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Saturday, April 10, 2021

TikTok Announces New Partnership with Shopify, Another Step Towards In-Stream Commerce

As TikTok keeps growing, and continues operating in the USA, in spite of a White House Executive Order for the sale, it also keeps churning out new stars, the platform’s celebrities who keeps growing and increase their audience reach, and be businesses in their right based on their short videos.

This is actually great for TikTok, as quality specialists help to bring more users. However, TikTok also knows that it needs to create ways for these creators to produce a profit from their efforts, not just that, also through the influencer partnerships, yet through ad profit share and other tools that may assist in maximizing their potential.

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If they may get more money on YouTube and Instagram, which has more strong ad tools and networks in place, in the end, they will. That’s why TikTok has been working to generate more options for eCommerce to assist in giving another profit for creators to make a direct profit from their work.

Also, this may be the next great step in that direction, according to TikTok:

“Today, we’re announcing a global partnership with Shopify that will help more than a million merchants create and run campaigns directly geared toward TikTok’s highly engaged community.”

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This is definitely not direct on platform eCommerce. The ranging makes Shopify merchants able to run ads on TikTok, and they can make it within their Shopify dashboard.

However, it is another step forward that potentially facilitating sales on channels of TikTok, a major area of development for the application.

“Through the new TikTok channel, Shopify merchants can access core functions of the TikTok For Business Ads Manager without leaving the Shopify dashboard. Highlights include: 

New, “1-click” pixel: Shopify merchants can install or connect their TikTok Pixel with a click of a button, making it quicker and easier to track conversions.

A One-Stop-Shop for TikTok Campaigns: Merchants can create campaigns, target audiences, and track performance in one place.

Creative Made Simple: Everyone has a story to tell on TikTok, and the TikTok channel enables Shopify merchants to create native, shareable ads that resonate with the community. TikTok’s intuitive creative tools help turn merchants’ products into high-quality TikToks in minutes.

Free Ad Credit: Eligible merchants can claim a $300 ad credit to jumpstart their first TikTok campaign.” 

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That can be enticing, for Shopify merchants, as per TikTok, about half of the users that have shown that they found new products in ads posted by a brand or product in the application.

“We’re excited to build on our partnership with Shopify as we continue to explore both paid and organic opportunities that bring value to businesses and help grow their audience on TikTok. As a part of our partnership, we’ll also start testing new commerce features that make it even easier for our users to discover Shopify merchants and shop their products within the app.”

These new features will be similar to the tags of the products that TikTok has been already testing with some brands and users.

The connection between TikTok and Shopify may improve this even more, and give that next stage in TikTok’s strategy, after the same way as ‘Douyin’ the Chinese version of the application, which produced more than $122M in profit last year, mostly driven by sales of eCommerce.

However, again, what if Walmart at the end did takeover the application?

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