Driving commerce on TikTok has evolved significantly, transforming how users discover and purchase products. The movement began with #TikTokMadeMeBuyIt, leading to substantial opportunities for brands. Currently, 62% of TikTok users follow links to brand websites, with TikTok driving 1.8x more online conversions and 2.6x more offline conversions compared to other channels. The TikTok Shop has seen a surge in activity, with sales reaching $100 million last Black Friday.
Latest Updates to Commerce Solutions
New features are being introduced to enhance TikTok's commerce capabilities:
Smart+ Catalog Ads: An AI-powered solution that automates campaign management, showing 5.1x higher incremental ROAS and 2.2x higher purchase lift. Brands can upload catalogs and use Smart+ for targeted advertising.
GMV Max: This solution automates TikTok Shop advertising, optimizing both organic and paid traffic. New features include Affiliate Creative for Ads and LIVE formats to enhance campaign effectiveness.
Search and AI Innovations
TikTok is also focusing on its search capabilities, with 1 in 4 users searching within the first 30 seconds of using the app. The Search Ads campaign aims to keep advertisers visible during user discovery.
TikTok Symphony introduces AI tools for content creation, such as:
- Product-to-video tool for quick content generation.
- Symphony Digital Avatars for personalized branding.
- Translation tools to reach broader audiences.
- Symphony Script Generator for tailored video scripts.
New Research Insights
A report from Ipsos highlights TikTok's role in redefining commerce for shoppers and businesses.
Practical Applications
Brands can leverage TikTok Shop for in-app commerce, utilizing features like shoppable videos and LIVE Shopping. Combining native features with paid solutions like Shop Ads can maximize sales.
To enhance e-commerce, brands should create a seamless experience between TikTok engagement and external purchases, using TikTok's AI solutions like Smart+ for automation. A hybrid media and commerce strategy can effectively drive consumers from discovery on TikTok to purchases in retail or online platforms.
