Market Report: Indonesia
As Southeast Asia’s market leader in population and economy, there are plenty of reasons to be optimistic about Indonesia’s potential in the live event sector.
However, the regularity of ticket scalping incidents remains a prevalent issue, and for all its stature as one of the largest countries on the planet, it remains a capital city-centric market with most shows being held in Jakarta.
Primary ticketing
Several ticketers dominate the event ticketing ecosystem in Indonesia, which include tiket.com, KiosTix, BookMyShow, Loket, and GoTix (the latter two have been acquired by on-demand multi-service platform and digital payment group Gojek).
Megatix has operations across Australia and Asia, enabling event organisers, hotels and more to sell tickets directly to customers.
“In the past, none of the major ticketing companies in Indonesia used a waiting room system or captcha technology, so it’s encouraging to see them take charge of this issue”
With the country facing a huge ticket scalping problem, ticketing companies have begun utilising the “waiting room” system to stop bots from making mass purchases and jumping the queue. “In the past, none of the major ticketing companies in Indonesia used a waiting room system or captcha technology, so it’s encouraging to see them take charge of this issue,” says Fransiska Melani, CEO & director of concert promoter Mecimapro (MCP).
Distribution of sales
Indonesian customers have a mobile-first approach to ticketing, says Roshan Odhavji, founder and CEO of Megatix.
Many still use printed tickets and/or delivered wristbands for entry.
However, many still use printed tickets and/or delivered wristbands for entry, says Melani, who reckons that this is down to the country needing to catch up on a technological level..
Value of market
According to Statista, the music events market in Indonesia is projected to reach $101.3m this year.
Secondary ticketing
Indonesia is yet to draft a specific bill against scalping or reselling tickets for profit.
However, a scandal erupted last year following mass ticketing scams for Coldplay’s first-ever concert in Jakarta, in which nearly 400 people were unable to enter the Bung Karno Sports Stadium having been sold fake passes. Jakarta police caught and arrested a couple for selling fake tickets online and defrauding more than 50 prospective concertgoers.
International/domestic splits & genres
Outside of Jakarta, the split between international and domestic acts leans heavily towards the latter, with nearly 80% of performances from homegrown artists that play dangdut (Indonesian folk music) and Indonesian pop. Plans to host South Korea’s Waterbomb Festival in Bali were scrapped, with the K-Pop showcase making its way to Jakarta instead.
The split between international and domestic acts leans heavily towards the latter, with nearly 80% of performances from homegrown artists that play dangdut and Indonesian pop.
With artists such as Niall Horan, Ed Sheeran, and K-Pop girl group aespa having played in the capital city already this year to sold-out crowds, it’s evident that Western pop and K-Pop also have a huge following.
Cultural analysis
“The entertainment landscape is incredibly diverse and growing at a rapid rate,” says Odhavji. “With the emergence of a strong middle class and a growing economy, there are increasingly more event attendees and an appetite for content and events,” he adds.
Despite Indonesia’s high ranking in charts depicting the highest number of YouTube users (3rd in the world) and TikTok (2nd), Melani laments that there’s been a slight decrease in live event attendees in 2024.
“With the emergence of a strong middle class and a growing economy, there are increasingly more event attendees and an appetite for content and events”
“Even though there’s always high demand due to a growth in music consumption through a variety of music apps and other online platforms, reasons such as inflation, stagnancy in live music experiences, and just having too many options have played a role in the dwindling number of people attending concerts,” she says.
Taxes & charges
VAT in Indonesia is generally 11%, while ticketing companies usually charge between 5% and 15% of the ticket price.
As for withholding tax, the rate is set at 20% but can be reduced by tax treaties established between other countries (where the rate can be as low as 10%).
Country Profile: Indonesia
Given its size, population, and GDP when compared to its Southeast Asian neighbours, Indonesia’s potential as a hotbed for touring artists is as vast as the country itself.
However, the live music market is mostly centred around its capital city Jakarta, with a smattering of gigs and festivals in Bandung, Surabaya, and Yogyakarta, where local talents usually take centre stage.
Having overseen sold-out shows from Jacob Collier, Aurora, and Ne-Yo in Jakarta so far this year, Donny Heru of Nyawa Live Asia – who also cofounded the three-day summer spectacle LaLaLa Festival ,which counted Madison Beer, Tyla, and The Temper Trap among its headline acts – has a wealth of experience that spans two decades in the industry.
“Artist fees are always a hindrance, especially when you’re stuck in a bidding war, which only ends up increasing ticket prices for customers”
While excited about Indonesia’s prospects in the live entertainment sector, Heru isn’t without a few obstacles when attempting to bring international talent over to the “Emerald of the Equator.”
“Artist fees are always a hindrance, especially when you’re stuck in a bidding war, which only ends up increasing ticket prices for customers,” he explains. “Permits also take longer to process in Indonesia than other countries, which is also very frustrating.”
Despite those understandable concerns, Heru is optimistic that the market will continue its gradual growth in the coming years, also proposing an idea that should ensure a lack of stagnation and fan ennui. “We can’t have the same international artists play here every year,” he says. “As promoters, we should space out tours every two to three years to generate more excitement.”
“As shown by the Taylor Swift and Ne-Yo gigs, Western mainstream music is doing very well here, but K-pop is just as popular if not more”
“Demand for big international names is getting higher every year,” says Fransiska Melani, CEO and director of Mecimapro, a concert promoter that specialises in bringing K-pop acts to Indonesia.
“As shown by the Taylor Swift and Ne-Yo gigs, Western mainstream music is doing very well here, but K-pop is just as popular if not more,” referencing Korean boyband ENHYPEN’s Fate Plus tour stop in Jakarta as a prime example of the genre’s huge following in the country.
Mecimapro and Nyawa Live Asia are just two examples of regional promoters across Indonesia, with others such as Java Festival Production, who organise the annual Java Jazz Festival; Ismaya Live, best known for organising the multi- genre showcase We The Fest and for bringing over Glass Animals and Welsh folk singer-songwriter Novo Amor; and PK Entertainment, who have set up large-scale concerts in Jakarta and can count Ariana Grande and Shawn Mendes as two major successes in recent years.
Arena Market: Indonesia
Maintaining its standing as Southeast Asia’s leading country in population size and GDP, Indonesia remains a popular destination for international artist tours.
In June 2023, the market got a major boost with the opening of the 16,500-cap Indonesia Arena in Jakarta, which was a key setting for last year’s FIBA Basketball World Cup. While it’s normally reserved for sports, concerts also take place here, including a show by Dua Lipa in November. Meanwhile, the 20,053-capacity Beach City International Stadium is an indoor arena located inside lifestyle & entertainment centre Ancol Beach City and is set to follow up Niall Horan’s May show with K-Pop girl group Aespa in the summer, two dates of LANY in October, and Cigarettes After Sex next year.
Just a few hours’ drive from the capital the likes of Westlife, Shawn Mendes, and Celine Dion played sold-out shows at West Java’s Sentul International Convention Center. Able to accommodate 11,000 people, the venue includes three halls (main, exhibition, and function), VIP access, and spacious parking.