What: Coresight reviews how Tik Tok works for brands, retailers and resellers now that Tik Tok Shop is open.

Why it is important: While business cases are still scarce, this might change very quickly in the future.

TikTok Shop, the e-commerce arm of TikTok, launched six months ago in the US, following the success of its sister app Douyin, which generated $208 billion in sales in 2022. Tik Tok Shop allows to make purchases directly in the app, and not through a third-party interface.

TikTok Shop allows brands, merchants, and creators to sell products directly through in-feed videos, livestreams, and Product Showcase features. An exclusive feature, the Affiliate Marketplace, connects sellers with creators to share products and earn commissions.

Though major brands like Revolve are experimenting with TikTok Shop, widespread adoption is yet to occur, potentially due to US consumers' preference for using social media for discovery and research rather than direct shopping.

However, with nearly half of the US population on TikTok and the success of similar platforms like Amazon Storefronts, TikTok Shop's seamless and frictionless experience may boost direct shopping adoption in the future.

How to sell on TikTok