ASIATODAY.ID, JAKARTA – PT GoTo Gojek Tokopedia Tbk (GOTO) announced a strategic partnership with leading global entertainment platform TikTok, Monday, December 11 2023.
In the official announcement, the Tokopedia and TikTok Shop Indonesia businesses will be merged under PT Tokopedia, with TikTok holding control over PT Tokopedia. Shopping services in the TikTok application in Indonesia will be operated and managed by PT Tokopedia.
TikTok is committed to investing more than $1.5 billion as part of this partnership. This investment is a long-term commitment to support Tokopedia’s operations, without any further dilution of GoTo’s ownership in Tokopedia.
The largest digital ecosystem company in Indonesia said the partnership with TikTok would strengthen the growth of the digital economy in Indonesia.
Through this partnership, TikTok and GoTo aim to provide greater benefits for users and micro, small and medium businesses in Indonesia.
It is hoped that Tokopedia’s business growth combined with TikTok Shop Indonesia will provide benefits for GoTo, which will remain an ecosystem partner for Tokopedia.
This includes reaching a wider market through digital financial services from GoTo Financial and on-demand services from Gojek. GoTo will also receive a revenue stream from Tokopedia as the company scales and grows.
This strategic partnership will begin with a trial period that will be supervised by the relevant ministries and agencies.
During the trial, the “Buy Local” campaign will be launched on December 12 2023, to coincide with Harbolnas. This initiative is an effort by the Indonesian government to encourage digital economic growth by empowering local MSMEs.
The “Buy Local” campaign will be present on the Tokopedia and TikTok applications, promoting various types of merchants, with the main focus on original Indonesian products. This program on TikTok will allow users to shop and interact with their favorite local products.
In the future, TikTok, Tokopedia and the GoTo Group are committed to providing broader benefits for micro, small and medium businesses in Indonesia through e-commerce platforms, as well as encouraging the creation of millions of new jobs in the next 5 years.
More than 90% of the merchants involved in this business combination are micro, small and medium businesses. (AT Network)
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