It has been pretty much blurted on every corner of the internet, but TikTok really wants to make in-stream shopping a thing, following the success of its Chinese shopping initiatives, which have become the key revenue driver for the local version of the app. While Western audiences have yet to warm to TikTok shopping, the platform’s not giving up just yet, launching a new push with a range of sellers designed to boost shopping take-up in the app.
Not So New, But…
As Insider reported, TikTok’s currently inviting selected retailers to join its in-app shopping push, offering them big subsidies on shipping and sales to help maximize interest. Insider says:
“In recent weeks, TikTok has invited new US sellers to create shops on its app and promote their goods via clickable links in videos and live streams. It’s also incentivized influencers to push items in videos by offering sales commissions in a new affiliate-marketing program. As it looks to bring on new stores and encourage TikTok users to purchase through its app, the company is fronting the cost of free shipping and discount coupons.”
It could work – TikTok’s recently seen big success in boosting its new Lemon8 app in several markets by enlisting TikTok influencers to promote the more product-focused platform. Lemon8 was downloaded over 650,000 times in the US over the last week and a half, which saw it reach the top 10 in the ‘Lifestyle’ category. That shows the level of influence that TikTok can have on interest and usage trends, which bodes well for this new shopping push in the app.
However, as noted thus far, Western audiences have yet to show much interest in live-stream shopping, which has been the big winner for Douyin, TikTok’s Chinese version. Douyin reported a 320% increase in eCommerce sales last year, largely driven by surging demand for live-stream shopping. The Chinese online shopping economy is projected to be worth more than $500 billion in 2023, equating to around half of all US eCommerce activity.
These are the types of figures that have sparked massive interest in in-stream shopping in virtually every social app over the past two years. Facebook, Instagram, Twitter, Pinterest – almost every other app tried out some form of in-stream shopping option, especially during the brunt of COVID lockdowns, which many have viewed as catalysts for the next stage of online spending. Regardless, when physical stores reopened, sales trends began normalizing; most people just went back to their regular habits as opposed to sticking with online shopping.
The Wrap
That, seemingly, is what Lemon8 is all about. Lemon8 enables influencers to showcase products, from which they can earn affiliate commissions. This new push on in-stream shopping, by incentivizing sellers, is another element, which could help to make it more habitual, commonplace behavior, expanding TikTok’s business horizons. It still has a way to go, but maybe, by shifting usage behaviors, it’s possible that TikTok can still make in-stream sales a thing, provided it survives the ban push.
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