MERGER - JAKARTA. The management of PT GoTo Gojek Tokopedia Tbk (GOTO) has revealed that the integration and migration process of TikTok Shop and Tokopedia has made good progress. The process is almost complete.
The Ministry of Trade (Kemendag) has given three to four months to integrate the TikTok Shop and Tokopedia systems, starting from when TikTok announced its investment in the e-commerce platform on December 11, 2023.
"Currently, the shopping, payment, and check-out transactions have been separated from TikTok's back end and occur in Tokopedia's back end system. We hope that this process will be completed at the latest within the next 1.5 months," revealed GoTo's Director of External Relations, Nila Marita, recently.
Read Also: Putrama Wahju Setyawan Becomes Deputy CEO of BNI
This system migration is an obligation that must be fulfilled by Tiktok and Tokopedia in accordance with the provisions of the Minister of Trade Regulation (Permendag) Number 31 of 2023, which requires separation between social media and e-commerce. Currently, the system migration progress has reached 75% and the remaining 25% is being worked on.
Meanwhile, the Ministry of Trade (Kemendag) stated that the migration progress between TikTok and Tokopedia is almost complete. As of March 4, 2024, the process has reached 87%.
According to the Director General of Domestic Trade at Kemendag, Isy Karim, the separation process of TikTok Shop and Tokopedia has been carried out through the backend or a system behind the scenes where they process the database and also manage the server.
Read Also: GOTO Earns E-Commerce Service Revenue from Tiktok
"Currently, the payment process on Tiktok has moved to Tokopedia's backend. Now for the separation between Tiktok Shop and Tokopedia, it has directly moved to Tokopedia, not on Tiktok anymore. But on the backend (Tokopedia)," explained Isy in his statement, on Tuesday (5/2).
He also confirmed that the separation between social media and e-commerce carried out by TikTok could just be at the backend or server level, not necessarily on different applications. This is done because Tokopedia is committed to not disrupting users during this migration process.
Therefore, said Ivy, in the process, the migration of TikTok Shop and Tokopedia tends to go unnoticed. "(Separation at the back end) is allowed, but the back end has already been separated. We have opened it until the back end has changed, there are no more transactions," she explained.
TikTok and Tokopedia still need to complete the remaining 13% to comply with the rules. One of the things that needs to be completed is the matter of writing, no longer using the name TikTok or TikTok Shop but Shop|Tokopedia.
Read Also: GoTo, TikTok Compliance with Indonesia's Trade Regulation Nears 100%, Says GoTo CEO
Therefore, the migration carried out does not only change the color from black to green, but proves that the backend has indeed been adjusted, such as payments that are no longer on Tiktok Shop, but are now on Tokopedia.
In this case, Isy did not mention plans to separate Tiktok and Tiktok Shop into different applications. He only confirmed that the migration or merger between Tiktok Shop and Tokopedia is sufficient just by using the same backend between the two. "With today's technology, why should we have to switch applications again, browse again, of course not. Merging backends is still considered to comply with the rules," he concluded.