Buy a liptstick from your favorite TikToker? — TikTok Shop
Few lines to get you on board with the latest news about TikTok Shop:
- TikTok Shop launches in the United States: TikTok Shop launched in the United States on September 22, 2023, making it the eighth country where the platform is available.
- TikTok Shop partners with Shopify: TikTok Shop announced a partnership with Shopify in September 2023, which will allow Shopify merchants to easily integrate their stores with TikTok Shop.
What's TikTok Shop?
So, TikTok Shop is this amazing live commerce corner where you can shop your heart out without leaving your beloved TikTok app! Currently, it's live in places like the UK, Indonesia, Malaysia, Thailand, Vietnam, the Philippines, Singapore, and the good ol' USA since this September.
Features
- In-app shopping: No more juggling apps. Shop straight from TikTok! 📱
- Live E-commerce: Watch your favorite creators and buy what they're showcasing live or with shoppable videos! 🎥
- Product Tags: Tap on the cool stuff you see in videos to buy them instantly. 🏷️
- Product Catalog: Sellers can flaunt their products in a personalized in-app shop. 📦
- Buyer protection: Shop confidently with secure payments and return options. 🔒
- Seller goodies: Analytics, marketing tools, and more to boost those sales! 🚀
📈 TikTok Shop by the Numbers
- Active users? A whopping 1 billion of them every month! 🌍
- Sales skyrocketed by over 300% last year. Talk about growth! 🚀
- TikTok Ad is expected to make it rain with over $10 billion in sales in 2023, pretty sure can carry High Digits for the shop too 💰
What the Pros Are Saying 🗨️
"TikTok Shop is a game-changer for businesses to vibe with new customers. We're thrilled to team up with TikTok!" - Harley Finkelstein, Prez of Shopify
"We're all about giving our TikTok fam the coolest and safest shopping experience!" - A super-enthusiastic TikTok spokesperson
Where's TikTok Shop Popping? 🌏
| Country | TikTok Shop Available? |
|---|---|
| Indonesia | 🟢 Yes |
| Malaysia | 🟢 Yes |
| Thailand | 🟢 Yes |
| Vietnam | 🟢 Yes |
| Philippines | 🟢 Yes |
| Singapore | 🟢 Yes |
| UK | 🟢 Yes |
| USA | 🟢 Yes |
💡 Understanding TikTok Shop Fees & Seller Expenses 💰
When you dive into TikTok Shop as a seller, it's essential to have a clear picture of the costs involved. Let's break it down:
📊 A Quick Cost Breakdown for Sellers:
| Expense Type | Current Rate | Note |
|---|---|---|
| TikTok Shop service fee | 5% (1.8% for newbies for the first 90 days) | Charged on sales |
| Transaction fee | 1% | On all TikTok Shop payments |
| Shipping costs | Varies | Seller-specific |
| Packaging costs | Varies | Seller-specific |
| Product costs | Varies | Seller-specific |
| Other business expenses | Varies | E.g., marketing, customer support |
📌 TikTok Shop Service Fee Covers:
| Service Provided | Is it Covered? |
|---|---|
| Payment processing | 🟢 Yes |
| Customer support provision | 🟢 Yes |
| TikTok Shop platform marketing/promo | 🟢 Yes |
| TikTok Shop platform development & maintenance | 🟢 Yes |
📌 NOT Covered by the Service Fee:
| Expense Type | Is it Covered? |
|---|---|
| Shipping | 🔴 No |
| Packaging | 🔴 No |
| Product Costs | 🔴 No |
| Other business expenses (e.g. marketing) | 🔴 No |
While TikTok Shop aids in some aspects, sellers shoulder other costs.
For instance, if you make a $100 sale 🏷️ and TikTok Shop's service fee is 5%, you pocket $95 (- eventual transaction fees 1%). But remember! Out of that $95, you've got to handle shipping 🚚, packaging 📦, and any other related costs.
Remember, it's super crucial to set your TikTok Shop prices smartly. Ensure that after all these costs, you're still making a profit! 💸
Wrapping Up
TikTok Shop is not out in EMEA but looks on fire where it's out folks! If you're in the business scene, jump in at take time to digest this... it's coming!