is still considerable opportunity for market expansion in Indonesia when compared with some of its Asian neighbors."

However, this considerable opportunity for market expansion is largely dependent on resolutions to structural and economic issues. One example of structural issues is Indonesia's topography -- which has a posed a challenge to the mobile industry. Indonesia is the world's largest archipelagic country where a large population spreads over 17,000 islands (Research International's Musings from a Castaway Island, A Look at Indonesia). Due to economic development and government policies, new and emerging technologies and services are developing in these areas.

Youth
With half of Indonesia's population below 22 years old, Indonesia has one of the youngest populations in the region. According to a study titled, Indonesia's Young Consumers are Mobile and Up To Date, conducted by Synovate, the "internet and the mobile phone have changed the lifestyle of Indonesia's' young generation. With the internet, Indonesian youth are growing to be like other youth in other parts of the world. These youth obtain information on the latest fashion and entertainment worldwide via the internet. The same applies to businessmen and young executives as they start to communicate and work in a similar style as other people worldwide."

For marketers, Sastry Nookala's report referenced earlier, Musings from a Castaway Island, A Look at Indonesia, recommends:

"As a developing nation, Indonesian consumers vacillate from one lifestyle to another, demanding marketers to keep in pace with the ever-changing needs and wants. When marketing in Indonesia, remember: Indonesia has one of the youngest populations in the region, with half the population below 22 years of age. With 230+ million people, that's a lot of youth."

In conclusion, it is evident that Indonesia has a very promising future, both for online advertising opportunities as well as mobile marketing and other emerging technologies. Indonesia is poised to be a major player in these industries and will grow dramatically in the future. Not only do the number of internet and broadband/mobile users increase daily, but the many initiatives that are taking place to grow this online market are commendable.

Elizabeth Lloyd is co-founder and chief revenue officer of 9Global, Inc.