TikTok Shop Signs MOU with the Department of Business Development to Uplift Thai SMEs by Leveraging the Strengths of Shoppertainment to Empower Thai Entrepreneurs

Thursday 13 June 2024 14:05
Launch "Thai SMEs: Worth Using and Worth Shopping" campaign, bring creators intensively tutor small businesses in enhancing their live commerce skills and provide advertising credits worth over 3.6 million baht to increase visibility
TikTok Shop Signs MOU with the Department of Business Development to Uplift Thai SMEs by Leveraging the Strengths of Shoppertainment to Empower Thai Entrepreneurs

[Bangkok, Thailand] - [June 12, 2024] - TikTok Shop, a leading e-commerce solution in Southeast Asia, is supporting Thailand's Digital Economy policy by announcing the signing of a Memorandum of Understanding (MoU) with the Department of Business Development, Ministry of Commerce (DBD). This agreement focuses on three key areas to sustainably enhance the potential of local businesses in Southeast Asia through the TikTok Shop platform: 1) Supporting local businesses to seize opportunities in the digital economy era; 2) Expanding access to learning and self-development on the TikTok Shop platform; and 3) Building a community to foster and develop a Smart Economy. The company aims to train and enhance digital marketing skills for approximately 7,000 Thai SMEs by 2024 through hybrid workshops specially tailored for Thai SMEs.

The 2023 MSME Situation Report by the Office of Small and Medium Enterprises Promotion (OSMEP) reveals that small, medium, and micro enterprises (SMEs) currently contribute over 6.1 trillion baht, or approximately 35.2% of Thailand's GDP. This underscores their vital role in the economy, which is transitioning into a Digital Economy. As such, Thai SMEs will become an even more critical driving force if they continuously learn and acquire new skills to stay competitive in a rapidly evolving global landscape.

TikTok Shop is an e-commerce platform that creates growth opportunities for all businesses, especially SMEs facing various challenges and needing to adapt to rapidly changing consumer shopping behaviors. As the market shifts towards Live Commerce and the Shoppertainment trend, TikTok Shop provides a valuable channel for learning about online marketing. Through the TikTok Shop Academy, businesses can access a wealth of knowledge and techniques, offering significant opportunities for growth and development.

According to "The TikTok Effect: Accelerating Southeast Asia's Businesses, Education, and Community Report," small and medium-sized businesses in Southeast Asia (SEA) have increased their income by almost 50% from selling products and services on the TikTok platform. This represents a significant opportunity for Thai SMEs to accelerate their learning and acquire new skills, such as live streaming on the TikTok Shop platform, which is becoming increasingly popular in Thailand. TikTok Live data from Thailand reveals that in 2023, there were 700,000 Thai creators live streaming on the platform each month.

In 2023 TikTok invests $12.2 million to unlock real-world economic opportunities for more than 325 million across Southeast Asia, including over 120,000 SMBs . By signing a Memorandum of Understanding (MoU) with DBD, it reaffirms TikTok's commitment to supporting local businesses to grow and succeed through a variety of UpSkill programs offered in collaboration with DBD.

Ms Auramon Supthaweethum, Director General, Department of Business Development, Ministry of Commerce stated, "TikTok is one of the essential e-commerce platform partners of DBD. We have enjoyed excellent cooperation from TikTok in promoting projects, developing skills, and introducing new sales channels through Shoppertainment, which combines entertainment with live product selling. The recent signing of the Memorandum of Understanding reaffirms the direction of our collaborative efforts for the upcoming year. We plan to focus on intensively developing new digital skills through online and offline workshops across various regions. These efforts will be integrated with two main projects previously undertaken in partnership with TikTok: the Digital Village BCG project, an innovative online community initiative, and the Online Marketing Genius (OMG) project. The latter has been organized four times and has garnered positive feedback from over 2,500 online stores and entrepreneurs."

"Regarding the training course, its emphasis will be on establishing the fundamentals of marketing on TikTok Shop, complemented by professional live streaming tips. This initiative aims to assist entrepreneurs in developing and marketing community products through modern online marketing channels, thereby broadening marketing prospects for community entrepreneurs to foster strength, competitiveness, and sustainable growth," added Ms. Auramon.

Ms.Chanida Klyphun, Head of Public Policy - Thailand, TikTok said "TikTok is committed to supporting the Smart Economy in alignment with digital economy policy, adhering to the concept of TikTok for Smart Economy, Smart People, and Smart Environment. Since 2022, we have collaborated with DBD to UpSkill SMEs in new digital skills, yielding positive responses and enabling SMEs to enhance their income while leveraging the TikTok Shop platform creatively and efficiently. Today's signing of the MoU marks a significant milestone in our joint efforts to propel Thai SMEs' growth on the TikTok Shop platform, enabling them to compete effectively in the dynamic e-commerce market."

"We express our gratitude to the DBD and the Ministry of Commerce for recognizing the importance and opportunities in establishing channels for new businesses on the TikTok Shop platform. This year, we have curated the 'Thai SMEs Worth Using and Worth Shopping' course to equip and expedite entrepreneurs' entry into the e-commerce market. We aim to elevate the skills of a total of 7,000 SMEs throughout our collaboration with the DBD in 2024," added Ms. Chanida

Currently, numerous MSME products are being sold on TikTok Shop as part of the initial joint project. In addition to providing digital skills, TikTok Shop also offers advertising credits worth 100,000 USD (approximately 3.6 million baht) to DBD and consistently supports SMEs in various ways. This includes organizing Live Streaming training sessions where 10 Thai SMEs, namely B-Garlic Black Garlic, Petsmile By Dr.patty55, Pee Nae Oriental Coffee, Pick Me Please, Sawadee Farm, Fa Godzilla, teyasogood, Hugvillages, mohhomphrae, and Roy's Delivery, are invited to showcase and sell their products live. The training involves collaboration with two TikTok Creators, Khun Lauren (jirawatvongdilokv) and Khun Auea (aueaim888), providing participants with the opportunity to learn essential skills and gain real-world experience in live streaming, aiming to make their sessions successful through the TikTokShop_TH channel.

From June 12 - 30, 2024, TikTok Shop is organizing a special campaign titled "TikTok Shop l DBD SME Thai: Worth Using, Worth Shopping." During this campaign, customers will enjoy a 30% discount, up to 1,000 baht, providing them with the opportunity to support Thai MSME products while receiving additional value.

Source: พีซี แอนด์ แอสโซซิเอทส์ คอนซัลติ้ง

TikTok Shop Signs MOU with the Department of Business Development to Uplift Thai SMEs by Leveraging the Strengths of Shoppertainment to Empower Thai Entrepreneurs