TikTok launches “TikTok Shop” in the US: What this means for users and creators

After a year of testing and speculation, TikTok has rolled out TikTok Shop for all users in the US. The app now has a Shop button on the home screen that directs users to a marketplace where they can buy products in a few clicks without leaving the app. Additionally, the videos will contain a Shop button for some products that will lead users to the marketplace.
This move is a significant bet for the company, as it aims to use the app’s cultural influence to establish a new revenue stream in the US, where it has over 150 million users.
“TikTok Shop empowers brands and creators to connect with highly engaged customers based on their interests, and it combines the power of community, creativity, and commerce to deliver a seamless shopping experience,” the company said in a blog post.
This is not the first time a social media platform has started a shopping portal. The last time we heard of such a product, it was Instagram, which launched ‘Shop,’ tab in 2020, which lets people shop through the brand’s photos and videos all across Instagram. However, the tab was discontinued earlier this year in March.
TikTok Shop has a dedicated, which allows users to search and discover different products, browse products under different categories, and manage their orders.
Creators can tag products in their in-feed and live videos, making it easier for users to purchase them. Brands can create their own product portfolios, which are accessible from their profile pages.
TikTok will provide logistics solutions and a secure checkout method under the “Fulfilled by TikTok” program. The platform also has an affiliate program for sellers, who can collaborate with creators on a commission basis to sell products.
With its Shop tab, the social media platform may collect more user data, including financial information, shopping habits, and addresses. However, TikTok, which is already under scrutiny over its relationship with China, has emphasised that all data collected from US users is stored in the country and managed by USDS, a separate unit responsible for managing user data in the US.

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