Competitive Landscape of Indonesia's Payment Industry: OVO vs GoPay vs DANA
Indonesia's digital payment market is highly competitive, with OVO, GoPay and DANA as the local head e-wallets, forming a three-pronged pattern based on their respective strengths. The following is a multi-dimensional analysis of the competitive landscape:
I. Comparison of market share and background
- OVO(established in 2017)
- Backed by Lippo Group and Grab ecosystem, over 50 million users by 2023
- Dominating the high-end mall scene (partnering with Lippo Mall) with a market share of ~35%
- Recently awarded a digital banking licence by Indonesia's central bank
- GoPay(part of the GoTo Group)
- TPay, which integrates former GoPay and Tokopedia, reaches 38 million monthly users
- Gojek's Super App Leads to Significant Advantage as Daily Transactions Top 8 Million
- Main promoter of QRIS standard, No.1 in coverage of offline micro and small merchants
- DANA(Ant Group Technology Enablement)
- Sinar Mas consortium in JV with Ant to grow transaction volume by 471 TP3T by 2023
- Focusing on the sinking market of second and third-tier cities, the "enjoy before you pay" function is clearly differentiated.
II. In-depth analysis of core competitive dimensions
1. Ecological synergies
- OVO: Relying on Grab travel (65% market share in Indonesia) and Lippo Group's retail network to form a closed loop in taxi, takeaway, and high-end mall scenarios. new cinema partnership in 2023, with payment penetration of 80%.
- GoPayGojek (average daily orders of 4.5 million) and Tokopedia (monthly activity of 100 million) dual-engine drive, to achieve "travel + e-commerce + financial" full chain coverage. For example, users can purchase Tokopedia products in instalments through GoPay.
- DANA: It channels traffic through Emtek Group's social platforms (e.g. LINE Indonesia) but has a weak e-commerce ecosystem and is expanding its financial services boundaries by investing in P2P lending platforms.
2. Technology differentiation
functionality | OVO | GoPay | DANA |
---|---|---|---|
biometric | 3D Face Payment | voice recognition | Fingerprint + Iris Dual Authentication |
Credit Services | Grab Co-operation Deferred Payment | GoPay Later credit system | DANA CICIL (instalment purchase) |
Cross-border payments | Access to Singapore NETS | Limited | Alipay+ Channel Support |
Note: DANA has the lowest bad debt rate in its risk control system due to Ant technical support (1.2% vs industry average 3.5%)
3. Regulatory gaming
- OVO started taking deposits with its digital banking licence and attracted depositors with an APR of 7%;
- GoPay faces rate hike controversy over GoTo Group's loss-making pressure;
- DANA benefits from Bank Indonesia's QR Code Unified Standard (QRIS), which reduces the cost of access for small and medium-sized merchants by 40%.
III. The key to future breakthroughs
- The OVO Challenge: Grab's recent cooperation with Emtek may divert its share of the travel scene, and it needs to accelerate the expansion of B2B supply chain finance.
- The GoPay Opportunity: GoTo's cash flow will improve after listing, and it can increase the zero-rate subsidy for offline micro-merchants.
3. DANA's Ambition: Leveraging Alipay+ to tap into the Chinese tourist market (expected to return to pre-epidemic 1,20% by 2024), while testing the waters of BNPL (Buy Now Pay Later).
Expert insight: Indonesia's central bank's new regulation 2024 requires e-wallet deposit to be raised to Rp 200 billion (about $13 million), which may trigger industry reshuffle, and DANA is more risk-resistant due to sufficient funds from its major shareholders.