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Dream - ByteDance will once again develop its business through the TikTok platform, not only about shopping that has been developed in TikTok Shop, ByteDance plans to expand TikTok into the travel sector.
According to the South China Morning Post (SCMP), TikTok will partner with companies in two Southeast Asian countries, namely Indonesia and Thailand. Users of TikTok in both ASEAN countries can obtain vouchers for restaurants, flights, and hotels through links in their feeds.
This information was obtained by SCMP from a source based in Indonesia, but they refused to be named as the initiative has not been published. "Restaurant owners and traders in both countries are encouraged to join the 'Local TikTok Service'," SCMP wrote, as quoted on Tuesday, July 16, 2024.
Regarding the expansion, there are nearly 30 related job vacancies for its local service business in Singapore, Jakarta, and Bangkok, which can be viewed on TikTok's official recruitment website.
With dual headquarters in Singapore and Los Angeles, TikTok said in a statement to the South China Morning Post that local service operations in Thailand and Indonesia are still in the testing phase. During the testing, TikTok added that only a few users in those markets can see local service offerings from merchants, based on the app's recommendation algorithm.
The latest TikTok initiative in Southeast Asia shows how its parent company, ByteDance, strategically expands the revenue stream of the platform, following the footsteps of its sister application in China, Douyin, which has ventured into local services.
Through Douyin, users can obtain coupons and place orders for delivery through the application. In January, ByteDance completed a $1.5 billion deal that merged TikTok Shop with GoTo Group's Tokopedia.
With more than 1 billion monthly active users worldwide, TikTok Shop is approaching projected annual revenue of around US$4 billion, driven by contributions from the Southeast Asian market, according to analytics firm YipitData.
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