Categories: Business

TikTok forsakes e-commerce development in Europe and US


TikTok has deserted plans to extend its live eCommerce drive in Europe and the US after the social media platform’s foray into QVC-style shopping in the UK was hit by inside issues and struggled to get some traction with customers.

The Chinese-owned company’s venture called “TikTok Shop” was launched in the UK last year, its most memorable market outside Asia. Brands and influencers broadcast live and sell products through a clickable orange basket on the screen of the viral short-video app.

Livestream commerce is viewed as the fate of shopping through social media platforms. They take a commission on sales, with rivals YouTube and Instagram creating comparable features in Europe. The model has demonstrated lucrative for TikTok parent ByteDance, which has seen sales on Chinese sister app Douyin more than triple year on year, selling more than 10bn products.

TikTok had wanted to launch the feature in Germany, France, Italy, and Spain in the principal half of this current year, prior to venturing into the US later in 2022, as per a few groups informed with regards to this issue.

In any case, the development plans have been dropped after the UK project neglected to meet targets and forces to be reckoned with exited the scheme, three individuals said.

“The market just isn’t there yet,” a TikTok employee said. “General consumer awareness and adoption are still low and nascent.”

Numerous TikTok Shop live streams have accomplished unfortunate sales regardless of the organization offering sponsorships and money motivators to urge brands and forces to be reckoned with to sell through the app.

There had been a mass staff departure from the organization’s e-commerce team in London, who grumbled about a forceful working culture implemented by the organization’s Chinese leadership.

“We are always looking at ways to enhance our community’s experience and regularly test new features that inspire creativity, bring joy and innovate the TikTok experience in markets around the world,” it said. “We’re excited to experiment with new commerce opportunities that enable our community to discover and engage with what they love.”

Raeesa Sayyad
Published by
Raeesa Sayyad

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