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Influencer Advertising - Indonesia

Indonesia
  • In Indonesia, the ad spending within the Influencer Advertising market is forecasted to reach US$257.35m by 2025.
  • The anticipated annual growth rate (CAGR 2025-2030) is 9.81%, leading to a projected market volume of US$410.85m by 2030.
  • The average ad spending per internet user in the Influencer Advertising market is expected to be US$1.09 in 2025.
  • When compared globally, the highest ad spending is expected to come from China, amounting to US$21.55bn in 2025.
  • In Indonesia, Influencer Advertising is experiencing a surge in authenticity-driven campaigns, focusing on local culture and values to engage audiences effectively.

Definition:
Influencer Advertising refers to advertising that allows marketers to promote products or services by collaborating with influencers on social media. Influencer Advertising allows marketers to reach targeted audiences based on the influencer’s performance and their follower profiles; they also have the ability to measure the performance of campaigns. Influencer Advertising refers to all advertising fees paid directly to influencers (or to their person of trust or representative) for posting or streaming sponsored content (e.g., posts, videos, and/or stories) on social media to promote products or services to their followers. This sponsored content typically includes images, videos, live streams, and/or text.

Additional information:
Influencer Advertising comprises advertising spending, users, and average revenue per user. The market only displays B2B spending. Figures are based on advertising spending and exclude agency commissions, rebates, production costs, and taxes. For more information on the data displayed, use the info button right next to the boxes.
In-Scope
  • Advertising spending paid directly to influencers to post sponsored content
Out-Of-Scope
  • The values of giveaway products as well as services that influencers receive in exchange for reviews, mentions, or giveaways for their followers
  • Advertising spending allocated to paid social media campaigns to boost content
  • Affiliate commissions, i.e., the commissions that are paid to influencers when someone makes a purchase based on their content or links
  • Gross merchandise volume (GMV) of transactions from sponsored posts or live streams
Influencer Advertising: market data & analysis - Cover

Market Insights report

Influencer Advertising: market data & analysis
CONTENTBOX_CAPTION_STUDY_DETAILS

    Ad Spending

    NOTES: Data was converted from local currencies using average exchange rates of the respective year.

    MOST_RECENT_UPDATE: Oct 2024

    SOURCE: Statista Market Insights

    NOTES: Data was converted from local currencies using average exchange rates of the respective year.

    MOST_RECENT_UPDATE: Oct 2024

    SOURCE: Statista Market Insights

    MOST_RECENT_UPDATE: Oct 2024

    SOURCE: Statista Market Insights

    Analyst Opinion

    The Influencer Advertising market in Indonesia is experiencing significant growth due to several key factors. Customer preferences in the country are shifting towards digital platforms and social media, leading to an increased demand for influencer marketing. Additionally, the local special circumstances in Indonesia, such as a large young population and high internet penetration, contribute to the development of the Influencer Advertising market. Furthermore, underlying macroeconomic factors, such as the growth of the digital economy and the rise of e-commerce, also play a role in the expansion of this market. Customer preferences in Indonesia are increasingly focused on digital platforms and social media. With a population of over 270 million people, Indonesia has one of the largest social media user bases in the world. Social media platforms like Instagram, YouTube, and TikTok are extremely popular among Indonesian consumers, particularly the younger generation. As a result, brands are recognizing the potential of influencer marketing to reach and engage with their target audience effectively. Influencers who have a strong following on these platforms can help brands increase brand awareness, drive sales, and build trust among consumers. In addition to customer preferences, local special circumstances in Indonesia contribute to the growth of the Influencer Advertising market. Indonesia has a large young population, with a significant portion of its population under the age of 30. This demographic is highly active on social media and is more likely to engage with influencer content. Furthermore, Indonesia has a high internet penetration rate, with a large percentage of the population having access to the internet. This widespread internet access allows influencers to reach a vast audience and makes influencer marketing a viable strategy for brands. Underlying macroeconomic factors also contribute to the development of the Influencer Advertising market in Indonesia. The country's digital economy has been growing rapidly, driven by increased internet penetration and the adoption of smartphones. This growth has created new opportunities for influencer marketing as brands seek to leverage digital channels to reach consumers. Additionally, the rise of e-commerce in Indonesia has further fueled the demand for influencer marketing. Influencers can help promote products and drive traffic to online stores, leading to increased sales for brands. In conclusion, the Influencer Advertising market in Indonesia is experiencing significant growth due to customer preferences, local special circumstances, and underlying macroeconomic factors. The shift towards digital platforms and social media, the large young population and high internet penetration, and the growth of the digital economy and e-commerce all contribute to the expansion of this market. As brands recognize the effectiveness of influencer marketing in reaching and engaging with their target audience, the Influencer Advertising market in Indonesia is expected to continue growing in the coming years.

    Reach

    MOST_RECENT_UPDATE: Oct 2024

    SOURCE: Statista Market Insights

    Global Comparison

    MOST_RECENT_UPDATE: Oct 2024

    SOURCE: Statista Market Insights

    Methodology

    Data coverage:

    Data encompasses enterprises (B2B). Figures are based on influencer advertising spending and exclude agency commissions, rebates, production costs, and taxes. The market covers advertising fees paid directly to influencers to post sponsored content.

    Modeling approach:

    Market size is determined by a combined top-down and bottom-up approach. We use market data from independent databases, influencer marketing platforms, and third-party reports to analyze and estimate global influencer advertising spending. We start by researching on the average cost per content post on each social media platform, the number of influencers available on advertising platforms (breakdown by tier: nano, micro, macro, and mega), and the average number of posts per year. Then we estimate the market size for each country individually. We use relevant key market indicators and data from country-specific industry associations, such as GDP, social media users, and digital consumer spending. Lastly, we benchmark key countries or regions (global, United States, China, etc.) with external sources.

    Forecasts:

    We use a variety of forecasting techniques, depending on the behavior of the market. For instance, the S-curve function is well suited to forecast digital products due to the non-linear growth of technology adoption, whereas exponential trend smoothing (ETS) is more suited for projecting steady growth in traditional advertising markets.

    Additional notes:

    Data is modeled using current exchange rates. The impacts of the COVID-19 pandemic and the Russia-Ukraine war are considered at a country-specific level. The market is updated twice per year in case market dynamics change.

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    Influencer Advertising: market data & analysis - BackgroundInfluencer Advertising: market data & analysis - Cover

    Key Market Indicators

    NOTES: Based on data from IMF, World Bank, UN and Eurostat

    MOST_RECENT_UPDATE: Jan 2025

    SOURCE: Statista Market Insights

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    Influencer marketing worldwide - statistics & facts

    Influencer marketing has become one of the most popular and effective forms of online marketing. With millions of internet users browsing social media platforms for entertainment, inspiration, and product recommendations daily, it is no surprise that marketers are harnessing the power of social media’s most recognizable faces for promotion. The global influencer marketing market value stood at 21.1 billion U.S. dollars as of 2023, having more than tripled since 2019. As influencer endorsement continues to mature as an industry, the size and value of influencer marketing platforms also continue to expand every year, making collaborations between brands and creators more profitable than ever.
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