For brands whose primary audience overlaps significantly with the typical TikTok user, the platform could potentially be a primary touch point.
October 3, 2023 by Judy Mottl — Editor, RetailCustomerExperience.com & DigitalSignageToday.com
In early September TikTok, an app initially built to showcase short-form mobile video, launched a shop, called TikTok Shop, to feature products from creators and brands on its platform.
"TikTok Shop will now bring shoppable videos and Live streams directly to For You feeds across the country — and give brands, merchants and creators the tools to sell directly through shoppable content on the TikTok app," stated a company blog.
TikTok users can browse product titles, read reviews, and, likely most importantly for both a brand and the user, buy directly from a brand's profile.
Almost one third of Gen Z consumers will be using social media channelTikTok to purchase on Black Friday with spending set to increase by 20% this holiday season.
But what does that mean for a retailer and brand whether they're active on TikTok or not on the social sharing platform and what's the best approach to creating a successful TikTok shopping experience??
To get those answers, as well as advice on how retailers can provide a rewarding TikTok retail customer experience, RetailCustomerExperience reached out to Joshua Dreller, senior director of content marketing at Skai, an omnichannel marketing platform. Skai (formerly Kenshoo) connects data and media for informed decisions, high efficiencies, and optimal returns. Its partners include Google, Meta, Amazon Ads, TikTok, Snap, Walmart Connect, Instacart, Roundel, Criteo, CitrusAd, Pinterest, Microsoft, Apple Search Ads, and more.
Q: When it comes to retail on a social media channel, are the dynamics of providing a rewarding TikTok shopping experience different compared to a brand online site?
A. Absolutely, TikTok provides a curated experience, and brands must seamlessly fit into that mold. Users on TikTok are present for a specific engaging experience, not initially to shop. So, brands must nimbly integrate their presence to feel like part of the native TikTok content. They may limit how much a company can "stay on brand."
On the flip side, on a brand's site, there is freedom to narrate their story, showcase their products/services how they see fit, and influence purchases. So while TikTok offers massive audience reach, the depth of engagement and comprehensive brand experience is richer on a brand's own site.
Q: TikTok is clearly a younger retail demographic, so are there any specific focus points a retailer needs to hone in on to make the TikTok shopping experience rewarding?
A. Firstly, it's essential to recognize that TikTok isn't just another sales endpoint; it's a unique content ecosystem in itself. Success on TikTok is contingent on aligning with its culture and rhythm. Retailers must not merely "build a shop" with their existing branding on TikTok but adapt to the platform's distinctive flavor. The TikTok experience is firmly entrenched in new trends, authenticity, and spontaneous engagement.
Thus, retailers need to study and immerse themselves in this environment. Once you get the essence of TikTok and its audience, you have a better craft to offer a rewarding customer experience that feels both genuine and compelling to the TikTok user base. So, honing in on exactly how your brand can exist seamlessly inside TikTok is the biggest focus point. You can't simply go to TikTok and "do what you've always done." For some brands — especially ones with long histories and household names — this completely clashes with how they expect to do things.
Q. What's your view on where the TikTok Shop shopping experience will play in terms of retail branding and hitting new customers and do you see the retail shopper going to TikTok before a brand site or hitting a store or hitting Amazon?
A. Predicting the trajectory of TikTok Shop is challenging. For brands whose primary audience overlaps significantly with the typical TikTok user, the platform could potentially be a primary touch point. Think of niche D2C brands offering innovative products; they could thrive here.
But, yes, the audience on TikTok is growing every day; it would be unwise to ignore it as a channel to grow your customer base — even if it's just building brand awareness.
However, it's hard to envision major retailers achieving a majority of their sales via TikTok, at least in the near future. Historical data from the past decade suggests social platforms haven't yet become dominant retail hubs. Certain products that resonate deeply with the TikTok audience may see exceptional success. Still, for most retailers, while TikTok can be a profitable channel, it will not replace traditional online storefronts or giants like Amazon anytime soon.