MSMEs told to harness TikTok for growth

By Edg Adrian A. Eva, Reporter

LAGUNA-BASED cookie brand Drip and Bites wants micro, small and medium enterprises (MSME) to embrace social commerce as a way to scale their businesses, drawing from its own experience of moving from bazaars to a viral TikTok success.

“Social media gave us an even playing ground,” Precious P. Silva, co-founder and president at Drip and Bites, told ����ý via Zoom. “When you’re starting out, the exposure is very limited.”

Founded in 2020 by Ms. Silva and her brother PJ, the business began as a modest venture out of their family kitchen. They sold cookies at local bazaars, earning small but steady returns. At first, sales were small.

“We only sold one or two pieces,” Ms. Silva said. “Eventually, we had this idea that e-commerce is the next frontier — that if you really want to have a business, most likely it’s e-commerce.”

That belief paid off in 2023 when the siblings turned to TikTok Shop. A video review from a customer — later revealed to be an influencer — helped the brand go viral.

“Someone ordered from us — just a random customer. It turns out she was an influencer, and she really loved the product,” Ms. Silva recalled. “When she posted the review, overnight, we were able to gain more than a million views.”

The sudden exposure helped Drip and Bites expand beyond its small-scale operations. It now runs its own production facility, though Ms. Silva admitted the business is still catching up to meet strong demand from TikTok Shop orders.

The experience, she said, shows how social commerce can help MSMEs overcome barriers such as limited capital for physical stores. “Social commerce gave us reach that we wouldn’t have been able to afford otherwise,” she said.

The Department of Trade and Industry (DTI), citing Statista data, said social commerce in the Philippines is steadily growing. Its share of total e-commerce revenue is forecast to climb from 3.6% in 2024 to 4.39% by 2029.

Facebook leads the local social commerce space, with revenue projected at $269.31 million in 2024 and expected to more than double to $559.59 million by 2029, according to DTI. Instagram and TikTok are also expanding, though from a smaller base.

Despite the opportunities, Ms. Silva said online success could be fleeting. Businesses, she said, need more than viral marketing to sustain growth.

“You have to have a product that you really worked on, or a product you’re truly proud of,” she said. “Mimicking trends is okay, but the ones that stand the test of time are those that really worked on their product.”

Drip and Bites is setting ambitious targets for the coming months, aiming to lift its performance by more than 50% during the peak “ber” season. The brand is also preparing to roll out flavors and expand into other food products, with a long-term vision of becoming a food group.