“E-commerce cannot become social media. It is separated,” - Zulkifli Hasan, Minister of Trade, Indonesia.
Last month, Indonesia shocked the digital commerce world by introducing a new regulation whereby social media companies are now “prohibited to facilitate payment transactions in its electronic system”.
Although the new regulations didn't explicitly name TikTok, the ongoing discussions about banning TikTok Shop was well-known - the platform was given one week to comply with the new regulations.
TikTok was quick to comply and officially stopped their TikTok Shop operations in Indonesia on October 4, forcing many sellers to shift their transactions to Whatsapp or move to Shopee Live.
There is no doubt that this ban will have a significant impact on TikTok’s monetisation efforts - but there are deeper implications to all parties in the ecommerce and retail ecosystem as well.
Tune in to the exclusive recording of our event to find out:
- Who are the biggest beneficiaries and losers?
- What is the impact on the rest of the world?
- Will TikTok Shop be able to reverse the ban?
- What lessons can we learn from this?