For over six years, TikTok has become a great social media app used by people of all ages worldwide. It has an explosive growth since the start of the pandemic, having more than 1 billion users in over 150 countries.

So, it wasn’t surprising that brands are starting to see their potential in marketing and eCommerce. Companies like Marvel, Levi’s, and Duolingo are now using TikTok marketing to promote and connect with their customers.

But is it worth it? So whether you’re a business owner, marketer, or influencer looking to use TikTok for marketing, this article is for you. This guide will discuss what TikTok is and the pros and cons of using TikTok for eCommerce.

What is TikTok?

TikTok is a mobile app that allows users to create and share short videos with others. The app was launched in 2016 by Chinese company ByteDance. It has been around for almost six years and has already amassed over 2.6 billion downloads.

With TikTok, you can do anything you want – from singing and dancing to talking about your day. The app is designed to be easy to use and addictive, so it’s not surprising that it’s becoming one of the world’s most popular social media sites.

TikTok for business was popularised recently as the platform released new features perfect for advertising. Features such as Ad manager, branded hashtags, and store integration are now available to users.

5 Benefits of Using TikTok for eCommerce

Using TikTok as an eCommerce marketing tool is not easy. While the social media platform can potentially drive growth for retailers, the platform’s content format is not accessible and could take a lot of time.

So, before using TikTok for business, it’s essential to understand its benefits and see if it’s worth the effort. Likewise, here are five benefits of using TikTok for eCommerce.

1. Little to no competition when it comes to eCommerce

TikTok for eCommerce has become one of the world’s most popular social media platforms. One reason for this is that the platform has little competition in business. It’s undeniable that its popularity for small to medium companies is steadily increasing.

However, while the platform has a booming no of users, most of these are audiences from ages 15-25. Moreover, 50% of billion-dollar brands, including Facebook, YouTube, Google, or IKEA, have no TikTok presence.

Thus, small businesses still have a chance to jump into the platform’s popularity and take advantage of its marketing potential before big corporations join the competition.

2. Functionality for eCommerce

TikTok for eCommerce has added new functionality that allows creators to sell products directly to their followers. In recent years, they made it easier for businesses to start advertising on the platform using TikTok Ads Manager.

In addition, the collaboration between TikTok and Shopify will allow creators to sell products through their channels on the app. This is an excellent opportunity for small businesses that are struggling to find a way to reach customers.

3. Wide variety of audience

As mentioned earlier, TikTok has become one of the most popular video-sharing apps in the world, with over 1 billion monthly users as of 2022. The app is most popular among teenagers and younger viewers.

Still, it houses various audiences, including people from different walks of life. The application is dominated by women, with 61%. On the other hand, male users are at 39%. TikTok users are also dominated by ages 10 to 19 with 32.5%, followed by 20-29 with 30%.

Likewise, most of the app’s users are generally from China, India, and the US.

4. Improve brand awareness

It has been proven that TikTok for eCommerce can increase brand awareness because of its high engagement rates and highly targeted audience. Companies who use TikTok to promote their products or services will easily reach the younger demographic, which is more challenging to get through other social media platforms such as Facebook or Instagram.

TikTok also offers companies the opportunity to sponsor content from influencers with large followings who post on

5. Can generate leads

TikTok is an app that can help generate leads. It is a social media app that lets you make short videos or clips. You can share these videos on TikTok or other social media platforms or save them to your phone. Through these contents, you can reach potential customers and clients.

Likewise, businesses can use TikTok for eCommerce by running a lead generation campaign. These ad features enable businesses to reach prospects and seamlessly interact with them.

5 Drawbacks of Using TikTok for eCommerce

Unfortunately, TikTok is not fail-proof. Like any other platform, TikTok has drawbacks when used for eCommerce or retail. Her are five disadvantages of using TikTok for business.

1. Content format limitation

TikTok has content format limitations. TikTok only allows users to post videos, with a maximum of 10 minutes. Although enough for some, this can limit the content of some businesses.

Moreover, video content format is not accessible compared to other forms such as blogs or photos. Marketers and social media users must strategies, create scripts, take videos, and edit to create just content.

2. Audience is not focused

As mentioned earlier, the audience of TikTok is very diverse and not focused on one topic, which makes it problematic for brands to advertise on the platform. The algorithm of TikTok for eCommerce is random. Your videos can show up on any kind of user’s “For You” feed.

3. Complicated production

TikTok is much more complicated than other social media apps like Instagram, Snapchat, and Facebook. While you can simply post videos on TikTok, sometimes, this is not enough.

Contents on TikTok for eCommerce sometimes require extensive production for it to be interactive. Videos must be high quality and shareable in a way that will attract engagements and conversions.

4. Ads can be expensive

TikTok ads are expensive. The cost per Mille (CPM) of TikTok ads starts at $10 (cost per 1000 views). Likewise, some businesses spend a minimum of $500 on a monthly campaign.

But they can be a great way to reach your target audience. If you are interested in buying an ad on TikTok, you should first ask yourself these questions:

• Do I have a big budget?
• Do I want to target my ad to a specific age group?
• How much of my budget do I have for this campaign?
• What is the goal of this campaign?

5. It can ruin your reputation

While TikTok is great for making friends and sharing content with people interested in the same things, it can also ruin your reputation if you aren’t careful.

The app is full of memes and jokes that may not be appropriate for all audiences. A user could post something they think is funny, but when others see it, they might not find the joke funny or relevant.

It can also dissuade corporate branding if your company is going after that.

Are you using TikTok for Business?

In summary, TikTok’s success is its simplicity, which makes it an accessible platform for users to learn how to use. It also has a wide variety of features that appeal to many different groups, such as sharing videos with other social media platforms like Instagram or Snapchat and adding music from Spotify or iTunes.

With proper planning, research, and execution, you can maximise the potential of this platform in eCommerce. So, use it to build your brand, reach potential customers, and generate leads. And if you need help, Flexisource IT can help you! We provide one of the best social media marketing services in Australia. Contact us now!