Report Says TikTok and Tokopedia Integration is About to be Completed
Jayson 29 Feb 2024 12:07
It is reported that GoTo CEO said yesterday (Wednesday) that the integration with TikTok will be completed within one and a half months and will fully comply with the country's regulations.
Chief executive Patrick Walujo said: "The integration process is progressing well, all parties continue to communicate with relevant ministries and, as far as we are aware, the process is nearing completion."
The country's Small and Medium Enterprises Minister Teten Masduki said last week that TikTok had not yet complied with the rules.
TikTok did not immediately respond to a request for comment. Following the December deal, TikTok has relaunched its e-commerce service, now powered by Tokopedia.
GoTo management said in the briefing that it will collect e-commerce fees from Tokopedia on a quarterly basis, with the amount determined by Tokopedia's GMV.
GoTo's e-commerce service fees will be $11.4 million, based on GMV of $2.9 billion in last year's third quarter, GoTo said.
GoTo also expects that the tie-up with TikTok will not only benefit its e-commerce business but also its financial services unit as it will be able to offer digital payments and "buy now, pay later" credit schemes on TikTok.
Chief executive Patrick Walujo said: "The integration process is progressing well, all parties continue to communicate with relevant ministries and, as far as we are aware, the process is nearing completion."
The country's Small and Medium Enterprises Minister Teten Masduki said last week that TikTok had not yet complied with the rules.
TikTok did not immediately respond to a request for comment. Following the December deal, TikTok has relaunched its e-commerce service, now powered by Tokopedia.
GoTo management said in the briefing that it will collect e-commerce fees from Tokopedia on a quarterly basis, with the amount determined by Tokopedia's GMV.
GoTo's e-commerce service fees will be $11.4 million, based on GMV of $2.9 billion in last year's third quarter, GoTo said.
GoTo also expects that the tie-up with TikTok will not only benefit its e-commerce business but also its financial services unit as it will be able to offer digital payments and "buy now, pay later" credit schemes on TikTok.
