Image Recognition - Indonesia

The Image Recognition market in Indonesia is facing subdued growth due to factors such as limited technological infrastructure and lack of awareness among consumers. However, the Artificial Intelligence market, of which Image Recognition is a part, is still experiencing significant growth driven by factors like increasing adoption of AI technologies and convenience of online services.

Customer preferences: As technology becomes more advanced, consumers in Indonesia are increasingly turning to image recognition solutions for various purposes such as security, marketing, and customer service. This trend is further fueled by the growing adoption of smartphones and the increasing importance of visual content in social media and e-commerce. Additionally, the rise of digital marketing has led to a higher demand for image recognition tools to analyze consumer behavior and personalize ads, catering to the diverse cultural preferences and lifestyle choices of the Indonesian market.

Trends in the market: In Indonesia, the Image Recognition Market of the Computer Vision Market within the Artificial Intelligence Market is experiencing a surge in demand for facial recognition technology in various industries, including retail, healthcare, and transportation. This trend is driven by the need for contactless identification and enhanced security measures. Additionally, the government's push for digital transformation and smart city initiatives is expected to further boost the adoption of image recognition technology. Industry stakeholders can capitalize on this trend by offering innovative solutions and partnering with local businesses and government agencies.

Local special circumstances: In Indonesia, the Image Recognition market is seeing significant growth due to the country's large population of smartphone users and the government's efforts to promote digital transformation. The market is also influenced by the cultural preference for visual content, which has led to the adoption of image-based search and advertising strategies. Additionally, Indonesia's regulatory framework, which is relatively relaxed compared to other Southeast Asian countries, has created a conducive environment for the development and adoption of AI-powered image recognition technologies.

Underlying macroeconomic factors: The growth of the Image Recognition Market of the Computer Vision Market within the Artificial Intelligence Market in Indonesia is heavily influenced by macroeconomic factors such as technological advancements, government support, and investment in the AI industry. With the government's initiatives to promote digital transformation and the country's economic stability, Indonesia is experiencing rapid market growth compared to other countries in the region. Furthermore, the increasing demand for AI-driven solutions across various industries, coupled with the growing digital infrastructure, is driving the market's growth in Indonesia.

Data coverage: The data encompasses B2B, B2G, and B2C enterprises. Figures are based on the funding values from different industries for the market.

Modeling approach / Market size:Market sizes are determined through a top-down approach with a bottom-up validation, building on a specific rationale for each market. As a basis for evaluating markets, we use annual financial reports, funding data, and third-party data. In addition, we use relevant key market indicators and data from country-specific associations such as GDP, number of internet users, number of secure internet servers, and internet penetration. This data helps us estimate the market size for each country individually.

Forecasts:In our forecasts, we apply diverse forecasting techniques. The selection of forecasting techniques is based on the behavior of the relevant market. For example, the S-curve function and exponential trend smoothing are well suited to forecast digital products and services due to the non-linear growth of technology adoption. The main drivers are the level of digitalization, the number of secure internet servers, and the revenue of the Public Cloud market.

Additional Notes: The data is modeled using current exchange rates. The impact of the COVID-19 pandemic and the Russian-Ukraine war are considered at a country-specific level. The market is updated twice a year. In some cases, the market is updated on an ad-hoc basis (e.g., when new, relevant data has been released or significant changes within the market have an impact on the projected development). Data from the Statista Consumer Insights Global survey is weighted for representativeness.