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Women-owned MSMEs take center stage online
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Apart from facilitating business identification numbers (NIBs) through the Investment Coordinating Board (BKPM), Tokopedia is carrying out various other initiatives to empower women SMEs to become more and more powerful in their own country, considering that currently there are around 12 million sellers who have joined Tokopedia and almost 100 percent of MSMEs, including those driven by women.
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ccording to Statistics Indonesia (BPS), as much as 64.5 percent of all MSMEs in Indonesia were managed by women as of 2021. The MSME sector is one of the biggest contributors to the country’s GDP. Therefore, these women-owned businesses need to be fostered to allow for growth.
LPEM FEB UI 2020 research also revealed that the number of female MSME activists who started a business from scratch through Tokopedia, one of Indonesia’s leading e-commerce platforms, during the pandemic was almost 1.5 times higher than men.
For International Women’s Day, the Investment Coordinating Board (BKPM), along with other stakeholders, has reiterated its commitment to help MSME owners, including women, by assisting them in obtaining business identification numbers (NIBs) online.
BKPM recorded that the Risk-Based Online Single Submission (OSS) system had issued 1.8 million NIB as of 2022, while the total number of small businesses that already had NIB was 8.5 percent, with 91.5 percent made up of micro businesses.
As most MSMEs have evolved into online businesses, e-commerce sites such as Tokopedia play a big part in assisting MSMEs in gaining their NIBs. Therefore, a partnership between online platforms and government bodies is crucial to the growth of the economy.
"Tokopedia is the first e-commerce company to collaborate with the government to facilitate and spread awareness of NIBs to MSME players. Throughout 2022, Tokopedia and the government have helped more than 5,000 MSME owners, including women entrepreneurs from all over Indonesia, register for NIB," said Tokopedia Corporate Affairs Senior Lead, Rizky Juanita Azuz.
Furthermore, obtaining an NIB is not the only initiative done by the platform. Various special training sessions for women entrepreneurs, including those related to NIBs, were also conducted by Tokopedia together with strategic partners, in collaboration with local government, in various regions in Indonesia. One of them is through the Digital Advanced Women's Class (KPMD).
"Going forward, Tokopedia, together with BKPM, will continue to try to help more MSME players, especially women, to obtain NIBs. This is for the sake of providing legal protection and business assistance so that they can contribute more to the domestic digital economy in a fair and optimal manner," added Rizky.
The assistance has been well-received by MSME owners in the region, especially the women who see this as an opportunity to grow their market, as well as an entry point to process further documents, such as halal certification, SPP-IRT and SNI.
"Other benefits that women who do MSMEs can get after having an NIB include easier access to financing for business development, easier access to assistance programs from the government, certainty or legal protection for businesses and much more," explained BKPM special staffer Tina Talisa.
All of these initiatives are also met with the added amplification of the platform’s hyperlocal approach that has long spotlighted local MSMEs in Indonesia, along with those that are more women-focused, such as the BBI campaign, Women in Style and Cantik Fest.
"Thanks to these efforts, Tokopedia recorded an increase in the number of female salespeople reaching nearly 30 percent in early 2023 compared to the same period before the pandemic in March 2020," explained Rizky.
He further revealed that some of the areas with the highest increase in the number of female salespeople were in Denpasar, Badung, Balikpapan, Makassar and Palembang, with an average threefold increase from the previous period.
Several categories in Tokopedia with the highest increase in the number of female sellers include animal care, books, food and beverages, party supplies, crafts and sports. These categories recorded an average increase of more than two-fold during early 2023, compared to the same period before the pandemic.
Two of the businesses that have benefitted from the initiatives are those of Stephanie Nursalim, the owner of MORNINGSOL, and Vica Mardika Wong of Kemayu and Co. Stephanie’s brand empowers a number of artisan women in Sukoharjo, Central Java, selling various types of women's fashion products through Tokopedia.
"NIB made it easy for us to become an Official Store at Tokopedia so that our business becomes more credible. Nearly 50 percent of MORNINGSOL's sales occur through Tokopedia. We really appreciate Tokopedia's efforts with the government in facilitating and spreading awareness about NIBs, which will make it easier for more MSME players to obtain business licenses," explained Stephanie.
Meanwhile, Kemayu and Co. produces various types of Indonesian air fresheners. Vica revealed that her brand also empowered women, who made up more than half of her employee group. She, like Stephanie, appreciated the benefits of having an NIB.
“The NIB has helped us develop our business further. After having an NIB and becoming an Official Store on Tokopedia, Kemayu and Co experienced an approximately sixfold increase in orders. We got a lot of new customers through Tokopedia, ranging from individuals, companies to the government," she said.
In the end, Tokopedia also recorded an increase in women on the other side of the computer, as buyers. Rizky revealed that the increase in the number of female buyers had reached almost 40 percent compared to the same period before the pandemic, with most flocking to food and beverages, health, household goods, kitchen goods, and body care categories.
