"As many as 54 percent of the Go-Pay respondents said they would continue to use the digital wallet despite no promo," Ipsos Indonesia's Research Director Customer Experience, Olivia Samosir, noted in a statement received in Jakarta on Wednesday.
This was revealed as a result of research conducted on young people, especially millennials, in using digital wallets. The study was titled "The Evolution of the Digital Wallet Industry: Strategy to Win Without Burning Money".
The research is a continuation of the Ipsos research titled "Indonesia-The Next Cashless Society" presented at the Ipsos Marketing Summit, last January.
The study involved 500 respondents in five major cities in Indonesia -- Jakarta, Semarang, Yogyakarta, Palembang, and Manado -- by employing the face-to-face interview method. Respondents are mainly people from the millennial segment and Generation Z of the lower middle economic class that have the greatest potential as digital wallet users.
"This research was conducted from December 20, 2019, to January 5, 2020. The margin of error of this study was two percent," she stated.
The results include the majority, or some 68 percent of Indonesia's young generation using a digital wallet at least once or twice a week, with an average top-up value of Rp140,663 every week.
Most of them used a digital wallet for the first time to pay for online transportation services by 40 percent and 32 percent for food and beverage delivery services.
"Based on this research, Go-Pay, Ovo, Dana, and LinkAja are the four main players in the digital wallet industry," Samosir stated.
The results also unearthed that Go-Pay is the digital wallet most widely known by millennials and generation Z, at 58 percent, followed by Ovo, 29 percent; Dana, nine percent; and LinkAja, four percent.
However, Olivia believes there were findings linked to the experience of the younger generation in adopting digital wallets that 71 percent of the younger generation were motivated to use a digital wallet for the first time owing to the promotion. However, as they get accustomed to the convenience offered by digital wallets, their loyalty is no longer determined solely by promos.
"Some aspects that consumers look for in digital wallets are convenience, 68 percent; promotion, 23 percent; and security, nine percent," Olivia stated.
This research is unique since for the pioneering time their opinion was sought on their willingness to continue to use a digital wallet without promos.
Apparently, 54 percent of the consumers say they will continue to use Go-Pay despite no promo. "The remaining 29 percent will continue to use Ovo, 11 percent will still use Dana, and six percent will use LinkAja," Olivia added.
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Translator: Edy Sudjatmiko, Azis K
Editor: Atman Ahdiat
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