a lot of fundamental room for growth for TikTok in relation to the e-commerce platforms ,” said Kok Seng Kiong, lecturer in finance at RMIT University in Ho Chi Minh City. His TikTok account has a following of almost half a million. In order to become a shopping destination, however, experts told Rest of World, TikTok Shop will not only have to confront the same challenges as incumbent e-commerce players – like complicated logistics and uneven adoption of electronic payments – but also convince small business owners that they can be short-video superstars, and persuade consumers to see the app as more than just entertainment.įredi Lugina Priadi’s TikTok Shop, where he sells clothing for pets. Using TikTok Shop, sellers add a shopping tab to their existing TikTok feeds, enabling shoppers to browse without leaving the kinetic grid of the app. While Southeast Asia has its own e-commerce giants – Alibaba-backed Lazada, Sea-owned Shopee – ByteDance has positioned TikTok Shop as the next evolution in online shopping: more addictive for being powered by TikTok’s algorithm, and more entertaining for being layered onto its infinite scroll of short videos. In February this year, ByteDance announced it would expand the function across Thailand, Vietnam, and Malaysia.
Since February of that year, parent company ByteDance has been attempting to extend its exploding popularity into e-commerce by piloting TikTok Shop with entrepreneurs like Fredi in Indonesia, as well as in the U.K. TikTok was one of the most downloaded apps of 2021 in Southeast Asia, according to Data.ai. “ actually, it’s a good opportunity that TikTok has opened for small businesses like me, for craftsmen.” From his home in the Bogor area south of Indonesia’s capital Jakarta, his content reaches a following of almost half a million. “I make content firstly for entertainment, for laughs,” said Fredi. High school graduates, Harry Potter, superheroes - Fredi Lugina Priadi can clothe a cat to look like almost anything.įredi became a social media phenomenon in 2020, with his clips of waddling, costumed cats drawing tens of millions of views on TikTok. He normally uses the e-commerce platform Shopee to sell his handmade pet clothing, but when he noticed in November that a TikTok shopping function had appeared, he immediately opted in.
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