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How to Sell on TikTok Shop: Unlocking the Potential of TikTok Shop for Retailers

Written by Josh Smith | Feb 14, 2024 8:05:09 PM

The Modern Era of Social Shopping and TikTok's Growing Impact

The digital marketplace is ever-changing, and with it, the habits of consumers. Generation Z, the demographic after Millennials, is leading this revolution. Their online shopping style is changing the game, with a tilt towards finding and buying products on social media platforms. According to statistics posted by TikTok, 3 in 4 users are likely to buy something on TikTok (1). This tendency is particularly noticeable on TikTok, which combines visual appeal, community engagement and endorsement, and easy access – coming together as a unique shopping journey.

Prabhakar Raghavan, a Senior Vice President at Google, underlined this shift at a recent technology conference, noting that " almost 40 percent of young people, when they’re looking for a place for lunch, they don’t go to Google Maps or Search. They go to TikTok or Instagram." (2). This social platform preference isn't just about food, but also browsing and shopping for consumer products, posing a challenge to traditional marketplaces like Amazon and search engines like Google. 

Gen Z are increasingly using TikTok for shopping inspiration and purchases, and recognizing this change is key for sellers who want to catch their interest. With a similar look and feel to Temu, a shopping platform exploding in popularity with the Gen Z demographic, TikTok Shop is an attractive option for those looking to expand their marketplace presence. 

Exploring TikTok for Retail: Ads and Shops

On TikTok, sellers have two primary avenues to display their products: TikTok ads and TikTok Shop. TikTok ads pop up in the user's feed, using the platform's algorithm to target potential customers effectively. On the other hand, TikTok Shop gives a dedicated shopping space within the app for an uninterrupted, easy shopping experience.

TikTok Shop has a unique appeal for sellers. It extends beyond being a mere advertising slot and acts as a full-blown marketplace built into the social network. It boasts both general sections available for all sellers and exclusive spaces for select sellers, offering a multifaceted marketplace intended for a wide range of products and services.

Can You Benefit from TikTok Shop?

Although TikTok Shop is a comprehensive marketplace, two types of sellers will find it especially beneficial:

  1. Experienced Market Sellers: If you're used to selling on platforms such as Amazon or Walmart, expanding into TikTok Shop is a logical next step. The process will be familiar and you'll meet a fresh, primed audience. You can choose as many or as few products to list on TikTok Shop and with a simple feed integration, be up and running quickly.
  2. First-time Marketplace Sellers: For those stepping into digital marketplaces for the first time, TikTok Shop is an easy way to begin selling online. With low barriers-to-entry, it serves as an accessible platform for online selling beginners. 

Your Guide to Selling on TikTok:

As the TikTok feed is a user’s first entry point into shopping on TikTok, there is an interplay between TikTok Shop and TikTok ads wherein ads can drive traffic to the shop. Users can also drive traffic to their shops by posting demo videos on their channels as a way to appear on the feed without paying for ads. So while TikTok Shop will feature your products, you may want to consider driving traffic and awareness through free videos or ads within the TikTok feed. Here’s a guide for getting started: 

Step 1: Set up Your TikTok Account

First, download the TikTok app. Set up an account and pick a username that reflects your brand. Customize your profile to reflect your brand identity – a profile picture, a compelling bio and links to your other social channels. 

Step 2: Go Pro

Upgrade to a Pro account which will give you access to business features like analytics and the ability to add website links to your bio. Select either Creator or Business account depending on your strategy.

Step 3: Perfect Your Skills

Make the most out of TikTok's Business Resource Center. Here, you can find ad templates, participate in webinars, and learn from success stories. Add the TikTok Pixel to your website to track your campaign's performance.

Step 4: Get Creative

Start to create compelling content by taking note of what’s trending on the ‘For You’ page. Craft content that suits your brand and appeals to the TikTok audience. Keep it interesting, genuine, and entertaining. Avoid too much advertising. Posting regularly is key to keeping your brand in front of your audience.

Step 5: Use Influencers

Boost your reach by teaming up with TikTok influencers. Find influencers that share your brand values and can authentically promote your products in the Creator Marketplace.

Step 6: Engage and Be Consistent

Interact with your followers. Answer their comments and engage them to build a community. Again, post consistently. This can significantly influence your visibility and help grow your audience.

Step 7: Promote User-Generates Content (UGC)

Motivate your buyers to generate content related to your brand. Launch a hashtag challenge or urge them to post about their experiences with your products and don’t be afraid of offering incentives like prizes or free products in exchange for reviews. UGC can boost your brand's visibility and credibility among the TikTok community.

Step 8: Using TikTok for Advertising

Take advantage of other advertising tools that TikTok has to offer. Initiate in-feed video ads and look into other campaign types like brand takeovers or collaborations. Use TikTok’s ad manager to set up campaigns, target your audience, and track ad performance.

How Cart.com Incorporates TikTok

Cart.com recently launched its TikTok integration, becoming one of the first e-commerce platforms allowing D2C and marketplace sellers to quickly sync their listings with TikTok Shop. With this new feature, Cart.com has adapted its Amazon and Walmart marketplace management solution and optimized it for TikTok’s unique and burgeoning marketplace, allowing retailers to quickly and seamlessly list their products. 

How to Sell with Cart.com's Integration

Here’s how sellers can benefit from Cart.com’s TikTok Shop integration: 

  1. Inventory Management: Ensure real-time availability of your products, ensuring you can meet customer demand instantly.
  2. Pricing Strategy: Cart.com’s automated repricing tools allow you to stay competitive while maintaining profitability.
  3. Order Management: Automated order syncing and routing ensure you can keep up with volume and pace of sales generated through TikTok Shop.
  4. Marketing: Use Cart.com’s integration to push your products on both TikTok Shop and TikTok ads. The integration is designed to cater to the specifics of TikTok’s marketplace.

The Ideal TikTok Shop Seller Profile

Not every retailer will fit the typical TikTok mold, and that's a strength, not a setback. While the platform is cost-competitive, attracting resellers and manufacturers looking for direct consumer access, it also opens doors for established brands. Brands can choose to list only select products on TikTok Shop, curating their offerings to match the platform's pricing dynamics and consumer expectations.

Choosing TikTok Shop Is In Keeping With the Times

The rise of social commerce, spearheaded by Gen Z, is undeniable. Retailers looking to stay ahead must adapt to these shifts. TikTok Shop represents not just a new marketplace, but a cultural hub where trends are born and propagated. With its low entry barriers and integration capabilities, it's an opportunity for both seasoned sellers and newcomers. Whether you're already a marketplace seller or considering entering the fray, TikTok Shop might just be your next strategic move.

1. https://shop.tiktok.com/business/us

2. https://www.nytimes.com/2022/09/16/technology/gen-z-tiktok-search-engine.html