Singapore – TikTok has announced a multi-million dollar investment that will be aimed at helping SMBs transition their businesses online and participate in the digital economy. A total of US$12.2m will be used to deliver cash grants, digital skills training, and advertising credits for SMBs, including micro businesses in rural and suburban areas.
This comes as TikTok continues to grow as a valuable platform for businesses and creators. According to research by the platform, SMBs polled increased their revenue by nearly 50% through selling their products and services on TikTok, and close to four in five businesses (79%) transitioned from offline to online marketing channels using the platform.
“Across Southeast Asia, more than 325 million people come to TikTok every month and 15 million businesses use the platform. The role we’ve played in expanding economic opportunities, education and community-building in this region and around the world is immense. We are excited to see the positive impact TikTok has had and are committed to continuing the work of helping individuals, communities, and businesses grow and thrive,” said Shou Chew, CEO of TikTok.
Amongst the initiatives TikTok has planned for the SEA region is the ‘Support Local’ programme where over the next three years, it aims to empower micro and small businesses, particularly those in rural areas, who may be new to social commerce. Partnering with more than 25 government agencies and non-profit organisations across the region, the programme will give businesses the opportunity to reach new digital consumers through cash grants, digital skills training, and advertising credits.
In Indonesia, it will be partnering with the Ministry of Tourism and Creative Economy, Asosiasi Pusat Pengembangan Sumberdaya Wanita (PPSW), Platform Usaha Sosial (PLUS), and Telkom to launch TikTok Jalin Nusantara. Said initiative will establish internet connectivity in community hubs across nine rural villages in East Nusa Tenggara and North Sumatra. Besides strengthening the local digital infrastructure, TikTok Jalin Nusantara will offer training programmes in these villages, as well as in five creative hubs in key tourism and creative economy centres and five Telkom IndigoHubs.
A partnership is also on the horizon within the Bangkok market which will further support TikTok as a learning platform for users. The company has collaborated with social enterprise Kid Kid, the Ministry of Natural Resources and Environment, and Bangkok Metropolitan Administration to raise environmental awareness and action amongst youth in Thailand. This includes educational workshops and challenges on everyday sustainable lifestyle choices, such as waste segregation and energy consumption. The programme is also in line with the company’s goal of increasing educational climate content and achieving operational carbon neutrality by 2030.
Beyond on-platform education, TikTok will continue to develop the next generation of entrepreneurs, particularly youth who may not have equal access to economic opportunities. In partnership with ASEAN Foundation, the Social Enterprise Development Programme will provide capacity building, mentorship, facilitation to market, and seed funding of up to US$320,000 to 20 youth-led social enterprises in the region, contributing to UN Sustainable Development Goals in Southeast Asia.
“In just over six years, we have created new avenues for income generation for both creators and businesses on the platform. We have also introduced e-commerce channels such as TikTok Shop, which allows SMBs to connect with new consumers and grow their businesses,” said Teresa Tan, head of public policy for Southeast Asia.
“Our mission to inspire creativity and bring joy is firmly rooted in our desire to enable discovery, growth, and connections among individuals and communities in Southeast Asia. Today’s newly-formed partnerships and initiatives will expand our efforts to empower micro and small businesses who may face limited access to digital resources and opportunities. We are grateful for the support we’ve received throughout the region and are excited about the future impact we can make together,” added Tan.
With a workforce of close to 8,000 employees across the region, TikTok also shared that it is committed to investing in developing local talent. Initiatives such as the regional TikTok Shop Graduate Development Programme, aimed at building talent for the e-commerce industry, and Singapore’s TikTok Tech Immersion technical boot camp for tertiary-level students, offer opportunities for young tech talent to thrive.
