SE Asia is World's Fastest-Growing "Internet" Market
With 260 million users now and an estimated 480 million by 2020, Southeast Asia’s is the world’s fastest growing Internet market, adding 3.8 million new users a month, according to an analysis by Temasek, sponsored by Google.
E-commerce in the region could be worth $88 billion, growing at 32 percent per year, while
The online travel market could reach $90 billion, growing at 15 percent per year.
Online media such as games and advertising could grow to $20 billion, increasing at 18 percent per year, while the taxi on-demand service could hit $13 billion and 29 million monthly riders, up from an estimated 7.3 million at present, growing at 18 percent per year, the analysis suggests.
There are obstacles to overcome, ranging from a relative lack of human resources (engineering and managerial), access to capital and consumer mistrust about the security of online transactions.
But most of the obstacles are directly related to access and other forms of infrastructure. Logistics networks required for remote product delivery are underdeveloped. Some 60 percent to 70 percent of consumers are outside the traditional banking system.
Low Internet usage, especially for archipelago nations such as Indonesia and the Philippines, also are key obstacles to be overcome.