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Tokopedia

Supporting an e-Commerce Boom Across Indonesia with Multi-Cloud Orchestration and Security
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SUCCESS STORY

Tokopedia, an Indonesian technology company specialising in e-commerce, selected Epsilon to provide a secure and high-performance multi-cloud network underlay in Singapore. The partnership enables Tokopedia to extend its cloud capabilities and power the leading online marketplace in Indonesia.

As consumers take their shopping online, more and more retailers are now choosing to go digital instead of brick and mortar. This is a growing trend in fast-growing markets like Indonesia, where the number of e-commerce users has been projected to reach 43.89 million.

The increasing usage of online marketplaces to buy and sell products is driving these platforms to become more reliant on the cloud. However, without a solid cloud networking strategy, e-commerce marketplaces could potentially face performance issues, unplanned outages or even security breaches, which can drive customers away.

Cloud Networking with Operational Visibility and Control

Eliminate public cloud networking and security challenges with actionable intelligence on network health traffic flows.

THEIR STORY

Empowering Indonesia with a Leading Marketplace Platform

Tokopedia was founded in 2009, with the aim to democratise commerce through technology. It has grown into a technology company with marketplace, fintech, payments, logistics and new retail businesses. In the last 10 years, it has encouraged equal distribution of the digital economy by motivating Indonesians to start selling online.

Tokopedia reaches 99% of districts in Indonesia, with 100+ million monthly active users and 11+ million merchants – 86.5% of which are new entrepreneurs.

During the pandemic, 70% of businesses experienced a surge in sales due to the shift in online sales through the Tokopedia platform, which saw total sales increase by 133%. 76.4% of sellers have said they find it easy to manage their business on Tokopedia.
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THEIR GOAL

Democratising Commerce Through Technology

Tokopedia’s vision is to build a Super Ecosystem where anyone can start and discover anything. To this day, Tokopedia has empowered millions of merchants and users, with its mission to democratise commerce through technology. It understands the importance of helping merchants reach new audiences while providing a seamless online experience for consumers.

Tokopedia saw an opportunity to take a cloud-first strategy and use the best of breed capabilities of multiple cloud providers. It wanted to deliver a powerful, scalable and redundant IT application layer to power its digital marketplace and offer a seamless experience to customers.

THEIR CHALLENGE

Expanding Cloud Capabilities to Meet E-Commerce Demands

Tokopedia needed to expand its cloud networking capabilities to meet the rising e-commerce demands in Indonesia while ensuring an optimised quality of experience for customers. However, without its own dedicated network backbone, dynamically scaling bandwidth between cloud environments to support and meet the changing end-user usage demands proved to be a challenge.

Tokopedia needed a partner that could enable it to keep up with demands in the region with flexibility and scalability, while ensuring security and performance with simple management. It wanted a solution that could seamlessly deliver connections consistently, even with large bandwidth requirements.

Tokopedia operates its e-commerce infrastructure on three different CSPs. It wanted to protect its network connectivity with a backup via a second provider given the critical nature of its cloud resources. However, this proved to be a challenge without a unified cloud networking solution with a clear controller/dashboard to manage its cloud services.

Traditional network services had not been able to efficiently support Tokopedia’s requirements at short notice, which was blocking e-commerce business during peak shopping seasons – creating revenue losses and unsatisfied customers. It needed a solution that was seamless, simple and scalable, even with short lead times.

THEIR SOLUTION

Secure and Reliable Multi-Cloud Connectivity

Tokopedia partnered with Epsilon for secure, reliable and high-performance connectivity between its production environments across multiple cloud providers. Epsilon’s managed cloud routing service connects Tokopedia’s production environments in Amazon Web Services (AWS), Google Cloud Platform and Alibaba Cloud via multiple high-speed Cloud Connects, serving the technology unicorn’s cloud to cloud needs via Epsilon’s private network.

Epsilon delivers high-bandwidth cloud connections between Tokopedia’s IT infrastructure via its private network. Cloud Connect provides a scalable and flexible solution for Tokopedia to grow its bandwidth according to rising e-commerce demands in Indonesia, and deliver a secure marketplace platform for its 10+ million merchants and 100+ million monthly active users. Through Epsilon’s network fabric, Tokopedia is able to connect and manage its production IT infrastructure in a multi-cloud environment with improved availability and quality of experience.

Epsilon offers a 10G dedicated bandwidth and uses a link aggregation group (LAG) to support higher throughput to CSPs, allowing Tokopedia to deploy its most intense workloads across clouds, while never having to worry about the communication in between. Epsilon’s solution is automated through NaaS platform Infiny, so the e-commerce giant can quickly provision new cloud interconnect services according to bandwidth demands.

The platform allows users to buy and manage ethernet services for interconnecting data centres and direct connections to leading CSPs and internet exchanges (IXs) globally.
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We’re very excited to be working with Tokopedia to extend its cloud capabilities powering the leading online marketplace in Indonesia. Tokopedia now has the freedom to access and orchestrate the cloud services it needs as its business grows. We are providing Tokopedia with secure, scalable and reliable connections to its multi-cloud production environment to serve the needs of the changing e-commerce market. By utilising direct connections to multiple clouds, Tokopedia’s mission-critical applications and data in the cloud are secured. It can focus on improving its offering without having to worry about the network infrastructure.

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Warren Aw

Managing Director, APAC, Epsilon

Our platform helps merchants reach new audiences while providing a seamless online shopping experience for consumers. With the rising demands for a better digital experience, we needed an agile and flexible solution for securing and improving the performance of our connectivity to the cloud. Epsilon’s cloud connectivity solutions make it simple for us to directly access the CSPs of our choice with the Layer 3 routing that matches our needs. We look forward to Epsilon’s ongoing support in enabling us to build our reliable online marketplace for businesses and consumers across Indonesia, and to further achieve our mission of democratising commerce through technology.

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Ryan de Melo

VP of Engineering, Tokopedia

Adaptable

Scalable bandwidth terms and options

High Performance

High-capacity service for connecting and moving between the clouds

Single Provider

Connect to major cloud service providers through a single vendor

Secure

Secure applications and mission-critical data

The Future

Moving forward, Tokopedia can easily connect its production environments across different cloud platforms within Epsilon’s secure multi-cloud environment. With Epsilon as a strategic partner, Tokopedia can better serve its e-commerce customers with a solid foundation for security and growth. With ongoing support from Epsilon’s dedicated service manager and engineer, Tokopedia benefits from monthly reviews of the service and proactive updates on the network performance.

With Infiny, Tokopedia will be able to expand its reach, enhance its services and grow without limits with access to a growing ecosystem of global data centres, CSPs and IXs. This enables Tokopedia to serve new demand for more complex connectivity requirements in the future.

By deploying Epsilon’s Cloud Connect, Tokopedia can effectively expand its cloud capabilities and ensure a seamless experience for customers. The flexibility of Cloud Connect and the entire Infiny platform means Tokopedia will be able to continually scale up and adapt to an evolving market at the click of a button.
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