TikTok is bursting onto the e-commerce scene. The platform reportedly plans to unveil a set of tools that lets creators earn money from affiliate links and live stream shopping sessions.
TikTok Sets Its Sights on Monetization
According to a report by The Financial Times, TikTok will be giving creators additional ways to earn a profit on the app. In a briefing with advertisers, the short-form video app noted that a slew of new e-commerce features is set to roll out sometime in 2021.
TikTok users may soon be able to insert product links into their videos—no connection between the creator and brand needed. If viewers click on the link and purchase the product, the creator will get a commission.
The platform is also considering a live stream shopping feature, much like we already see on Instagram Reels. Creators will be able to advertise—and even demonstrate—a product during live streams, and viewers can buy it with just a few simple taps.
TikTok may also let brands advertise entire catalogs on the app, which almost sounds like the shopping catalog feature already present in WhatsApp.
Facebook, Instagram, and WhatsApp have morphed into social media platforms that double as shopping centers. With these changes, it seems like TikTok is aiming to do the same.
TikTok announced a partnership with TeeSpring in September 2020, an integration that lets creators sell their own merchandise on the app. The platform also joined forces with Shopify around the same time, giving merchants the opportunity to create ad campaigns for TikTok.
The Financial Times also noted that around 40 percent of users on TikTok don’t have a Facebook account, and 63 percent don’t use Twitter. This means an entirely fresh market of users who aren’t seeing the ad campaigns plastered all over Facebook and Twitter. This likely means big money for brands and advertisers.
Social Media: A New Shopping Destination?
Money is becoming increasingly important in social media, and that may prove worrisome for users who solely use social networks to keep in touch with friends. Products are already being pushed across Facebook and Instagram, and TikTok will soon join in.
That said, your For You feed may no longer be limited to funny skits and duets. Later this year, you might see your favorite TikTok stars advertising products during live streams, or perhaps you’ll stumble across product links that you might even think about purchasing.
Social media is quickly turning into an avenue for creators, advertisers, and businesses to make money, which we’re likely to see more of in the near future.