Indonesia Ride Hailing Market Size & Share Analysis - Growth Trends And Forecast (2025 - 2030)

Indonesia Ride Hailing Market Trends and Insights

Rapid Urbanization & Chronic Traffic Congestion

In 2024, Jakarta drivers spent hours stuck in traffic, marking a significant increase in congestion compared to 2023. This delay ranked Jakarta as the tenth most congested city worldwide. Such traffic woes keep on-demand mobility at the forefront of commuters' minds, increasingly seeking time savings through optimized routing. With Indonesia boasting a high urbanization rate, demand is heavily concentrated in Java, the epicenter of the country's ride-hailing market. In July 2024, new toll roads, including the Cimanggis-Cibitung corridor, opened up previously underserved suburbs. However, these routes still direct riders back into the city's congested core. While fuel prices are set to rise due to subsidy reforms announced in September 2025, shared two-wheeler rides continue to be a cost-effective choice for daily commuters, solidifying their habitual use.

Government EV Incentives For Two-Wheel Ride-Hailing Fleets

Indonesia's roadmap to achieving net-zero emissions by 2060 includes tax incentives and subsidies for fleets transitioning to electric motorcycles. In the first half of 2025, electric vehicles (EVs) made up a significant portion of active two-wheelers in ride-hailing, a figure that has doubled, in part due to Grab's fleet of electric vehicles, which has successfully reduced CO₂ emissions. With battery-swap stations established nationwide, mostly in Java, charging downtimes are minimized, leading to increased vehicle utilization. Additionally, regulations set by the Ministry of Transportation ensure standardized safety measures and conversion protocols.

High Smartphone / E-Wallet Penetration

With multiple internet users and mobile connections, Indonesia’s app-centric population provides the digital rails for the Indonesian ride-hailing market. QRIS standards and e-wallet ubiquity enable cashless transactions that shorten booking flows and support dynamic pricing ^{[1]“QRIS Adoption Statistics 2025,” Bank Indonesia, bi.go.id} . GoPay surpassed 20 million downloads by March 2024, illustrating the cross-sell potential between fintech and mobility. Government API standardization through Telkomsel’s CAMARA-compliant framework further lowers integration costs for third-party developers, enhancing feature velocity on ride-hailing super-apps.

Public-Transport Integration Boosts First / Last-Mile Demand

In its inaugural month, Gojek's GoTransit partnership with KRL commuter rail saw a remarkable trip surge. Many GoRide journeys in Jakarta commence or conclude at a train or bus station. The JakLingko integrated fare card and an MRT ridership boasting millions of monthly users channel untapped demand into multi-modal journeys. Data-sharing agreements, formalized through provincial MOUs in June 2025, empower ride-hailing platforms with enhanced insights into peak-hour flows, enabling them to allocate incentives strategically.

Swappable-Battery Quality Issues Cause Service Downtime

Battery swap networks are grappling with higher failure rates than traditional plug-in chargers. This discrepancy results in unexpected downtimes, adversely affecting drivers' earnings and the overall reliability of the platform. A pilot project by Oyika in Jakarta underscores the vulnerability of these systems; a single station's failure during peak hours can send ripples through the entire network, disrupting services for riders. 

These outages resonate even more in Java, where most swap sites are located. The involvement of proprietary batteries from suppliers such as SWAP Energy, Volta Indonesia, and Electrum adds another layer of complexity to quality control. As the Ministry of Transportation works on drafting safety regulations, operators are left in a lurch, uncertain about the potential retroactive compliance costs. This ambiguity poses a risk of temporary halts in network operations as they scramble to make necessary upgrades.

Patchy 4G/5G Coverage Outside Java Limits App Bookings

For ride-hailing services, consistent connectivity is paramount for GPS navigation, pricing accuracy, and seamless cashless transactions. However, network quality takes a hit outside the bustling region of Java. The outer islands grapple with sporadic 4G connectivity and a scarcity of 5G, leading to user frustrations and a dip in driver acceptance rates. While Telkomsel concentrates its efforts on urban areas within Java, rural regions are left waiting. As a result, ride-hailing platforms are strategically focusing on areas with reliable connectivity, inadvertently stunting growth in provinces that remain underserved. Although the government is making strides to address the digital divide, progress has been sluggish. This delay means that expansions into the outer islands hinge on the outcomes of future spectrum auctions and the construction of new towers.

Segment Analysis

By Vehicle Type: Two-Wheelers Anchor Mass Mobility

Two-wheelers captured 63.48% of Indonesia's ride-hailing market share in 2024 as nimble motorcycles navigate Jakarta’s average speeds more effectively than cars. The segment is projected to grow at a 7.27% CAGR, outpacing the broader Indonesia ride-hailing market through 2030. Internal combustion engine (ICE) bikes lead the market in volume. Yet, electric scooters are carving out a significant niche in the active ride-hailing arena. These scooters outpace traditional four-wheelers, completing notably more trips on average. Adoption lags in rural areas, but suburban regions are witnessing robust growth, fueled by enhanced connectivity from new toll-road infrastructure. This growth spurt opens doors for two-wheeler operators to tap into rising demand.

Vans, MPVs, and minibuses serve demand for niche group travel and airport shuttles. Passenger cars cater to comfort-seeking users on longer intra-city routes, but traffic and parking constraints keep growth muted. Three-wheelers and buses remain peripheral to the Indonesian ride-hailing market, constrained by regulatory licensing and low consumer familiarity.

Note: Segment shares of all individual segments available upon report purchase

By Propulsion Type: Electric Momentum Builds

Internal-combustion engines retained 99.43% of the Indonesian ride-hailing market size in 2024 but face gradual displacement. Battery-electric rides are forecast to post a 7.25% CAGR to 2030, reinforced by tax waivers and falling battery costs. Under Indonesia's Permenhub No. 39/2023, government-approved ICE-to-EV conversion kits have slashed the upfront costs for drivers, paving the way for broader electrification. At the same time, battery-swap-ready scooters from companies like Electrum and NIU are cutting down downtime by avoiding lengthy charging sessions.

While hybrid two-wheelers boast technological promise, their higher purchase price is likely to keep them as a niche solution, overshadowing the operational savings they provide. On the other hand, CNG and LPG alternatives are only gaining traction in certain areas, primarily limited by the presence of localized refueling infrastructure.

By Service Type: E-Hailing Dominance, Robo-Taxi Emergence

E-hailing held 86.37% of the Indonesian ride-hailing market share in 2024, thanks to established brand familiarity and wide driver networks. Autonomous pilots such as Grab’s low-speed shuttle trials push robo-taxis toward a 7.28% CAGR, though volumes remain embryonic. 

Peer-to-peer car-sharing suffers from insurance hurdles, while monthly ride packages find traction among enterprise clients seeking budget certainty. AI-driven matching engines and fraud detection boost service reliability, keeping incumbent platforms sticky even as entrants tout novel propositions.

By Booking Channel: Apps Solidify Pre-Eminence

App channels processed 87.38% of the Indonesian ride-hailing market size in 2024 and are projected to grow at a 7.31% CAGR. Features like predictive ETA, multi-modal trip planning, and embedded BNPL options significantly boost user engagement by offering convenience and flexibility. While phone bookings remain common among digitally excluded groups, their prevalence wanes with the rise of affordable smartphones in rural regions, enabling broader digital adoption. With the adoption of CAMARA-standard APIs bolstering security, financial institutions are increasingly integrating mobility services into their super-apps. This integration not only enhances user experience but also amplifies the dominance of app-based services in the mobility market.

By End-User: Corporate Segment Accelerates

Personal riders formed 77.32% of trips in 2024, but corporate/institutional demand is expanding fastest at 7.33% CAGR. Companies replace fleet leases with on-demand mobility to reduce parking costs and simplify expense reconciliation. GoCorp and emerging white-label ride solutions integrate HR systems, offering policy-based booking controls and centralized invoicing.

Sector-specific use cases—from patient transfers in healthcare to test-drive pickups in automotive—multiply addressable B2B volumes. The Indonesian ride-hailing industry benefits from this diversification as corporate customers exhibit higher ride frequency and stickier contracts.

Geography Analysis

Java accounts for most rides, infrastructure, and revenue, reflecting three-fifths of swap-station deployments and the densest smartphone penetration. Jakarta alone generated the largest share of the Indonesian ride-hailing market size in 2024, propelled by congestion hours annually that incentivize shared trips. MRT and TransJakarta hubs act as multipliers, with 1-in-5 GoRide journeys now linked to rail or bus nodes ^{[2]“MRT Ridership Report Nov 2024,” Jakarta Provincial Government, jakarta.go.id} . 

Secondary hubs such as Surabaya and Bandung record double-digit trip growth on the back of new arterial roads and widening 4G/5G coverage. Battery-swap networks have started branching into these cities, shortening adoption lags compared with Jakarta’s early EV roll-out. 

Outer-island provinces remain relatively underpenetrated due to sparse populations and limited digital infrastructure, yet targeted scholarship programs have seeded driver supply in multiple smaller cities. Government road projects that cut travel times—like the Cimanggis-Cibitung link—extend platform viability into suburban districts, rebalancing geographic revenue concentration over time.