TikTok - the future of E-commerce?

TikTok - the future of E-commerce?

"TikTok abandons E-commerce expansion in Europe and the US" [1]


In 2021, TikTok Shop was launched in the UK - its first market outside Asia, allowing companies and influencers to sell products through QVC-style live streams. However, the venture has struggled to gain traction with consumers and suffered from internal problems.

TikTok is a large part of social commerce - an industry expected to reach $80 billion by 2025 [2]

While this industry was growing, TikTok has made a unique and significant contribution. This is especially because of the natural tendency of its users to engage in social shopping. In a 2020 survey by TikTok, two-thirds of respondents said they were inspired to shop on the platform even though they were not planning on it [3].


Take, for example, the viral hashtag #TikTokMadeMeBuyIt. Since its birth, the hashtag has generated 11 billion views - and is still being used today by consumers and merchants to discover new products and jump on hot trends.


    The Clock Is Ticking: Now's the Time to Use TikTok for E-commerce


The recipe for success:

TikTok's success is based on a few elements that make it stand out from other social platforms:

  • Exclusively video content that is short, snappy, and can contain rapid successions. 
  • A fun, lighthearted, authentic feel that does not have a stuffy undertone.
  • Emphasis on trends that is based on cultural relevance.
  • Appeal to a broad demographic segment with groups based on age bracket…

This media platform is becoming the most successful in creating a hype and setting a trend for any style and fashion. Hence, proving its worth as an efficient place to market product through influencers and #hashtags. 

 

References:

[1] https://www.ft.com/content/07b75caf-b2ab-4ace-9bb8-68d42f1da823

[2] https://www.emarketer.com/content/us-retail-social-commerce-will-reach-nearly-80-billion-by-2025

[3] https://www.shopify.com/blog/tiktok-ecommerce

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