TikTok Shop, the e-commerce product from TikTok, has finally been launched in the U.S. This release comes after months of testing and with a user base of over 150 million in the country. As part of the rollout, several features have been introduced including a dedicated shop tab on the home screen, live video shopping, shoppable ads, and affiliate programs for creators. TikTok started testing its e-commerce initiative in the U.S. in November last year, gradually adding more vendors to the trial.
TikTok’s parent company, ByteDance, has been experimenting with different shopping formats in various markets globally, such as the U.K. and several Southeast Asian countries. Creators now have the ability to tag products in their videos, making it easier for users to make purchases. Brands can create their own product portfolios, accessible from their profile pages.
Additionally, TikTok Shop includes a dedicated tab for users to search for products, discover recommendations, browse different categories, and manage orders. Apart from hosting products, ByteDance offers logistics solutions through ‘Fulfilled by TikTok’ and ensures a secure checkout process.
In terms of partnerships, TikTok has been collaborating with Shopify to provide shopping solutions for businesses. The platform also integrates with e-commerce partners like WooCommerce, Salesforce Commerce Cloud, BigCommerce, and Magento for a seamless experience.
Customer service is supported by integration with Zendesk, Gorgias, and 1440, while print-on-demand merchandise is facilitated through Printful, Printify, and NovaTomato. Yotpo is used for reviews, and shipping services are provided in collaboration with WeeBee, Flowspace, and Easyship.
According to TechCrunch, over 200,000 sellers have already signed up for TikTok Shop, and more than 100,000 creators have joined the Affiliate program. In the U.K., ByteDance has already started selling products on TikTok through its own subsidiary, with the ‘Trendy Beat’ section being described as a competitor to Shein and Amazon. TikTok aims to leverage the popularity of trends like #TikTokMadeMeBuyIt, which has generated billions of views. However, it faces tough competition in the e-commerce sector, particularly from Amazon and Shein, which is reportedly planning an IPO.
Despite previous reports suggesting a ban on third-party e-commerce links, ByteDance has denied such claims. With the introduction of TikTok Shop, the platform may collect additional user data including financial details, shopping habits, and addresses.
The company emphasizes that this data is stored and managed in the U.S. by USDS, a separate unit responsible for American data. Nonetheless, this increased data collection could still attract attention from lawmakers, many of whom have called for a ban on the app.
