Recent reports suggest that Google is investing in Tokopedia, an Indonesian online shopping store that connects sellers to consumers.
Google and another company have reportedly agreed to invest $ 350 million in a shopping platform called Tokopedia. Tokopedia is an online store in Indonesia that is so popular that it accounts for more than 1% of the country’s economic growth.
Vogel has not bought the buying platform, and it is just an investment that adds to the billions of dollars invested by SoftBank and Alibaba.
Venture capital company Sequoia Capital Silicon Valley has also invested in Tokopedia. Sequoia Capital was an initial investor in many major companies such as Apple, Google, Oracle, NVIDIA, Yahoo, and PayPal.
Tokopedia is an online shopping platform that helps 7 million merchants in Indonesia sell goods to more than 90 million customers monthly. The word Toko means “shop” in Indonesian.
Tokopedia also offers financial products such as digital wallets and loans.
What Wikipedia says about Tokopedia online shopping platform:
“The market is the most well-known product of Tokopedia. Tokopedia provides a free C2C trading platform for traders and buyers. The market helps merchants reach a larger audience than other channels. There are also official stores for famous brands to do their B2C business.”
In 2016, Tokopedia introduced Financial Technology Products (FinTech), which includes digital wallets, investments, business equity loans, virtual credit cards, security products, credit rating based on loan data, and more. In 2018, Tokopedia launched the Mitra Tokopedia program to sell these FinTech products.
E-commerce is projected to grow to $ 65 billion by 2022.
Tokopedia is currently a Google Cloud user to improve the delivery and product delivery of its services. So, there is a relationship between the two companies right now.
Tokopedia uses the location API to determine the exact location of the user. If the client allows sharing of location with Tokopedia, the application selects its current location by dropping the address PIN along with the address in Google Maps. The customer then confirms the address displayed with their location.
Tokopedia plans to use this location data for local marketing advertising in the future.
A report in Bloomberg News about Tokopedia’s online shopping platform:
“Google and Temasek Holdings Pte have agreed to invest about $ 350 million in PT Tokopedia,” people familiar with the matter said.
Google has not commented on the investment or explained what the ultimate goal of their investment is.
It probably won’t go unnoticed and will fly unnoticed, but it’s important to know about it because it may show Google’s ambition for the future.
This is somewhat of a different kind of investment for Google because it goes beyond the data, advertising, search, and analytics products that Google is known for.
Is this a step towards competing in the future as an online marketer?