TikTok and Alibaba Force Bukalapak to Shift Focus in Indonesia
Bukalapak will stop selling physical goods as competition heats up in Indonesia’s e-commerce landscape
Bukalapak, Indonesia, E-commerce, TikTok, Alibaba, Shopee
Jakarta: So, Bukalapak is making some big changes. The Indonesian e-commerce pioneer is ditching physical goods sales. It’s all about the competition, you know? TikTok Shop and Shopee are really going after users.
Starting February 9, you won’t be able to order physical items anymore. Instead, Bukalapak is shifting gears to focus on virtual products like mobile credits and electricity tokens. If you’ve got any pending orders for physical stuff, they’ll be canceled by early March.
It’s tough out there in Indonesia, with around 280 million people. Big players like TikTok and Alibaba are pushing hard to grab market share. Since Bukalapak’s big IPO in 2021, things have gotten even more intense.
Shares of Bukalapak took a hit, dropping about 7.4% in Jakarta. They’ve lost a whopping 86% since going public, now sitting at a market cap of around $750 million. Their revenue even fell 15% in the last quarter.
ByteDance, the parent company of TikTok, stirred things up last year by taking control of Tokopedia. They’ve really made a name for themselves in the e-commerce game, thanks to their social media success.
Some of Bukalapak’s biggest backers include GIC Pte from Singapore and Archipelago Investment Pte. It’s a wild ride in the e-commerce world!
[rule_2]