Asemka Traders Complain To The Minister Of Trade: Price Compared To Online

Photo: Mery Handayani/VOI

JAKARTA - Cosmetic traders at the Asemka Wholesale Center have complained about the selling price of TikTok Shop which is much cheaper than the capital price. As a result of this competition, many outlets in Asemka were forced to go out of business because they could not survive.

One of the traders, Anton (21) said that his shop turnover had decreased since 2021. The cost to be spent, said Anton, is not proportional to his income.

In 2023, continued Anton, his store revenue fell sharply to touch 70 percent due to TikTok Shop. Anton said, the lack of visitors in Asemka was because prices on online platforms were much cheaper.

This was conveyed by Anton when Trade Minister Zulkifli Hasan visited his shop during a working visit to the Asemka Wholesale Center, West Jakarta, Friday, September 29.

"The income is empty. Make employees pay, it's up to you. Not yet electricity, rental fees, which are offline losing the total (even online)," said Anton.

Anton also said visitors who come to his shop often compare prices with those sold online. Moreover, shopping in the marketplace includes free shipping costs.

The capital powder sale is Rp. 22,000, online it can be Rp. 15,000. How do people not take it online. It's free shipping, the same thing exactly," he said.

So there are none who come to the offline at all, sir. It's come, it's come again, it's time to go online like this, it's like this here," he continued.

Due to price competition and also the lack of visitors, said Anton, many shops at the Asemka Wholesale Center were forced to go out of business.

"The impact is huge. The shops are closed, it's a pity that my boss is sometimes rich how to pay for stalls, to employees. It's really down, sorry," he said.

In response to this, Trade Minister Zulkifli Hasan said the government, in this case the Ministry of Trade, did not ban TikTok Shop, but regulated that social media with e-commerce should not be in one application.

Zulhas, as Zulkifli Hasan is familiarly called, hopes that the Minister of Trade Regulation Number 31 of 2023 can encourage offline stores to attract buyers again.

"We arrange for offline sales to be sold, but later online the market is different, for example social-commerce is a TV-rich advertisement, definitely later the spending can be offline. Don't sell it too, the advertisements too, send it too, buy one person, we can't, (then) we arrange it," said Zulhas.