TikTok just decided to compete with Amazon and other retail giants this coming holiday season as the app silently entered the US e-commerce market this week through the launching of a feature called TikTok Shop.
The new feature of the platform allows users to make purchases directly through the app. While it was only available in the UK and seven other countries in Southeast Asia, the company began testing it in US this week, according to Semafor.
Introduction of TikTok's In-App Purchases is Part of Project Aquaman
According to Gizmodo, TikTok started asking select businesses in the US to participate in the platform's new shopping experience.
Soon, businesses will be able to sell their goods directly using TikTok app. The US is now listed in the official TikTok Shop Seller Center as a place for businesses to register.
According to the company, they are being guided by the demand, that's why they are exploring ways to enhance the platform's experience.
Likewise, the company said that they have witnessed the positive impact of TikTok Shop as a means to support business of all sizes.
By experimenting with this new commerce opportunity, it would enable the TikTok community to find out and engage with products the users love.
According to Gizmodo, the company's move appears to be part of what's been dubbed as "Project Aquaman." The project is an effort to turn the app into a kind of bazaar for online retail. Using their creator account, influencers can run their own shopping stall.
China is known to be a major center of livestream shopping experience. In the country, high profile creators showcase products and offer deals to their followers.
The practice has become a multi-billion-dollar industry in China. In case TikTok could make it popular in the US, it could be an extremely lucrative feature of the app.
Read Also: TikTok Abandons Plans to Launch Shopping Feature in the US
TikTok Employs Various Means to Enter Into e-Retail
The app is employing aggressive moves to try to make it to the top of the digital retail industry. Reportedly, the company has been buying data on users' wish lists and shopping carts.
Similarly, the company is said to also target users using algorithmic-based ads for items they may want to buy.
The company is also said to silently rank influencers based on their willingness to promote products, according to reports based on internal documents.
Accordingly, the ranking is meant to provide businesses an idea regarding which creators are more willing to sell products.
All these efforts are gearing TikTok for a huge move into e-retail. Based on a report, the company is exploring the possibility of building its own fulfillment centers in the US.
Another report claimed that the company already filed a US trademark application. This time, it's for a technology that will let users shop and pay via voice.
TikTok is not the only social media platform that entered the shopping arena. In fact, Instagram now allows users to buy directly from Instagram Direct sellers using the chat function.
In addition, other apps like Snapchat also introduced various ways for sellers to reach users.
Related Article: TikTok Shop Live Shopping Feature Will Reportedly Roll Out in North America
