Chinese livestreamers are using TikTok as a sales platform, targeting American consumers for goods from cosmetics to alternative medicines.
TikTok faces possible bans in the United States and Europe over privacy concerns, but that hasn’t slowed down the public’s use of the Chinese-owned platform one bit. In the past few months, livestreaming e-commerce has taken off on the platform.
This sort of e-commerce is the heir to network television’s shopping networks, where a host or a team will show off a product, extolling its virtues while a phone number to buy it scrolls under the screen. For livestreamers, it’s even easier, with a purchase just a click away.
Last year, TikTok added a live shopping feature, to streamline the process. It allows sellers to register from the U.S., Indonesia, Singapore, Vietnam, and other countries, and they can sell their products without having to use an additional website or service. Amazon and Facebook are already experimenting with similar things.
“There’s more opportunity for growth to target America because the competition is so fierce in China,” said Shaun Rein, founder and managing director of China Market Research Group in Shanghai. “Livestreaming in the U.S. is at a beginning starting point. There’s more opportunity to grab market share.”
According to Rein, products can also be priced higher when selling to American markets. The livestreaming e-commerce market in the U.S. is predicted to grow to about $68 billion by 2026, the largest market in the world.
Chinese livestreamers are still experimenting with what will build a loyal customer base with Americans. Also found on TikTok are ‘bootcamps’ to teach Chinese livestreamers new tactics and techniques.
“Every host is always experimenting and develops their own tactics,” Oreo Deng, a TikTok livestream host said, declining to share the secrets of her own approach. Formerly an English tutor, Deng spends four to six hours a day selling jewelry to U.S. customers.
