In the world of social media, influencers have long leveraged TikTok to secure lucrative brand partnerships and endorse products. However, TikTok is now taking a decisive step towards formalizing the shopping experience.
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LONDON, ENGLAND - FEBRUARY 28: In this photo illustration, a TikTok logo is displayed on an iPhone on February 28, 2023 in London, England. This week, the US government and European Union's parliament have announced bans on installing the popular social media app on staff devices.
Introducing TikTok Shop in the US
TikTok has introduced its e-commerce business in the United States, aiming to harness the platform's widespread popularity and transform its audience into active consumers.
Engadget reported that TikTok unveiled to US audience on Tuesday the "TikTok Shop," a comprehensive feature set tailored to benefit users, content creators, and businesses alike.
Within the TikTok Shop, businesses will find a dedicated "Shop Tab" to showcase their products alongside affiliate videos seamlessly integrated into users' feeds. This innovative feature enables content creators to earn commissions while promoting products.
Additionally, businesses can leverage shopping ads as part of their marketing strategy. To further enhance the e-commerce experience, TikTok is introducing its logistics division, "Fulfilled by TikTok," designed to streamline storage and shipping processes for registered merchants.
The inspiration for TikTok Shop draws from a highly successful feature found in its Asian counterpart, Douyin. While hashtags such as #TikTokMadeMeBuyIt have undeniably played a role in driving product discovery on TikTok, the concept of live shopping has not yet gained significant traction in the US.
It is worth noting that TikTok is not the inaugural social media platform to venture into the e-commerce arena. Meta, formerly known as Facebook, and its subsidiary Instagram have been exploring this avenue for several years.
Similarly, Pinterest has been navigating the e-commerce landscape by providing its users with a more streamlined and efficient way to purchase items they come across. However, these endeavors have not yet witnessed explosive success.
Currently, the Shop Tab is accessible to 40 percent of TikTok's user base. TikTok plans to implement a phased rollout to make this feature accessible to all users by early October.
Read Also: TikTok Aims to Increase Its E-Commerce Sales to $20 Billion, Relies on Southeast Asia
TikTok Collaborating With Other Platforms
TikTok has been working closely with e-commerce partners to provide shopping solutions for businesses. They have also integrated with other companies to offer customer service, print-on-demand merchandise, reviews management, and shipping services.
TechCrunch reported that this includes WooCommerce, Salesforce Commerce Cloud, BigCommerce, and Magento. TikTok extends its support to customer service through integrations with Zendesk, Gorgias, and 1440.
The ecosystem also includes options for print-on-demand merchandise, with Printful, Printify, and NovaTomato, and incorporates Yotpo for managing reviews. Regarding shipping services, TikTok has partnered with WeeBee, Flowspace, and Easyship to facilitate efficient delivery solutions.
In an interview with The New York Times, TikTok executive Nico Le Bourgeois discussed the TikTok Shop's progress. He revealed that the platform has amassed over 200,000 registered sellers, and more than 100,000 content creators now have access to its livestream shopping features.
Le Bourgeois also detailed TikTok's proactive strategy to disrupt the e-commerce industry. The company aims to establish itself as a prominent shopping destination with a strong presence during major shopping events like Black Friday and Cyber Monday, where it plans to offer a combination of increased user traffic, free shipping, and exclusive deals.
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