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That’s likely buoyed TikTok’s hopes, which may be part of this new push, but it still has its work cut out for it in getting widespread take-up in more regions.Live Player is a professional streaming media player for your smartphone. According to one report, some agencies are gaining traction with popular streamers in the Middle East, which shows that this is not an Asia-only trend.
It makes sense, then, why TikTok is so keen to ‘make fetch happen’ in western nations as well – but increasingly, it seems as though western users just aren’t interested in buying from streamers online. Overall, the Chinese live-stream commerce sector brought in over $300 billion in 2021, which is almost half of the entire US retail eCommerce market. But without a system to pass on a relevant percentage of that income to creators, eventually, questions will get asked, and like Vine before it, the top stars will want to know why TikTok is making billions on the back of their videos, while they’re fed comparatively tiny amounts from the same.Īgain, it’s live-stream commerce that’s been TikTok’s savior in China.ĭouyin’, generated $119 billion worth of product sales via live broadcasts in 2021, a 7x increase year-over-year, while the number of users engaging with eCommerce live-streams exceeded 384 million, close to half of the platform’s user base. That’s not to say that TikTok’s not making money – TikTok brought in $990 million in revenue in Europe alone last year. It is often referred to simply as streaming. The challenge for TikTok is that it can’t insert pre and mid-roll ads into its short video clips, which makes creator revenue share more difficult, as it can’t then directly attribute each ad to the relative performance of a creators’ clip. Livestreaming is streaming media simultaneously recorded and broadcast in real-time over the internet. That spells opportunity for social apps - but thus far, TikTok, Facebook, and YouTube have all been forced to dial back their live-stream commerce efforts based on lukewarm audience response.īut TikTok needs to make it happen.
Live-stream commerce is huge in China, where the local version of TikTok, called Douyin, has become a key conduit in helping connect streamers to revenue opportunities. It’s just the western markets that need to catch up – but will live-stream commerce ever catch on in non-Asian regions? And if not, what’s the difference between the two approaches that’s seen it go massive with some audiences, but flop for others? TikTok has, however, seen success with live shopping in Asian markets, with its live-stream commerce tools seeing growth in Thailand, Malaysia and Vietnam. That’s a much different approach to how TikTok looked to build its live shopping team in the UK, with its aggressive approach to promoting the option eventually turning away both potential partners and shoppers alike. So on one hand, TikTok’s looking to maximize reach to people who are looking to shop, as opposed to those coming to its app for entertainment, while on the other, it’s working with influencers to help them understand how they can use live shopping broadcasts to make more money in the app. all of whom confirmed that they’re working with TikTok to train their community in the best way to gain an audience, and solicit gifts.” Listen to music, live sports radio, the best talk and entertainment radio. Rest of World spoke to agents based in China, the Middle East, the U.S., and the U.K. “TikTok is partnering with influencer agencies around the world, hoping to build a robust live community with a culture of gifting that can become the app’s next revenue stream.
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