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Comprehensive Guide to TikTok Shop: All You Should Know

The introduction of TikTok Shop further solidified the integration of entertainment and commerce, akin to the concept of Instagram Shopping. Initially available in the U.K. and select Southeast Asian countries, TikTok Shop has quietly made its entrance into the U.S., with pioneers like Kylie Cosmetics leading the initial trial.

While the reception in the western market remains uncertain, it’s evident that TikTok boasts a staggering one billion monthly active users. Additionally, a study conducted in partnership with Kantar revealed that 90 percent of users take action (such as liking, sharing, following, and making purchases) after engaging with TikTok content. With this level of engaged user behavior, TikTok Shop has the potential to become a lucrative revenue stream for brands and content creators utilizing TikTok for business purposes.

Now, let’s delve into the world of TikTok Shop in this blog.

Image: TikTok

What Is TikTok Shop?

TikTok Shop introduces a novel shopping feature that empowers creators, brands, and merchants to showcase and sell their products directly on the platform. Equipped with a dedicated product showcase tab, in-feed videos, and live streaming, Tik Tok for Business eliminates the necessity to redirect users to external websites.

Merchants can anticipate the following benefits from Tik Tok Shop:

  • Elevated quality traffic to your shop.
  • Enhanced consumer experience with a swift yet seamless checkout process.
  • Effortless collaboration with creators via the Affiliate Marketplace.

What Is TikTok Live Shopping?

TikTok Live Shopping entails brands or creators conducting live streams to exhibit and sell their products while viewers tune in. Viewers can conveniently add items to their TikTok shopping cart while enjoying the broadcast.

Who Can Utilize Tik Tok Shop?

Sellers, creators, partners, and affiliates are all eligible to leverage Tik Tok Shop. However, as mentioned earlier, the feature is currently accessible in specific regions. Before embarking on your TikTok business journey, it’s essential to familiarize yourself with the following definitions:

TikTok Shop Sellers: Brands or merchants who can join to expand their eCommerce presence on the platform. Sellers can seamlessly link their Shopify website to their TikTok Shop.

TikTok Shop Creators: Content creators who engage on the platform for enjoyment but can also earn commissions by promoting products through TikTok live shopping or in-feed videos.

TikTok Shop Affiliates: Essentially, creators and sellers who collaborate to attract customers and boost sales through affiliate marketing initiatives.

TikTok Shop Partners: Professionals offering Tik Tok marketing and eCommerce services to creators and sellers on the platform. Individuals in eCommerce or digital marketing talent agencies can join this category.

Image: TikTok

Sellers must be situated in the specific regions outlined in the TikTok Shop Seller Center. They are required to furnish a local contact number, business certificate, and identification during the registration process. **Creators** should be at least 18 years old with a minimum of 1,000 followers. Additionally, they should have posted on TikTok with at least 50 views in the past 28 days.

How To Register For TikTok Shop

While TikTok shopping is operational in the U.S., not all brands or merchants can currently register. Those attempting to register in the U.S. are prompted to provide an “invitation code.” However, the criteria for receiving such an invitation remains unclear.

For those eligible to register, the process is straightforward. If you haven’t yet created a personal TikTok account, start by doing so. Once you have a personal account, switch it to a business account to gain access to TikTok Shop.

  1. Sign up using a phone number, email address, or a TikTok account.
  2. Complete the application form, including the submission of necessary documents such as a business certificate and valid ID.
  3. Await the application result, which will be sent to your email within one to two days.
  4. Connect your TikTok account to your TikTok Shop account.

To progress further in your TikTok shopping venture, add new products to your shop via the Seller Center. This is where you’ll manage your shop, inventory, promotions, orders, affiliate partnerships, and customer support. If you’re utilizing TikTok for business in conjunction with an eCommerce website, you can link your TikTok shop to platforms like Shopify, Square Online, BigCommerce, or Lightspeed (Ecwid). This allows for the seamless synchronization of product catalogs, enticing a wider audience to explore Tik Tok for business.

For additional insights on the status of TikTok Shopping, refer to the note found on one of TikTok’s integrated eCommerce platforms, Lightspeed (Ecwid).

How To Use TikTok For Business (Tik Tok Tips To Attract Customers And Increase Sales)

While setting up shop on TikTok is free, with no listing or subscription fees, the platform does take a commission on sales. For the initial 90 days, the sales commission is reduced to 1.8 percent, reverting to 5 percent thereafter.

The interface of TikTok Shopping closely resembles that of Instagram Shopping, making it easy for brands already active on the latter platform to transition and tap into a new audience. However, it’s worth noting that TikTok Shop is currently limited to undisclosed U.S. merchants.

Here’s a step-by-step guide on how to effectively use TikTok for business:

1. Optimize Your Product Catalog

Your shopping tab serves as the virtual storefront on TikTok. Just like a physical store, an organized and visually appealing catalog is crucial in attracting customers effectively. Pay attention to the quality of product images and the overall aesthetics of your shop.

2. Inform Your Customer Base About Your TikTok Shop

Once you gain access and successfully set up TikTok Shop, inform your audience. As a simple Tik Tok marketing strategy, create a TikTok video that guides your audience on how to navigate to your shopping tab and explore your products.

3. Invest in Shopping Ads

Shopping Ads is TikTok’s initiative to enhance commerce solutions, though it is currently limited in availability. These ads, categorized under “Product Sales” to boost sales, come in three formats:

  • Video shopping ads
  • Catalog shopping ads
  • LIVE shopping ads

Beyond Shopping Ads, TikTok offers additional advertising options on the platform, including in-feed video, image, and carousel ads. Learn more about these through TikTok Ads Manager. Notable brands like Fenty Beauty, Guess, and Chipotle have successfully advertised on the platform, tapping into its one billion active users worldwide.

4. Utilize Built-In Promotion Tools Such as Seller Voucher

Leverage regular and LIVE Interactive vouchers offered by TikTok. These can be combined with other promotional tools like flash deals, product discounts, seller discounts, and platform subsidies. To safeguard your profit margin while offering significant discounts, consider setting a minimum spend.

5. Collaborate With Experts from a Social Media Marketing Agency

While TikTok is user-friendly, keeping up with trends and measuring engagement can be time-consuming. Seeking external assistance with your Tik Tok marketing strategy not only lightens your workload but also allows your brand to benefit from years of experience.

Tik Tok Best Practices For Sellers And Creators (General Tik Tok Tips)

While awaiting the full availability of the Tik Tok for Business feature to U.S. merchants, it’s wise to plan out your Tik Tok marketing strategy and establish your online presence on the platform. Here are some Tik Tok best practices to get you started:

1. Consistent Content Posting

Share genuine content that elicits emotions, whether it’s humor or inspiration. Showcase the human side of your brand or individual persona.

2. Embrace Tik Tok Trends

Many content creators thrive on Tik Tok trends, and for good reason. Tik Tok trends garner significant attention facilitated by the platform’s algorithm. So, capitalize on them, whether it’s a popular song, dance, or audio clip.

3. Collaborate With Influencers

The global influencer marketing market has reached $16.4 billion, more than doubling since 2019. This speaks volumes about the success of influencer marketing and how sellers and creators can reap its benefits.

4. Stick to Vertical Videos

Unlike platforms like Youtube, which accommodate landscape videos, TikTok is optimized for vertical videos. This eliminates the need for viewers to rotate their phones for full-screen viewing, ensuring continuous scrolling.

Even without TikTok Shop, brands and content creators can extract significant value from this powerful platform, especially when partnering with experienced professionals.

Leadshouse’s Social Media Marketing Agency: Your TikTok Marketing Partner

Recently, TikTok postponed its plans to introduce TikTok Shop to the U.S. and mainland Europe, but now it’s here. With the holiday shopping season in full swing, they have likely assessed their chances of success carefully. So, if you’re looking to achieve tangible business results on the platform where trends originate, consider partnering with Leadshouse’s marketing experts.

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