Strengthening Services in Indonesia, PPRO Collaborates with Kredivo
After launching in the Indonesian market at the end of 2020, the British PaaS payment platform “PPRO” plans to collaborate more widely with digital payment platforms in Indonesia.
After OVO and Doku, now PPRO has announced a strategic partnership with Kredivo. The large use of the Buy Now Pay Later (BNPL) aka paylater payment method in Indonesia is one of the reasons why this collaboration was launched.
“We see that BNPL’s payment options are widely chosen by e-commerce service users globally, not only in Indonesia. Utilizing around 5 million Kredivo users, it is hoped that this collaboration can be useful for the Indonesian market,” said VP Partnerships, Head of APAC PPRO Tristan Chiappini.
PPRO noted that around 55% of e-commerce service users chose to make payments by BNPL. By offering consumers the BNPL payment method at checkout, merchants can increase their conversion rates, generate regular transactions from consumers using the payment method, and potentially see a larger basket size.
“Through them, we can strengthen our commitment to allow consumers to access more of the world’s e-commerce marketplaces,” said VP Business Development Kredivo, Krishnadas.
Previously, PPRO has also integrated with Jenius Pay and LinkAja. PPRO soon also plans to announce a strategic partnership with the largest digital wallet platform in Indonesia.
Asked whether GoPay will become PPRO’s new partner soon, Tristan is reluctant to provide further information.
The Pandemic And Growth Of E-Commerce Services
The pandemic has directly accelerated the acceleration of e-commerce services in Indonesia. PPRO also noted that 3 countries then received a lot of requests from merchants in Indonesia.
Among them are China, the United States, to Singapore. Judging from the Top 3 countries, it becomes relevant for PPRO to expand partnerships with local players in Indonesia.
“We see that 23% of e-commerce services in Indonesia are cross-border. Indonesia is an attractive market for us to consolidate the market. We already have live traffic with payment methods in Indonesia,” said Tristan.
For the last 2 years PPRO has claimed to make Indonesia their priority market. However, due to the pandemic, PPRO does not yet have a plan to place a team in Indonesia.
Furthermore, PPRO will continue to focus on PSP and meet the demands of merchants. In addition to the market in Indonesia, PPRO also has plans to expand its services in other countries such as India to Malaysia.
PPRO is a fintech company that is globalizing payment platforms for businesses, making it possible for them to offer more payment options at checkout across multiple platforms and increase cross-border sales.
“Our clients are global, starting from Southeast Asia to the United States, there is potential for cross-border for Indonesia,” said Tristan.
Kredivo Aims to Be the Leader in Asean
Indina Andamari, VP Marketing and Communications at FinAccel, explained that the merger process is still on track and is projected to be completed in the first quarter of 2022. After that, FinAccel will become a VPCB operational company that will accommodate digital financial services throughout ASEAN.
“Of course we are eyeing the Asean market, because we will get a large capital through the IPO. So we are ready to compete at the regional level, not only in Indonesia. But of course we still carry the Indonesian flag, yes, so we can continue to bring pride to this country,” he said in a virtual discussion, Thursday (2/12/2021).
Most recently, Kredivo has realized its expansion to Vietnam in the range of August 2021 through a joint venture with a local finance company. Furthermore, expansion to Thailand is planned to be realized in 2022.
Indina is optimistic that the Kredivo brand will also decorate the ranks of major digital credit providers globally, equivalent to Klarna, Affirm, Zip Pay, Afterpay, to PayPal Credit.
The reason is that Kredivo has proven to be able to maintain a wallet share of more than 50 percent in every top e-commerce merchant in Indonesia for 5 years and is the largest credit payment option after credit cards.