TikTok Shop: Is it Targeting Amazon?

Dec 1, 2022



TikTok has started to advertise job openings for a global fulfilment center, warehousing, item return options, and delivery, all under the umbrella of TikTok Shop, the platform’s new e-commerce center. Perhaps it could give Amazon a run for its money – it has over 1 billion monthly active users. Take a look at the performance of the social media giants:

  1. Facebook – 2.9 billion
  2. YouTube – 2.2 billion
  3. Instagram – 1.4 billion
  4. TikTok – 1 billion
  5. Snapchat – 500 million
  6. Pinterest – 480 million
  7. Twitter – 300 million

Furthermore, TikTok is the only platform where full focus is demanded – many people have several apps open at a single time, but not if you’re scrolling through TikTok’s heartwarming videos, dancing youth, recipes, or makeup tutorials. Most likely, you’re watching the video and listening to the music at the same time, so your full focus is trained on the video at hand.

Considering its reach, and its influence, TikTok Shop is worth watching out for. Just a few years ago, TikTok was a way to discover products from Amazon, eBay, and Walmart; now, it looks like home-grown brands will get their day in the sun, much like Instagram did for home-based SMEs back in the day. TikTok however offers a more engaging experience.

Check out the news bit from the Today Show to find out more:


But how is TikTok going to do it?

Jana’s presentation at AdWorld on TikTok tells all, especially on the dynamics of advertising on TikTok, (Get in touch with her if you’d like a copy!)

There are some interesting points she made that fall in perfectly with TikTok Shop’s growth:

  • The use of dynamic product ads provides a level of personalization that make the shopping experience a home run. Instead of estimating the ads to the user, dynamic product ads recommend specific products to users who have shown interest in your app or website.
  • 28% of TikTok audiences fall within high income brackets compared to other platforms, which might get 25-26% tops
    • Nearly 50% of TikTok audiences are within the medium- to high-income bracket tier
    • The audience has considerable buying power!
  • TikTok isn’t just for kids: the Today Show informs us that 75% of the audience is below 35 years old, but here are the statistics from Europe:
    • Age ranges
      • 40% are between 18-24 years old
      • 26% are between 13-17 years old
      • 23% are between 25-34 years old
      • 11% are above 35 years old
    • Gender
      • 65% are female
      • 35% are male
  • Most purchased products among global TikTok users:
    • Clothing – 27%
    • Shoes – 22%
    • Headphones – 16%
    • Shampoo and books are tied at 15%
    • Travel tickets, beauty products, and wristwatches tie at 12%
    • Handbags and cosmetics tie at 11%

What do all these statistics tell us? They show us the road map of how to proceed with TikTok.

How to Get Started with TikTok Shop

If you’re selling clothes to Gen Z females, you’re likely to do quite well on TikTok. With tons of ready video templates to choose from, marketing to your demographic is easy; just be consistent, original, and engaging.

You’ll still find TikTok videos promoting Amazon products, but it looks like a shift is coming. Small brands run by Gen Z kids themselves will get a big boost thanks to TikTok’s developing e-Commerce infrastructure. Used to be, people below 24 years old were preoccupied with getting their college degrees, and pursuing higher education. TikTok might further convince the entrepreneurs of Gen Z to believe that real-life practice is more valuable than the academe.

What does this hold for Amazon, and should the marketplace keep a closer watch on its younger consumers? Time will tell.

How about you? Is it easier to shop on TikTok than on Amazon? Have you ever tried?