Indonesian Hardcopy Peripherals Market Faces Challenges Amidst Political Uncertainties

The Indonesian Hardcopy Peripherals (HCP) market — encompassing inkjet, laser, and serial dot matrix (SDM) technologies — decreased 1.06 percent in Q4 2023.
Indonesia printer market 2023 IDC reportHowever, the HCP market posted a notable quarter-on-quarter growth of 5.3 percent from the third quarter of 2023, the recent data from the IDC Worldwide Quarterly Hardcopy Peripherals Tracker reveals.

The decline in the market occurred as major end users across Indonesia deferred device purchases in the first quarter of 2024, mainly due to escalating political and business uncertainties surrounding the country’s election on February 14.

Printer vendors and channels have reported a trend of major end users delaying investments and device purchases since the third quarter of 2023, with some verticals even postponing purchase contracts to 2024, following the elections.

Despite these uncertain sentiments, the fourth quarter of 2023 witnessed the highest recorded shipments for the year, primarily propelled by a significant increase in inkjet shipments.

As Indonesian consumers displayed improved market sentiments towards the end of the year, vendors intensified efforts to penetrate the mainstream consumers’ market. New inkjet printer models launched in 2023 with enhanced features and functionalities experienced gradually increasing shipments, contributing to greater performance for inkjet products.

Leonard Adiarto Sudjono, Senior Research Analyst at IDC Asia/Pacific, noted a surge in projects from the government sector in the fourth quarter, aligning with their peak purchasing period at year-end to optimize budget spending.

However, Sudjono highlighted a shift in sentiment among private sector entities, adopting a more conservative approach and reducing spending on new devices, opting instead to defer purchases until after the elections when the political and business landscapes are expected to stabilize.

Market Share Highlights

Epson retained its position as the market leader for home/office printers in Indonesia in the fourth quarter of 2023, capturing 64.3 percent of the market share, thanks to its early introduction of ink tank models, which have gained popularity over ink cartridges.

Canon maintained the second-highest market share with 17.2 percent, despite a decrease in shipments due to the phase-out of certain models.

HP followed closely in third position with an 11.0 percent market share, focusing on the growing ink tank market with increased shipments of its Smart Tank series.

Brother secured the fourth position with a 6.4 percent market share by strengthening its distribution network.

Fujifilm, transitioning from Fuji Xerox, captured a 0.5 percent market share with its new brand, fueled by stellar performance in key verticals.

Brand Highlights

Epson continued to demonstrate stable performance and growth in Indonesia, leveraging its extensive distribution network and strong relationships with channels.

Canon phased out the popular IP2770 ink cartridge model to establish its position in the ink tank market, while continuing to meet demand for legacy models alongside newly introduced ink tank models.

HP achieved a new record in ink tank shipments in 2023, introducing its Smart Tank models alongside other products through its “Future Ready” campaigns.

Looking ahead, Leonard Adiarto Sudjono anticipates changes in the Indonesian economy in 2024, with a new leadership change scheduled in the second half of the year, which will likely impact major projects, government budgets, and market dynamics for all brands in the Indonesian market.

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