Kudos to TikTok, they've done a phenomenal job!
Forcing it (TikTok) down everyone's throats, making it addictive, and getting this mass scale.
Then TikTok wakes up one day and they say we're going to be a platform where people make money.
If you look over into Asia, and that's how everyone shops.
They shop live streaming, they shop video discovery.
There aren't fancy Shopify websites; it's a whole different way of commerce.
TikTok goes, that's going to work here, and we're going to spend every dollar we have to make it happen.
At first, I was hesitant as they rolled out the shop platform.
They were burning like a billion dollars a day, doing their own fulfilment, and not making money on the brands.
Then I see the level of scale that starts happening.
There's a brand that was relatively obscure on Amazon a couple years ago, doing maybe 10 million a year, and all of a sudden they're doing 15 million a month on TikTok Shop, like third month in.
It's just creating this broadcast system where even if you're not buying it on TikTok Shop, you know that brand in retail.
You see it, and when that light bulb came on, I realised this is clear. We've undergone a fundamental shift in how people communicate and shop, just like we did with Amazon.
It's the exact same thing happening again. It's presenting itself differently; you have to learn different skills and all that, but it's as good as it gets.
You have a billion shoppers, and you can reach them without spending any money. That's the beauty of it all.
The fact that You could reach so many shoppers with Amazon without spending a dime, now you can do that on TikTok if you can master virality and different means of communication.
You can build something that exponentially scales without having to go raise a bunch of money and all that stuff.
Head of eCommerce at The Rodial Group
2moI really like strategy of having selected SKUs on TikTok Shop as some products in your catalog will also be more suited to the platform than others. I believe it’s also imprtant to remember that a TikTok customer is a TikTok customer, we don’t own that relationship in the way we do with those shopping through our own direct website.