Currently, social media is abuzz with the cheers of traders operating in traditional shopping centers. They are resolutely requesting that closure of Shopee and Lazada, similar to TikTok Shop before.A similar movement has successfully prompted the government to follow through on similar demands, ultimately resulting in the closure of TikTok Shop on October 4, 2023. However, the consequence is that small traders and Micro, Small, and Medium Enterprises (MSMEs) who relied on TikTok Shop for sales can now only use it as a promotional tool.

This decision has given rise to a range of responses, both positive and negative, among business operators and MSMEs. It is undeniable that several MSMEs have achieved extraordinary success thanks to TikTok Shop. However, with the closure of shopping features on that platform, traders are now demanding similar changes on other platforms.

Videos featuring traders clamoring for the closure of Shopee and Lazada have also gone viral on social media, resembling the events that occurred with TikTok Shop earlier. They argue that the presence of e-commerce has disrupted the turnover and income of traditional market traders. “Please remove TikTok Shop, Lazada, Shopee. Please, we implore you,” is the text within the video.

Poster for Requesting to Closure of Shopee and Lazada

There are also posters that hark back to the past glory of Tanah Abang with the message, “Restore the old Tanah Abang, sir.” This message reflects the concerns of traditional traders about the impact of e-commerce on their businesses.

However, this video has triggered various reactions among social media users. We cannot overlook the fact that the shopping culture has undergone a significant shift from the conventional model to the online one. Data from NielsenIQ, cited by Bisnis.com, reveals that in 2021, approximately 32 million people in Indonesia used e-commerce, marking an 88 percent increase compared to 2020, which had only 17 million users. This data indicates that the cultural shift from traditional to online shopping is an inevitable change. The challenge now is to evaluate its consequences and seek solutions that benefit all parties.

Read also: Shopee Drives Growth for Local Brands and SMEs in the Creative Economy

The debate about the closure of TikTok Shop and the demand to close Shopee and Lazada shows that regulation in the e-commerce industry remains a complex issue. Therefore, it is important for all stakeholders, including the government, business operators, and consumers, to collaboratively find sustainable solutions to promote balanced and sustainable growth in the e-commerce sector.

Yustika Nindy Ferdiani