TikTok Is Trying To Take On Facebook In E-Commerce


The popular video messaging app plans to equip its platform with tools for online shopping

Video sharing service TikTok is planning to launch new online shopping features in 2021. The development strategy of the service suggests that the firm plans to seek an ambitious expansion in the United States e-commerce market, the Financial Times reported, quoting individuals familiar with the ambitions of the company.

A tool that will allow the most common users to exchange links to goods and automatically earn a commission for any purchases is among the inventions that TikTok will present. According to one of the top advertisement managers quoted by the Financial Times, even though they are not formally endorsed by the brand, the makers of the video would be free to relate to whatever product they want. “Live Streamings” is part of the plan which is a direct shopping experience dubbed as “couch shops” and will be broadcasted by TV channels. The goods will be represented by TikTok’s stars, and users can purchase the product they want in a few taps. In this area, TikTok already works with Walmart. As part of TikTok’s latest approach, brands will be able to display their product catalogs in the app.

Furthermore, TikTok aims to continue improving its “self-service platform” advertising, which helps brands to position advertisements without intermediaries, the FT was told by two interlocutors. The newspaper’s sources noted that, through user monitoring, the software would also aim to expand its ad targeting tools.

All of this will make it easier for TikTok, which has already declared collaboration with the Shopify e-commerce website, to compete with Facebook in the future, writes the FT.

Last year, on Instagram, Facebook unveiled features to make it easy for users to purchase items and launched a digital shopping portal on the main Facebook platform. Last year, Instagram also introduced a video app Reels, akin to TikTok.

The FT claims that some marketers are suspicious of TikTok, as they consider that this platform’s advertisement mechanism is still undergrowth.


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