Journey in building Indonesia Largest FinTech

“Conquering The Unpredictable Era”

Indonesia Digital Innovation Conference 2018

11 Dec 2018

Pg. 1
Our agenda for today

Content

• Opportunity and Challenges in FinTech Indonesia

• How we build OVO for Indonesia

Pg. 2
Brief overview on opportunity and challenges of Fintech in
Indonesia
Opportunity and Challenges
Opportunity
• 4th largest population (265 Mio)
• Middle class increase 2x by 2030
• GDP/capita increase 60% by 2030
• Urban pop. increase 30% by 2030
• >133 mio internet users
• >370 mio mobile subscriptions
• >90 mio active mobile social users
• Affordable mobile data (50% from peer
ASEAN)
• Expected e-commerce boom at 40Bio USD by
2022
• Share of digitally active consumers in banked
population grew faster than Asia and more
than doubled in 4 years
• # country in finance app download growth
• Regulator has tried to be more of accelerator
today
Challenges
• Offline shopping and cash behavior
• Multiple loyalty cards
• Multiple and frequent visits to banks
• Incumbent banks are unprepared for the
digital shift
• Digital ambition far excess the reality in most
cases
• Many start-ups are build- focusing mainly still
on Payment- huge opportunity to expand to
other financial services
• High regulatory barries to entry
• Infrastructure in Indonesia is still considered
underdeveloped as compared to our neighbors
• Government planned to build strong
infrastructure but it takes time and is delayed
unfortunately
Pg. 3
The rise of fintech has impacts across all stakeholders

- Set regulations that reflect today’s

technology
- Foster but not hinder

Regulators - Tweak their offerings

- Build digital capability to stay relevant
- Seek to collaborate
Retailers Banks with disruptors
Rise of
Fintech
- Equip the future - Upgrade skills &
generations with knowledge for
necessary skills & changing business
knowledge Schools Employees requirements
- New opportunities

- More convenient and Consumers

safer way to pay
Pg. 4
Our agenda for today

Content

• Opportunity and Challenges in FinTech Indonesia

• How we build OVO for Indonesia

Pg. 5
 How we create OVO to digitalize financial services in Indonesia?

1 2 3 4
Identify opportunity Develop idea Test the idea Build business plan

- Need not be generally Examples: May include:

Is there:
accept business ideas - Survey - Resource planning
- Problem to solve?
- Think about durability, - Interview/ Discuss with - Market strategy
- Need yet to be
trustworthiness and mentors - Ops plan
satisfied?
sustainability - Focus Group/ Research - Design plan

8 7
Achieve Profitability
- Monetisation
- Optimising cost
- Maximising revenue
6 5
Develop
Scale Build the right team
product/service
Desirable characteristics:
Gain acceptance through:
- Start with a MVP - Similar vision
- Disruptive marketing
- Iterate, iterate & - Grit & drive
- Education
ITERATE - Collaborative
- Strategic partnerships
- Mixture of experience

Key Ingredients to succeed:

- Strong collaboration among key stakeholders (employees, business partners, regulators, etc)
- Determination
- Creativity
- Speed Pg. 6
OVO is an all-in-one e-payment, e-loyalty and e-financial
services platform

E-payment
- Pay using a mobile phone: Simple, fast
and safe

E-loyalty
- Earn and redeem OVO points across
many use cases
- Customised deals/vouchers/tactical
programs for users

E-financial services
- Invest, budget and transfer money at the
snap of a finger
Pg. 7
OVO is the leader, Number 1 digital payment in Indonesia

>1m Largest
transactions per day use cases and offline acceptance network

#1 digital payment in Indonesia

Pg. 8
Thank You

Pg. 99