TikTok focuses on eCommerce expansion through Community Commerce

Anne Freer | September 24, 2021

App Business

TikTok wants to make it easier for brands and retailers to promote their products on the app while also helping creators to generate an income through brand partnerships.

According to the app, Community Commerce, which it calls creator-driven word-of-mouth marketing is driving much of the app’s growth in commerce.

“Community Commerce content, like all TikTok content, is also efficient to create. The platform was designed to be easy to use and it takes very little time and money to make a compelling video, even for brands. This addresses some of the cost issues that many marketers are facing in other e-commerce areas. (Not to mention that TikToks are full-screen, meaning that brands get 100% share of voice on all the videos they put on the platform. Which is a nice bonus.),” TikTok wrote.

The For You page now features videos that allow users to discover new products and content. At the heart of TikTok’s commerce strategy is entertainment. And that’s also where it sees marketers and brands fitting in.

eCommerce grew 28% in 2020 and is set to rise another 14% this year.

Community Commerce, however, is different to traditional online marketplaces or social commerce ads because it encourages audiences to create their own content featuring a brand. In that way, everyone becomes an influencer.

It’s word-of-mouth marketing TikTok-style.

When a user hears about a product on the For You page, they can engage with the content and use TikTok’s ad products to check out the brand page or make a purchase. Conversions happen quickly here.

Brands that have adapted to user behaviour have been able to drive stronger engagement through honesty and transparency.

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