TikTok’s new travel plan in SEA

IN FOCUS

In today’s newsletter, we look at:

• TikTok’s move to test local services features in Southeast Asia
• Shopee and Lazada’s positive financial performance in Q2 2024

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Hi there,

Lately, I’ve been watching lots of short videos and livestreams on TikTok. Most of the content relates to topics I’m interested in such as music, entertainment, and humor.

I also often come across food and travel content, which raise my curiosity. Now, the platform wants to capitalize on these user habits by making it easier to purchase items related to the videos they’re watching.

TikTok is currently testing a local services feature in Indonesia and Thailand, allowing users to order food, drinks, attraction tickets, and hotel bookings via its app. It is partnering with third parties in both countries to offer the service.

In this week’s Big Story, I analyze TikTok’s potential to disrupt the Southeast Asian market with local services, similar to what it has done with TikTok Shop in the ecommerce sector.

Meanwhile, Shopee and Lazada both recorded positive financial performance in the second quarter of 2024. This may indicate that their strategies are starting to pay off, even amid increasing competition from TikTok Shop.

Is Shopee too strong to be challenged in Southeast Asia’s ecommerce space? Read more in The Hot Take below.

— Jofie

THE BIG STORY

TikTok’s local services play ignites ‘Everything War’ in SEA

Image credit: Timmy Loen

TikTok’s foray into local services in Southeast Asia could upend the market, as it did with ecommerce.

THE HOT TAKE