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TikTok’s Latest In-App Ecommerce Boost For Ultimate Shopping Experience

Here’s How TikTok Is Set To Challenge Competitors In The Ecommerce Space For The Ultimate Shopping Experience

TikTok Ecommerce
Stone / UK - September 3 2020: TikTok logo on the smartphone placed in a miniature shopping trolley. TikTok sale and acquisition by Microsoft, Oracle or Walmart. Concept.

TikTok is making a bold move to attract users to its in-app shopping features by introducing a range of enticing incentives for retailers. In a strategic effort to capitalize on the app’s commercial potential, TikTok is offering free listings, free shipping, and zero commission on sales for an initial period.

The objective behind this initiative is to entice more businesses to join the platform, potentially flooding user feeds with a wide array of affordable products.

According to Bloomberg, TikTok has started positioning itself as a cost-free marketplace, actively engaging with Chinese manufacturers and exporters through seminars and meetings. By providing free listings, shipping, zero commissions, and even warehousing, The social media giant aims to disrupt a market currently dominated by Chinese-owned rivals such as Temu and Shein, potentially even undercutting e-commerce giant Amazon.

Temu and Shein have embarked on a vigorous campaign to capture Western consumers by offering loss-making deals on various items, appealing to bargain-hunting web users. Given the current state of the economy, this strategy is likely to attract a considerable audience.

With access to an extensive catalog of assorted items, both retailers hope that this new push will facilitate their integration into these new markets, positioning themselves as common sources for future e-commerce needs.

TikTok has been eyeing the same opportunity for quite some time. More recently, some UK users have noticed a new ‘Trendy Beat’ shopping section appearing in their feed streams, featuring products distributed by the app itself.

The concept behind TikTok’s strategy is that by handling its own product orders, leveraging affordable prices, and streamlined shipping, it can align users more closely with its in-app shopping features. This alignment would then pave the way for expanding product listings to third-party sellers, effectively jumpstarting this aspect of TikTok’s commerce offerings.

Another potential expansion route for TikTok is positioning itself as a bridge between other Chinese retailers, enabling the app to offer a broader range of products that can be delivered faster through such partnerships. This approach would make TikTok a more desirable platform for product discovery and purchases.

@omerstech Testing popular tiktok shop products #tiktokshop #techtok #gadgets #omer ♬ Moonlight – Villano

TikTok is eager to make this vision a reality. Despite previous attempts, TikTok’s in-stream commerce efforts have yet to gain traction in Western markets, even though it has become a major revenue stream in the Chinese version of the app. However, broader adoption of TikTok’s commerce features can be observed in certain Asian markets, including Singapore, Malaysia, and Indonesia. Western users still appear reluctant to merge their social media and shopping experiences, often favoring either physical shopping or dedicated e-commerce apps.

Nevertheless, TikTok believes that the timing is ripe for a breakthrough. With people actively seeking better deals and an expanded product range showcased in the app, the expectation is that more of TikTok’s billions of users will tap through and make direct purchases within the platform.

@topsaletiktokshop You will need this! 🙋‍♀️🙋‍♀️😻 #tiktokfinds #bathroomfind #bathroomfinds #homecleaning #cleanhometips #cleanhomecleanmind #floorbrush #fyp #foryou #tiktokshop #tiktokshopping #tiktokmakemebuy ♬ 原聲 – buqicrew_official

In the second half of the year, users can anticipate an influx of random and trending products appearing in their feeds as the platform strives to generate greater interest and awareness of its in-app shopping options.

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