Indonesia’s TikTok Shop ban reveals mixed feelings on e-commerce revolution | Business and Economy News

Jakarta, Indonesia – Tanah Abang is the most significant textile and outfits current market in Southeast Asia, well-recognized among traders all around Asia and as much as Africa. But organization these times is not fantastic, with foot targeted visitors down by fifty percent as opposed with prior to the pandemic.

In accordance to stallholders at the practically 300-12 months-old industry in Central Jakarta, TikTok Shop, the e-commerce aspect of the world’s most preferred video-sharing app, is squarely to blame.

“TikTok is seriously undesirable for my enterprise,” Hairun Nisa, whose family members have offered men’s relaxed clothes at Tanah Abang for 20 a long time, explained to Al Jazeera.

“It’s different to other sorts of e-commerce due to the fact, in TikTok, folks sell their merchandise using online video and can interact with customers in authentic-time.”

“It’s not like the old times when this industry was constantly crowded,” added Roni Waskito, who has bought footwear at Tanag Abang given that 2010 and who also blames TikTok for the drop in trade.

Company at the Tanah Abang textile and outfits sector has taken a sharp dive due to the fact the pandemic [Al Jazeera]

TikTok Shop amassed 6 million sellers in Indonesia inside of a year of its start in 2021 and final year captured about 5 per cent of Indonesia’s booming $52bn e-commerce.

The e-commerce system had been on focus on to increase product sales by about 350 per cent this yr, according to Singapore research organization Momentum Operates – until eventually the Indonesian federal government banned it on October 5.

Jakarta has justified the ban as required to defend the country’s 64 million micro, small and medium enterprises (MSMEs), which includes merchants at marketplaces this sort of as Tanah Abang.

Indonesian Trade Minister Zulkifli Hasan has accused the platform of

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Indonesia’s TikTok sellers do roaring trade in hijab, handbags | E-Commerce

Bali, Indonesia – Like several in his village, Inggit Pambudi and his wife Mudya Ayu earn a dwelling generating and selling headscarves.

The couple are section of the 1000’s of dwelling industries in West Java’s district of Cicalengka, identified as “Kampung Hijab”, or “Hijab Village”.

Cicalengka specialises in modest don, a remarkably sought-right after commodity in Muslim-bulk Indonesia.

Most of Cicalengka’s production caters to brick-and-mortar wholesale markets across the Southeast Asian region but Pambudi and his wife rely on a extra modern day internet marketing approach. As TikTok user Hijab mudy mudy, the few provide their merchandise in livestreams on the preferred movie app 24 hours a day.

“We really do not even have any physical store,” Pambudi, 25, explained to Al Jazeera. “When I acquired that I can livestream and promote my items on TikTok, I considered that it’s a very good option for us.”

TikTok is wildly well-liked in Indonesia, the world’s fourth-most populous state with a lot more than 275 million persons. As of July, the Chinese social media platform noted 106.9 million adult people in Indonesia, producing the state the app’s second-biggest market place immediately after the United States.

TikTok – at first launched as a tunes online video system-cum-social network – entered Indonesia in 2017. Soon after authorities briefly banned the app about articles deemed pornographic and blasphemous, it began storming the country’s lucrative e-commerce scene in 2021, subsequent the launch of its livestreaming e-commerce function all through Ramadan.

Throughout the holy thirty day period, the app’s viewership peaks bigger than regular as a lot of Muslims continue to be awake into the early hours to try to eat their previous food of the day just before fasting.

Oktaviana Tas Grosir employs 10 are living-streaming hosts to promote its goods on TikTok [Courtesy of Regi
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