Post TikTok Shop Ban, 20% of Consumers Move to Other E-Commerce Platforms
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24 November 2023 00:00 WIB
TEMPO.CO, Jakarta - Minister of Cooperatives and SMEs Teten Masduki explained that after TikTok Shop was banned, buyers went to other e-commerce platforms.
"Since TikTok is only allowed for promotion, those who used to shop at TikTok Shop moved to Bukalapak, Shopee, Tokopedia, or Lazada. But only 20 percent of them," Teten said in a working meeting with Commission VI of DPR on Thursday, Nov. 23.
Sementara 80 persen lainnya, menurut Teten, merupakan eks pengguna TikTok Shop yang melakukan transaksi hanya karena tergiur layanan tersebut. Artinya, pengguna itu tidak betul-betul memiliki niat belanja sehingga kini hanya menjadi pengguna TikTok sebagai media sosial.
Meanwhile, the rest 80 percent were those who were only attracted by TikTok Shop services but they actually did not have an intention to shop. These people, Teten said, only use TikTok as a social media platform now.
Additionally, the minister mentioned that TikTok Shop would be allowed to resume its operation if the China-based platform set up a base in Indonesia and obtained a license. TikTok Shop, he added, posed threats to local MSMEs, or micro-small-medium-sized enterprises.
As we know, TikTok Shop was officially banned on Oct. 24, 2023. The Indonesian government closed the social commerce platform based on the provision under Minister of Trade Regulation No. 31 of 2023 on Business Licensing, Advertisement, Development, and Supervision of Business Actors in Electronic Systems Trading.
The government prohibited TikTok Shop or other social commerce platforms from conducting direct trade as a means to protect MSMEs. TikTok Indonesia then complied with the regulation and no longer facilitated e-commerce transactions on the app.
Additionally, to ensure compliance, the Ministry of Communication and Informatics claimed to continue supervising TikTok's operational activities.
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