Niaga AWANI Forecast: TikTok empower brands on their shoppertainment journey

Summary

Azri Abdulaziz, Acquisition Lead for TikTok Shop Malaysia, discusses how TikTok Shop supports local MSMEs through campaigns, live streaming, and partnerships with government agencies. He highlights initiatives such as seller missions, incentives, and offline activations to increase visibility and sales. Success stories like Mazora and Kyro Amy exemplify how local brands grow on the platform. TikTok Shop Mall's introduction is expected to boost trust and sales for certified local brands. The discussion also covers future collaborations with ministries to develop the e-commerce ecosystem, especially for rural sellers, and the role of AI in enhancing user experience.

Takeaways

• 💼 TikTok Shop Malaysia provides strong support for local MSMEs through incentives like seller missions, campaigns, and brand promotion, which significantly improve sales and visibility.
• 📊 Examples of success include brands like Mazora, which gained 13,900 followers and saw a 185% sales increase during specific TikTok Shop campaigns.
• 🏆 The platform works with government agencies and trade associations to support sellers through programs like the 100 Go Digital initiative, awarding TikTok Shop as an outstanding partner for 2023.
• 🎯 Criteria for brands to qualify for TikTok Shop Mall include maintaining positive shop health scores, customer reviews, and having brand authorization.
• 🔑 TikTok Shop Mall improves brand trust and visibility by showcasing certified authentic products, which benefits both local and international sellers.
• 🌐 The platform integrates entertainment and shopping through features like the yellow shopping bag and the 'shoppertainment' concept, blending community interaction and shopping.
• 📈 Consumer behavior has shifted toward emotional connection and brand values, leading TikTok Shop to focus on community-driven, value-based purchasing.
• 🌱 The platform aims to help smaller sellers grow by providing equal opportunities and visibility, encouraging them to participate in flagship store programs.
• 🎥 Innovative strategies like live streaming and social commerce drive engagement, with examples of successful local entrepreneurs growing their businesses exponentially.
• 🔮 Looking forward to 2024, TikTok Shop plans to expand its ecosystem by collaborating with various government ministries and developing digital hubs across Malaysia, focusing on helping local brands compete in the international market.

Q & A

How has TikTok Shop Malaysia supported local MSMEs in their growth and visibility in the market?

TikTok Shop Malaysia has supported local MSMEs by providing them with tasks like creating short videos and live streams. These activities are incentivized to help sellers improve their visibility and live performance. Additionally, campaigns like the 11.11 Mega Showdown and Raya campaigns offer brands traffic boosts and buyers promotional vouchers, resulting in increased visibility and sales for MSMEs.

What specific example demonstrates the success of local MSMEs on TikTok Shop?

One example is Mazora, which gained 13,900 new followers during TikTok Shop’s Brand Day in February. In the 6.6 campaign, Mazora experienced a 185% increase in sales compared to its initial targets.

What are the key criteria for MSMEs to qualify for a flagship store on TikTok Shop?

To qualify for a flagship store on TikTok Shop, sellers must maintain positive scores in terms of service, have good customer reviews, and possess brand authorization to ensure they are the official trademark owners. Once these criteria are met, TikTok's internal team will review and approve the application.

What benefits do flagship store sellers receive from TikTok Shop Mall?

Flagship store sellers receive benefits such as increased brand trust, better market visibility, and additional revenue channels. They also get access to special discounts and brand day promotions that help boost their sales and customer engagement.

How does TikTok Shop enhance the user experience while connecting buyers, creators, and sellers?

TikTok Shop integrates content such as videos and live streams with shopping, creating an immersive experience known as 'shoppertainment.' This approach allows users to watch entertaining content while deciding to make purchases, blending entertainment and commerce.

How does TikTok Shop adapt to changing consumer behaviors?

TikTok Shop adapts to changing consumer behaviors by focusing on building connections between consumers and brands. Today's consumers want emotional connections with the brands they purchase from, and TikTok provides a platform that enables brands to tell their stories and engage with their communities, driving purchases based on shared values.

How does TikTok Shop Mall increase market visibility and trust for sellers?

TikTok Shop Mall enhances market visibility and trust by providing certified flagship stores, where buyers can be confident that the products are genuine. This improves trust in social commerce and is expected to increase sales conversions for local brands.

Will the introduction of flagship stores affect smaller sellers on TikTok Shop?

No, TikTok Shop aims to help smaller sellers grow to the level where they can qualify for a flagship store. The flagship stores are not limited to big brands; smaller independent brands can also succeed by delivering excellent services and participating in localized campaigns.

How is TikTok Shop helping sellers in rural areas and collaborating with government agencies?

TikTok Shop collaborates with government agencies, trade associations, and community leaders to support sellers in rural areas. Programs like the Jom Digital campaign and partnerships with entities like Mara and MDEC empower sellers in these regions, helping them go digital and increase their sales.

What future initiatives does TikTok Shop have planned to empower local businesses in 2024?

In 2024, TikTok Shop plans to collaborate with various ministries and government agencies to develop the local ecosystem. Initiatives include creating 12 digital hubs across six regions in Malaysia and working with agencies to empower rural sellers, particularly in Sabah and Sarawak. TikTok also plans to expand its localized campaigns and digital infrastructure for small and micro-entrepreneurs.