ByteDance-owned short form video app TikTok officially launched its e-commerce business, TikTok Shop, in the US in September 2023. Currently, the e-commerce space in the US is dominated by major players like Amazon. To take on Amazon, the company is now reportedly planning to generate higher revenues from TikTok Shop in the US.
According to a report by Bloomberg, TikTok is planning to grow the size of its e-commerce business in the US by tenfold.The company expects its online shopping business to grow as much as $17.5 billion in 2024.
The report cited people close to the company (who decided to remain anonymous) to reveal that the 2024 merchandise volume goal for the US version of TikTok Shop was discussed in internal meetings in recent weeks. The source also claimed that the plains may still change depending on how the business goes.
How TikTok is planning to expand e-commerce business in US and other regions
TikTok Shop allows users to buy items while scrolling through a feed of short videos and live streams within its main social media app.

In 2023, TikTok nearly clocked around $20 billion in global gross merchandise value. The report claims that bulk of sales through the platform was contributed by the Southeast Asia market. Now, the company is planning to expand sales in the US and other regions. The report also claimed that in the coming months, TikTok is planning to launch its e-commerce operation in

Latin America.
TikTok also offers free shipping and subsidies to influencers who peddle gadgets, clothes and makeup in videos and live streams in the US.
The company also claimed that the Black Friday and Cyber Monday deals in November also urged more than 5 million new US customers to shop on the short video platform. TikTok. has nearly 150 million users in the US.