Jakarta, IO – TikTok Shop has officially returned to Indonesia through its partnership with PT GoTo Gojek Tokopedia. This was announced directly on TikTok Indonesia official website, Monday (11/12).
“PT GoTo Gojek Tokopedia Tbk and TikTok today announced a strategic partnership to strengthen Indonesia’s digital economic growth, with a focus on empowering and expanding the market for national MSME players,” the statement reads.
Tokopedia and TikTok Shop businesses will later be merged under PT TikTok. Thus, TikTok will have control over PT Tokopedia. The shopping feature in the TikTok application in Indonesia will be operated and managed by PT Tokopedia.
The short-form video hosting service also invested around Rp23.4 trillion as a long-term commitment to the joint venture. The collaboration between TikTok and Tokopedia will begin with a trial period beginning December 12.
In early October, TikTok Shop operations were closed because they were deemed to be a threat to the existence of brick-and-mortar shops. ByteDance as the owner of TikTok closed the platform to comply with Trade Ministerial Regulation 31/2023 which only permits the platform to be used only to promote goods and services, not for direct buying-selling transactions.
Before it was closed, the TikTok e-commerce business allowed its users to buy and pay for goods or services directly within the application. In fact, TikTok is only licensed to operate as electronic service provider (PSE) in Indonesia.
This means that to be able to carry out buying and selling transactions on this platform, electronic service providers such as TikTok are required to own a license on transactions made through electronic systems (PMSE). (un)