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TikTok looks for partners to help with logistics, seller expansion

The news: TikTok is determined to make its mark on the US ecommerce landscape.

  • The company partnered with creator commerce platform Amaze to give more merchants the ability to sell products via livestream and TikTok Shop.
  • TikTok is also signing deals with third-party logistics providers to expand its warehousing and fulfillment capabilities, per The Information.

Looking for a breakthrough: Despite ambitious goals, TikTok’s US ecommerce initiatives have struggled to gain traction due to two serious obstacles.

  • Live shopping is yet to take off. Just 19% of US consumers have participated in a live shopping event, per a Morning Consult survey. Nor is TikTok the top platform for livestream commerce: Facebook, YouTube, and Instagram are all more popular, even among Gen Z consumers.
  • Merchants are reluctant to sign on. Many are taking a “wait and see” approach as threats of a TikTok ban rumble on. Fewer than 100 merchants were selling on the app as of March, per The Information, although the company has since made it easier for sellers to join.

The big takeaway: TikTok’s newly inked partnerships should bring more sellers onto the platform, but it remains to be seen whether the company has enough influence over users to drive a broader behavioral shift.

Go further: Check out our TikTok Commerce report for more on whether TikTok Shop is worth the investment.

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