Is it true that TikTok Shop joins Tokopedia?
The world of e-commerce in Indonesia is witnessing an intriguing shift with the news of TikTok Shop joins Tokopedia potentially. While there hasn’t been an official statement from either party, this news has sparked intriguing debates and speculations. Some observers view this potential merger as a “win-win” solution that benefits both sides. Bhima Yudhistira, Director of the Center of Economic and Law Studies (Celios), has suggested that this collaboration could offer a more affordable and realistic alternative for navigating the increasingly competitive e-commerce industry, where various promotions and discounts are in fierce competition. [Source: Kompasiana]
Previously, TikTok, along with YouTube, was contemplating a collaboration with Meta (Facebook) to secure e-commerce permits in Indonesia, particularly after the government banned online shopping activities on social media platforms. This ban was implemented as a protective measure for small and medium-scale traders and to safeguard user data.
In the context of Indonesian regulations, e-commerce platforms must adhere to stringent requirements, including having a domestic entity in the form of a PT (limited liability company) and holding an NPWP (Tax Identification Number). Regulation Minister of Trade No. 31 of 2023 governs the separation of e-commerce, social commerce, and social media. Therefore, any platform conducting trade transactions in Indonesia is required to obtain e-commerce permits.
TikTok Has Not Yet Applied for an E-commerce License
However, in recent developments, the Director-General of Domestic Trade stated that TikTok has not yet applied for an e-commerce permit, and speculations regarding the launch of TikTok Shop in November 2023 remain unconfirmed. In contrast, other platforms such as Facebook, Instagram, and WhatsApp have applied for permits as social commerce, not e-commerce, with their licensing processes still in progress.
This situation is continually evolving, and the public and e-commerce stakeholders are eagerly awaiting further developments. The potential collaboration between TikTok Shop joins Tokopedia is evidence that the e-commerce landscape in Indonesia is always adapting to evolving regulations. In this digital era, surprises and innovations can come from various directions, and we will continue to follow the latest news to provide updates on the collaboration progress of TikTok Shop joins Tokopedia. Stay tuned for the latest information on e-commerce and regulatory changes in Indonesia that may impact the industry.