Tokopedia Marketing Solutions and Meta Introduce 'Collaborative Ads,' Assisting Brands in Boosting Sales Conversions from Social Media

    13 Oct 2023

    Tokopedia Marketing Solutions and Meta Introduce 'Collaborative Ads,' Assisting Brands in Boosting Sales Conversions from Social Media

    Tokopedia Marketing Solutions and Meta Introduce 'Collaborative Ads,' Assisting Brands in Boosting Sales Conversions from Social Media

    13 Oct 2023


    Jakarta, 8 June 2023 - Tokopedia's latest data shows that the number of sellers on Tokopedia has now reached more than 14 million. Through Tokopedia, tens of millions of brands promote more than 1.8 billion products to the public in 99% of sub-districts in Indonesia.

    On the other hand, the Meta report with Bain & Company in 2022 shows that Indonesia is the country with the largest digital population in Southeast Asia, with 168 million digital consumers. "Hundreds of millions of digital consumers in Indonesia are potential consumers to be targeted by brands," explained Vice President of Tokopedia Marketing Solutions, Edwin Chayadi.

    "Tokopedia also strives to help brands maximize their business and reach more consumers through the comprehensive marketing solution with Tokopedia Marketing Solutions. This time, Tokopedia Marketing Solutions is collaborating with Meta–the social media company that oversees Facebook and Instagram–in utilizing Collaborative Ads," said Edwin.

    Collaborative Ads, as the result of collaboration between Tokopedia and Meta, allows brands to increase sales conversions on Tokopedia by advertising their products to Facebook, Instagram, and Messenger users who have shown interest in buying based on their activities on Tokopedia.

    "Brands that use Collaborative Ads through Tokopedia Marketing Solutions can advertise on social media more strategically to reach the most potential consumers. Their advertisements will be directed to Facebook, Instagram, and Messenger users who have viewed the product or store, added the product to their shopping cart, or have made transactions at their store on Tokopedia. So, advertisements will be very targeted and more potential to convert into sales," explained Edwin.

    Collaborative Ads Meta x Tokopedia Marketing Solutions, a marketing method to reach potential consumers more precisely

    The Meta report with Bain & Company also shows that online retail penetration, including e-commerce, in Indonesia continues to increase every year by 12%, compared to growth rates in India (10%) and China (4%). "This means that e-commerce has become one of the shopping platforms of choice for consumers, and also a potential platform for brands in Indonesia to meet consumers and potential consumers," explained Meta Indonesia's Head of Client Solutions, Mifza Muzayan.

    The same report also states that more than 40% of digital consumers in Indonesia use social media–both with image/video content and messaging applications–as the main channel in the Discovery phase (starting looking for/finding a product) and Evaluation (already interested in a product and currently carrying out evaluations such as comparing prices) before deciding to shop online. Meanwhile, 51% of digital consumers in Indonesia carry out shopping transactions (Purchase phase) in e-commerce.

    "Social media advertising is one of the most influential factors for consumers when shopping online, including via e-commerce. With the high number of active Meta users, this is a great opportunity for brands to reach a larger audience," added Mifza.

    "Meta collaborates with Tokopedia Marketing Solutions to enable Collaborative Ads from sellers on Tokopedia to target the right audience at the right time," explained Mifza. Collaborative Ads itself is an innovative marketing solution from Meta that makes it easier for brands to advertise on Facebook, Instagram, and Messenger in order to increase sales conversions to their stores, including Tokopedia e-commerce.

    Utilizing Collaborative Ads through Tokopedia Marketing Solutions can increase ROAS up to 14 times

    Through collaboration with Meta, Tokopedia Marketing Solutions helps brands target social media audiences more effectively through personalized advertising, where audiences will only see product advertisements that have high relevance to their purchasing intentions.

    Brands can also get a comprehensive analysis by looking at the number of reaches, impressions, clicks, number of orders, add to cart, and so on in their stores on Tokopedia. This can enrich the evaluation of marketing performance and help brands make more informed decisions.

    "Apart from that, brands who utilize Collaborative Ads through Tokopedia Marketing Solutions can also expand their consumer reach. "Sellers on Tokopedia can reach more potential buyers on social media–in this case Facebook and Instagram–to bring them to make transactions at online stores owned by sellers on Tokopedia," explained Edwin.

    Business’ campaigns on Tokopedia will appear via various channels on the Meta platform, such as Facebook Feed and Stories, Instagram Feed, Stories and Reels, as well as Messenger with various formats, for example storefront ads (ads that show the main page of a store or product) or carousel ads (ads with several photos in one post).

    "Sellers on Tokopedia who use Collaborative Ads through Tokopedia Marketing Solutions experience an increase in average store revenue by more than 30% and store orders by up to 35%.* They also get a Return on Ad Spend or ROAS of up to 14 times compared to before using Collaborative Ads ," said Edwin.**

    "To take advantage of Collaborative Ads, brands can hand over their marketing strategy to Tokopedia Marketing Solutions and Meta, so that the brand can focus on other important things, for example building and developing their brand," said Edwin.

    Sales of Elite Spring Bed, LEGO and TCL on Tokopedia shot up sharply after using Collaborative Ads in online marketing strategies.

    Elite Spring Bed, one of the pioneer spring bed manufacturers in Indonesia which was founded in 1987, is one of the brands at Tokopedia who uses online marketing strategies from Tokopedia Marketing Solutions, including the use of Collaborative Ads with Meta.

    "Elite Spring Bed has a mission to create quality products at competitive prices and provide effective product education to consumers. To target the right audience, we utilize Collaborative Ads through Tokopedia Marketing Solutions. As a result, Elite Spring Bed managed to record an increase in orders of 60%, gain in revenue of 156%, and ROAS of more than 9 times," said Head of Marketing for Elite Spring Bed, Fajri.***

    Meanwhile, LEGO, one of the world's leading toy manufacturers which also has a store on Tokopedia, also uses Collaborative Ads in its online marketing strategy, to bring LEGO closer to the Indonesian market, especially digital consumers, and increase sales.

    “Indonesia is a very important market for the LEGO Group. With the help of Collaborative Ads, LEGO recorded very positive growth, with a 113% gain in store orders and a 163% increase in store revenue. We also saw a 3.6x ROAS on our campaign. This achievement is proof of the success and effectiveness of the collaboration between Tokopedia Marketing Solutions and Meta," said SEA E-Commerce Head of the LEGO Group, U-Fong Chua.***

    There is also TCL, a leading global technology brand in display panels, TVs and mobile devices, which has also utilized Collaborative Ads to increase sales conversions on Tokopedia from advertising on social media.

    Chief Marketing Officer of TCL Indonesia, Wesley Yeung, said, "By using Collaborative Ads from Tokopedia Marketing Solutions, TCL has recorded an gain in revenue of 257%, an increase in orders of 288%, with ROAS of more than 21.4 times."***

    "In the future, Tokopedia Marketing Solutions will continue to strive to help brands in Indonesia to accelerate their business performance on Tokopedia, together with strategic partners who have the same enthusiasm in helping digitally equalize the economy in Indonesia," concluded Edwin.