TikTok could launch an online store in the US as early as next month. The in-app shopping portion would feature TikTok’s own line of products – supplied by manufacturers in China – allowing the company to directly compete with Amazon, Shein, Temu and other major e-commerce platforms.
As reported by Semafor, TikTok’s new store will include selling products such as toys and kitchen gadgets within the platform through the new online store, as well as a dedicated e-commerce tab in TikTok Shop, an existing feature where businesses pay a commission to sell their products. on the app.
TikTok did not immediately respond to a request for comment.
Last week, the company confirmed it is testing a “Trendy Beat” shopping feature in the UK, where products are sold and shipped by a Singapore-based company owned by TikTok parent ByteDance. While TikTok initially denied that the new e-commerce offering was not being tested in the US, TechCrunch found that the company had previously filed a US trademark application for Trendy Beat, suggesting that the feature is likely to be extended to the US version of the app.
TikTok’s e-commerce strategy is still in its early stages in the US. The company has been testing TikTok Shop since November last year, which has yet to gain significant traction in the US. This is probably why TikTok waited to test Trendy Beat in the US. market.
TikTok’s e-commerce business has been especially successful in Asia, where the industry has experienced the fastest economic growth. The company counts on Southeast Asia to grow its business; TikTok aims to more than quadruple the size of its e-commerce business to a whopping $20 billion in gross merchandise value by 2023, compared to last year’s $4.4 billion in sales, according to Bloomberg.