StartArticlesTikTok Shop: brands and sellers must adapt to the new times – and quickly

TikTok Shop: brands and sellers must adapt to the new times – and quickly

Social Commerce is a growing trend that is revolutionizing the way products and services are sold online. New business trend originating in China and heavily accelerated by the pandemic,she now has in her "eye of the hurricane" the revolution brought by TikTok Shop, platform that has shown great potential in various countries to boost sales through deep integration, native,between content and online shopping,and finally arrives in Brazil this April

TikTok Shop leverages the immediate behavior of the new generation of digital consumers seeking instant gratification.According to research in different markets, like the American, the British and the Asian, TikTok users are highly likely to make direct in-app purchases due to the combination of entertainment, social interaction and ease of purchase in the same place,in an absolutely frictionless journey that allows fulfilling the consumption desire without the need to leave the platform

One of the main advantages of this new business model brought by TikTok Shop is the short video format characteristic of the platform and integrated with the online store that, in addition to quickly capturing attention, also drives impulse buying. The platform allows creators and brands to directly integrate links to products displayed in videos, quickly turning interest into real conversion

As I recently shared in interviews with some specialized television news outlets, TikTok Shop recorded a significant increase in sales conversions compared to other traditional forms of e-commerce, can reach up to 10 times more results. This occurs especially because of the emotional connection that users develop with influencers and organically generated content, what increases confidence and credibility in promoted products –not counting the speed of purchase in the app, leveraging the desire to make impulsive purchases

Another important factor for the success of TikTok Shop is the user experience, highly optimized for mobile.In a scenario where every second counts to capture the consumer's attention, the smoothness of navigation and the simplicity of the integrated checkout are crucial to reducing cart abandonment rates

TikTok beyond being a video platform

TikTok has long transcended its origin as a short video and dance platform. Today, it is a phenomenon that redefines the intersection between entertainment and commerce, driven by the attention economy — a scenario in which the time spent on social media directly converts into business opportunities.In markets such as the United States and Indonesia, TikTok Shop moved US$ 33 billion in 2024, figure that illustrates the power of this new frontier of social commerce. In Brazil, where users spend more than 30 hours monthly on the app, your arrival promises to shake up the e-commerce market, whatcan generate almost R$ 39 billionin the national territory until 2028 (according to a study released by Santander bank)

The rise of TikTok Shop is intrinsically linked to the change in consumer behavior. We live in an era where attention is the most valuable asset,and platforms that can capture it — like TikTok, with your precisely tuned algorithm — become natural vectors of sales. 

E-commerce accounts for 13% of global retail,and social commerce, driven by influencers and immersive content, it's the next wave – which is enhanced by the effective application of artificial intelligence in hyper-personalization. Thus, when the user watches a live of a creator testing a beauty product, the purchase can be completed in seconds,without leaving the app. This eliminates friction and boosts impulse sales, what are the heart of retail

The platform operates in countries like the USA, United Kingdom, China, Mexico and Indonesia, where built-in features — as purchase icons in videos, product display cases live broadcasts — they simplify the consumer journey. In Indonesia, for example, 9 of the 10 largest TikTok Shop stores in 2024 were in beauty and personal care,segment that also dominated the highest-grossing live streams in the USA. TikTok's strategy includes aggressive incentives to attract sellers, as 90-day periods without commissions and free shipping, tactics that may be replicated in Brazil to accelerate adoption

Fernando Moulin
Fernando Moulin
Fernando Moulin is a partner at Sponsorb, boutique business performance company, professor and business specialist, digital transformation and customer experience and co-author of the best-sellers "Restless by Nature" and "You Shine When You Live Your Truth" (both from Editora Gente, 2023)
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