Online pharmacies tackle Indonesia’s healthcare access challenges
Digital innovations aim to close rural gaps and improve health literacy.
Indonesia’s over-the-counter pharma market is projected to grow 8% annually through 2029, fueled by health-conscious consumers embracing online platforms. With 70% of Indonesia’s 280 million people connected to the internet, digital healthcare and online pharmacies are addressing urban and rural needs alike.
“Rising internet usage has a significant role in the growth of online pharmacies in Indonesia,” said Randy Fajrian, Associate Research Director at Kadence Indonesia. “COVID-19 accelerated the adoption of digital services, including health and online pharmacies.”
He said that this shift encouraged platforms like Tokopedia and Shopee to expand their healthcare offerings, while pharmacy chains such as Apotek K-24 and global players like Watsons entered the e-commerce space. Private-sector apps like Halodoc and GoApotek have integrated telemedicine with pharmaceutical services like virtual consultations and medicine delivery.
Other innovations, such as flexible delivery options like click-and-collect, appeal to customers in remote areas with limited delivery services. Payment methods tailored to Indonesia’s diverse consumer base, including cash-on-delivery options, address gaps in digital banking literacy.
“Video or voice assistance could help less tech-savvy customers navigate the platforms and place orders,” Fajrian suggested.
Despite rapid growth, challenges remain in raising health literacy and improving access to healthcare in remote regions. “Limited awareness of healthcare and medicine, especially among lower-income and less-educated customers, is a significant challenge,” Fajrian noted.
Dependence on doctors and pharmacists for recommendations also influences purchasing decisions. “Doctors and pharmacists remain key influencers for Indonesian customers, shaping their decisions even for over-the-counter products,” he added.
Looking ahead, partnerships between private companies and public healthcare institutions could enhance accessibility. AI is expected to play a pivotal role in streamlining processes, from verifying prescriptions to managing inventory.