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TikTok’s e-commerce initiative targets Amazon and Shein

TikTok is testing a new in-app “Trendy Beat” shopping section that sells ByteDance products. The U.K. is testing the Financial Times-reported feature. Trending videos feature ear wax removal tools in the shopping section.

On Thursday, the company told that the new e-commerce initiative is not being tested in the U.S., where it is focused on adding new merchants to its TikTok Shop offering that lets brands sell items on the platform.

The U.S. may test Trendy Beat in the future. Last month, TikTok filed a trademark application for Trendy Beat in the U.S., suggesting the test feature may be expanded there. The trademark application lists dresses, scarves, hats, footwear, bathing suits, sleep masks, sweaters, skirts, shirts, suits, and more.

The Financial Times reported that ByteDance calls its plan to sell its own products in the video app “Project S.” Project S lets ByteDance buy or make popular TikTok products, according to the report. ByteDance’s suppliers produce these items.

TikTok is shifting its e-commerce strategy from its TikTok Shop marketplace to compete with Amazon and Shein with the new feature. TikTok Shop lets brands sell their products directly in the app, but this new feature would let TikTok sell its own products. TikTok now sells its best-selling products online like Amazon Basics and Shein.

Since November, TikTok Shop has been testing in the U.S. with PacSun and Revolve. According to Financial Times reports, TikTok Shop has succeeded in Asia but struggled in the U.K. It’s not surprising that the company is testing the new e-commerce initiative in the U.K. before possibly bringing it to the U.S.

TikTok continues to work on shopping features, but its competitors are scaling back on e-commerce after failing to gain traction. Instagram removed the shop tab in January and discontinued live shopping. Facebook discontinued live shopping in August 2022.

TikTok’s early U.S. e-commerce efforts already influence users’ shopping habits. TikTok’s ability to drive impulse purchases has made the phrase “TikTok made me buy it” popular. 7.4 billion TikTok views and 59.3 billion hashtag views. By providing easy and direct discovery and purchasing, the new in-app shopping feature would boost these sales.

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