If you're planning to expand your trading business and enter the Indonesian market, a distributor can become an essential partner in setting up supply chains and promoting your products. However, finding a reliable partner is not always easy. In this article, you'll learn how to find a distributor, what types exist, and what you should consider to build a successful partnership.
Simply put, a distributor is a middleman between a manufacturer and a store or end consumer. They purchase goods in large volumes, store them in warehouses, and resell smaller batches to stores, organizations, or other clients. Distributors often handle logistics, marketing, and promotion, and may also provide technical or warranty support.
There are several types of distributors, each with its own features and business models. If you’re planning to start a business in Indonesia, it’s important to understand which type suits your market entry strategy.
1. Exclusive distributors
These distributors have exclusive rights to sell and distribute a brand’s products within a specific geographic region. This means only they can represent your brand in that area, and the producer cannot sign contracts with other distributors in the same zone.
This type of partnership is a good fit if:
• you have niche products that require a tailored sales approach
• your brand is new and you want to secure a strong local presence
• you want full control over promotion and sales
2. Independent distributors
Independent distributors operate without exclusive contracts and often represent multiple brands in various market segments. They typically handle a wide range of products and have established distribution networks.
This option may suit you if:
• you want to test the market with minimal investment
• your product can share shelf space with competing brands
• you’re looking for a partner with an existing sales infrastructure
3. Importers and wholesale distributors
Importers handle the procurement and customs clearance of foreign products. Wholesale distributors purchase goods in bulk from importers or producers and resell to other businesses or smaller distributors.
Consider an importer if:
• you want to launch a foreign brand in the local market
• you’re looking for exclusive international products
Consider a wholesale distributor if:
• your products are in high demand and require frequent large shipments
4. E-commerce focused distributors
These distributors specialize in online sales, acting as intermediaries on e-commerce platforms and marketplaces. They often manage digital marketing, SEO, and social media campaigns.
This type is ideal if:
• you want to start selling online but lack experience or infrastructure
• you already sell on online platforms and want to scale quickly
5. Just-in-time distributors
These distributors focus on timely deliveries based on current demand, instead of storing large inventories.
This option is useful if:
• you want to reduce storage and inventory costs
• your products are perishable or quickly become outdated
• you can arrange timely deliveries based on real-time orders
TIP: To find the right type of distributor for your business, consider the following:
• In which region of Indonesia do you want to operate?
• What kind of product are you offering?
• What purchase volumes do you expect?
• Do you need exclusivity for your product?
• Are you focused on offline or online sales?
Once you've identified the type of distributor you need for doing business in Indonesia, it’s time to start your search. This step-by-step guide will help narrow down your options and find a reliable partner.
Don't rely on just one channel — explore a variety of resources:
1. Chambers of commerce
Local and regional chambers can provide verified distributor contacts in different sectors:
• KADIN
• Indonesian Chamber of Commerce and Industry
• Indonesian Exporters Association – API
2. Online platforms, B2B websites & marketplaces
• Alibaba Indonesia
• Global Sources
• Made-in-China
• Indotrading
• ExportHub
• Bizzy Indonesia
• Ralali
• Kirana Magatara
• Tokopedia
• Bukalapak
• Shopee Indonesia
• TradeIndonesia
• BizVibe
3. Trade shows and business events
Offline events such as Jakarta International Expo, IndoBuildTech Expo or Trade Expo Indonesia are a great place to meet potential distributors face to face and assess their capabilities.
4. Local industry associations
Specialized industry groups can help find sector-specific partners:
• Indonesian Electronics Association
• Indonesian Retailers Association
• Gabungan Pengusaha Ekspor Indonesia (GPEI)
5. Social media
LinkedIn, Facebook, and Instagram are useful for networking and discovering local distributors.
After compiling a list of potential distributors, send out an inquiry email. Include:
• A brief about your company and product
• What you're looking for in a partner
• Expected volumes and delivery terms
• Payment and shipping conditions
Keep your message clear, professional, and structured. Consider local communication norms — be polite and respectful. It's also recommended to send your message in Bahasa Indonesia.
Evaluate candidates based on:
Response speed, professionalism, and openness to working with foreign companies
Reputation — check reviews, associations, or hire a local consulting firm to vet them
Case studies or past partnerships that demonstrate reliability
Once terms are agreed and a contract is signed, stay in touch and monitor the distributor’s performance to ensure they are fulfilling their obligations and actively promoting your product in the Indonesian market.
Finding a distributor in Indonesia requires research, preparation, and a deep understanding of local market dynamics and business culture.
If you've been dreaming of starting a business in Bali but don’t know where to begin with finding a distributor or building business relationships in Indonesia — Good Luck Group can help. We will assist you in finding trustworthy partners, checking their background, and supporting you throughout negotiations.
