TikTok Shop Issues Explained
发布时间：2024-02-23
TikTok has become a globally recognized short-video app, and the TikTok shop is a huge international exhibition opportunity for cross-border e-commerce players. Due to the strict vetting mechanism, the number of merchants that are currently stationed in the store is still sparse compared to other regions (e.g. the UK and Southeast Asia), so what does this mean? -Whoever is the first to move in will have a leg up on the competition!
With a TikTok shop, cross-border merchants can not only reach a wider audience and gain higher exposure, but also boost sales opportunities. For cross-border merchants who aspire to bring their products to the U.S. market, TikTok Shop is definitely an option not to be missed. However, running a TikTok Shop is not an easy task. In this issue, we will provide detailed answers and strategy suggestions from the two core issues of realizing and shipping.
What are the main ways to cash in on TikTok shop?
1.Creator Fund.
TikTok officially plans to provide over $2 billion in funding for creators over the next three years, aiming to reward premium creators for creating more high-quality content. (*Reward amounts are distributed mainly based on the number of video plays)
2.Advertising Revenue.
Merchants can promote their products or services on TikTok through paid advertisements, which is done so that they can better reach the group of users who are most interested in their products.TikTok's ad management platform seamlessly integrates with e-commerce platforms such as Shopify and allows merchants to easily create ads, select target audiences, and track ad results so that they can more efficiently manage their ad placements and returns.
3.Push commissions.
The way to earn pitch commissions on TikTok is actually similar to e-commerce platforms like Taobao Affiliate and Jingdong Affiliate. Creators can promote the products of e-commerce merchants in their videos and drive traffic to the merchant's website or store, thereby earning a certain percentage of commission as compensation.
Image source: Internet
How to ship a small TikTok shop?
1、Overseas warehouse: TikTok U.S. local shop requirements must be shipped in the U.S. mainland, the seller will have to choose to build their own warehouse in the U.S. or use a third-party U.S. overseas warehouse. Overseas warehouses are currently the choice of most sellers - directly from the U.S. mainland warehouse shipments, 1-3 working days will be able to send the goods to the hands of consumers, which can improve the efficiency of the operation of goods, while helping sellers to save a lot of manpower and material costs.
2、Virtual warehouse: sellers directly from the domestic shipments, but requires logistics information displayed on the United States, so that TikTok will not be recognized as domestic shipments, which is the U.S. line virtual overseas warehouse. The U.S. line virtual overseas warehouse has no record of domestic shipments, from the logistics information on the words, show that is the U.S. mainland shipments to the hands of customers. Therefore, domestic cross-border sellers can use the U.S. line virtual overseas warehouses to transport TikTok U.S. domestic store orders parcels.
Of course, don't forget the "flow of funds"! This is a crucial part of cross-border e-commerce operations. When you need to collect payments, you can contact Qbit, which provides localized cross-border payment services to help cross-border businesses to better localize their operations globally. Simply register online to open a Qbit Global Account and your business can easily support local payments in 40 currencies in over 180 countries and regions around the world.
When your business needs to be located outside of Hong Kong, China or the United States, Qbit can provide you with registration support. Simply fill in the required information online and our standardized process ensures efficient processing and delivery in as little as one day, helping to jump-start your international business. In addition, Qbit also provides a wide range of value-added services to assist you in connecting with professional tax agencies to ensure that your cross-border corporate structure is compliant and to help you achieve localized operations.
