TikTok Faces A Potential US Ban … But That’s Not Stopping These Retailers

For better or worse, TikTok has become the social media app of choice for millions of young adults across America. And with retailers eager to reach this key demographic, it’s no surprise that TikTok shops have become increasingly popular over the past few years.

But with a nationwide ban looming over the Chinese-owned platform, there’s a chance that retailers large and small will lose access to the profitable U.S. market in the near future.

An actual Amazon rival?

For many years, Amazon stood alone in most conversations about the most dominant e-commerce platform in America. When the TikTok Shop began gaining traction in the U.S., those discussions slowly began to change.

• Nearly two-thirds of Westerners say they’ll buy something from a Chinese app this season.
• TikTok posted Black Friday sales in the U.S. of more than $100 million.
• By the end of this year, TikTok Shop’s gross merchandise volume is on pace to exceed $50 billion.

To be clear, TikTok still has a long way before it can topple the Amazon empire … and the possibility of a ban doesn’t help. But for now, at least, retailers of all types are flocking to the app with no real signs of slowing down.

Sarah’s streaming story

One successful TikTok Shop retailer is Sarah Potempa, a hairstylist to the stars who regularly showcases her own Beachwaver curling iron during livestream videos on TikTok.

The new approach to commerce has rapidly changed the perspective of customers, she said, explaining: “When TikTok Shop was new and people hadn’t used it yet, they would ask, ‘Is this on Amazon yet?’ I would get those questions like, ‘Can I buy it somewhere else?’ Now that it’s been around for a year or so, we’ve done 1.2 million orders.’”

Chris Agee December 3rd, 2024

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