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Against the backdrop of aggressive e-commerce, TikTok's growth in the US is weakening

Against the backdrop of aggressive e-commerce, TikTok's growth in the US is weakening

Growth in the number of TikTok users in the US is slowing. A situation that can be explained by the number of users already reached 150 million, but it can be connected to the nature change of TikTok.

Many of the highlighted contents are related to sales

In fact, TikTok users browse and consume short and funny videos to generate e-commerce sales through the TikTok Shop functionality, which is not offered in Europe. Launched in the US in September 2023. This explanation is coming out in the US to face the irritation of Tiktok users, which we can see in the articles. TechCrunch Or Business Insider.

Content creators expressed their displeasure to Business Insider. Likewise, contributors on Reddit opined that “TikTok Shop is killing TikTok.” In statistics, the number of monthly active users is increasing only 3% per quarter in 2023, while it will be 12% in 2022. Sensor TowerAs quoted by TechCrunch.

TikTok Shop launched in the US in September 2023

An affiliate program to get paid for selling products

However, in September 2023, TikTok officially launched TikTok Shop in the United States, a service that allows a brand to sell directly from TikTok without going through the brand's e-commerce platform. In addition, TikTok has introduced an affiliate program for content creators to earn commission on sales of products they make, which incentivizes them to promote sales videos.

We note that this user frustration due to TikTok Shop is currently not benefiting its competitor Instagram. However, Instagram offers more space for content and video with Reels; Like the original TikTok. The Meta-owned app removed its own Shop tab in January 2023 and “Live Shopping” purchases in March 2023. Relying on meta content and ads comes at a time when e-commerce has peaked again during the Covid pandemic. TikTok is owned by Chinese tech company Byte Dance Ltd.

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