NEW YORK (Reuters) – U.S. TikTok users have turned to TikTok Shop in droves this holiday season, significantly boosting spending on the platform. According to a Reuters analysis, TikTok Shop has successfully captured a larger segment of the e-commerce market since its U.S. launch in September 2023.
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TikTok Shop’s burgeoning success reflects in its reported $100 million in sales on Black Friday, a key shopping day, where American consumers eagerly seek online deals. Despite looming regulatory challenges, such as a potential U.S. ban on its parent company ByteDance, TikTok Shop remains a potent sales channel for brands like e.l.f. Cosmetics and Ninja Kitchen.
U.S. merchants and influencers leverage the ‘LIVE’ feature, allowing customers to purchase items directly during live-video sessions. The number of such live sessions has reportedly tripled over the past year, tapping into TikTok’s 170 million U.S. users and their growing appetite for innovative purchasing experiences.
This growth trajectory places TikTok Shop in fierce competition with counterparts like Shein and Temu, surpassing them in U.S. spending during the seven days leading to Cyber Monday, as per Facteus data, which samples between 7-10% of nationwide spending across 140 million consumer cards.