Is TikTok solely for young, B2C audiences, or is there scope for B2B marketing on this platform? Let’s see how B2B marketers can leverage TikTok Commerce to their advantage.
Table of Contents
What Is TikTok Commerce and How Does It Work?
TikTok Commerce makes shopping on TikTok easier and more convenient. Some of the specific features of TikTok Commerce include:
- Shoppable Ads: these are video ads with clickable product links that enable a user to purchase something directly on TikTok, bypassing external websites.
- Live Shopping Events: a feature that lets brands and KOLs broadcast live and chat with users, introducing products in real time and encouraging them to buy in a live chat. It is a great way to involve the audience and show the product in real-time.
- Product Catalogs (Limited Availability): A few brands that have received the “seal of approval” from the TikTok Shop gods will be permitted to create a product catalog for their brand. When a user visits a brand’s profile, they may look at the catalog and click to a product page for additional details and shopping. This privilege has not yet been given to brands. Please notice that some features are in beta and have specific limitations for who is deemed worthy.
It’s important to note that while shoppable ads and live shopping are widely available, features like product catalogs are still under development and have specific eligibility requirements for brands.
What Is a TikTok Shop?
TikTok Shop is a part of TikTok Commerce. TikTok Shop is the core functionality that allows for in-app e-commerce on TikTok.
Think of scrolling through TikTok and being able to buy items from videos directly—that’s what TikTok Shop enables. It includes key features such as livestream shopping, video advertisements, and a standalone Shop tab for your profile.
Opening your shop is easy: Apply, get approved, upload your products, and design your storefront. Customers can then buy without ever leaving the app. Learn more about how to open a TikTok shop.
Is it trustworthy? Like any marketplace, trust depends on sellers. TikTok offers secure payments and buyer protection, but users should check seller ratings and reviews before buying.
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What Businesses Does TikTok Commerce Suit?
TikTok Commerce is especially useful for businesses targeting younger audiences who like engaging, video-based content. Ideal for:
- Fashion and Beauty Brands: Have beautiful visuals that can easily be showcased in videos.
- Lifestyle and Fitness: Products related to health, wellness, and home improvement that align well with personal development and aesthetic content on TikTok.
- Tech and Gadgets: New gadgets and technological features that can be expressed through creative and informative ways. This is not a comprehensive list, as you will see later in this blog post.
Essentially, any business that can showcase its product value through short, engaging video clips stands to benefit from TikTok Commerce.
What Are the Benefits of TikTok Commerce?
TikTok Commerce offers a unique blend of entertainment and shopping, creating exciting possibilities for brands:
- Engagement Engine: TikTok algorithm keeps users glued to it. For example, Dove partnered with creators to integrate their body wash into a trending dance challenge, which increased user engagement and brand awareness.
- Reaching the New Generation: Gen Z and Millennials hold significant buying power. TikTok audience is widely comprised of this age group, making it a valuable tool for companies to reach this influential audience.
- Shoppable Entertainment: TikTok Commerce lets users shop while having fun. Imagine watching a video of a product you like, and then being able to buy it immediately. This feature brings shopping and entertainment together. When a user sees their favorite brands in TikTok videos, it makes them feel more connected. This, in turn, can significantly increase conversions and sales.
What Are the Potential Challenges of TikTok Commerce?
While the potential is undeniable, there are challenges brands need to consider before venturing into TikTok Commerce:
- Creating for TikTok: Standing out takes consistent, high-quality content. It can be demanding – think creativity, video editing, and keeping your finger on the pulse of trends.
- Cutting through the noise: It’s crowded out there! Develop a strong brand voice, experiment with formats, and find ways to shine brighter than the competition.
- Staying nimble: TikTok is ever-changing, with new features and evolving policies. Be adaptable and willing to adjust your approach to stay compliant and reach your target audience. Stay informed and keep your strategy flexible.
The good news? TikTok Commerce offers a powerful way to connect with new audiences, boost sales, and build brand loyalty. Just don’t expect it to work like a charm off the bat.
Is TikTok Only for Young, B2C Audiences?
Is TikTok Good for B2B Marketing? Absolutely. The scope for B2B marketing on TikTok is expanding as the platform matures. As business professionals and decision-makers spend time on TikTok for both leisure and educational purposes, they become reachable through strategic content.
The TikTok landscape is evolving, and B2B brands are starting to take notice. B2B brands leverage TikTok to showcase their industry expertise, company culture, and behind-the-scenes processes, making their business more relatable and accessible to potential clients and partners.
So the perception of TikTok as solely a B2C (business-to-consumer) playground is fading fast. Here’s why:
- Rich Content Ecosystem: Unlike traditional B2B marketing channels, TikTok offers a vibrant space for storytelling. You can create engaging content that showcases your company culture, product applications, or industry expertise. This humanizes B2B brands and fosters deeper connections with potential clients.
- Diverse Audience Reach: While a significant portion of TikTok users are younger demographics, the platform’s growth is attracting a wider audience. This includes decision-makers and influencers within B2B buying teams. B2B marketers can leverage creative content to reach these target audiences in a space where they’re actively consuming information. On average, 61% of B2B marketers are already using TikTok.
- Trendjacking and Community Building: B2B brands can participate in trending challenges or create their own business-related trends. This fosters a sense of community and allows B2B companies to engage with potential clients in a fun and interactive way.
- Early Mover Advantage: As TikTok commerce continues to evolve, B2B companies that establish a presence early will be well-positioned to capitalize on future opportunities. This could involve direct product sales, B2B lead generation, or even influencer marketing partnerships.
The rapid growth of TikTok presents a unique opportunity for B2B marketers. Ignoring TikTok could mean missing out on a powerful tool to build brand awareness, engage with potential clients, and ultimately drive business growth in the digital age.
6 Examples of B2B Businesses Using TikTok
While TikTok Shop and TikTok Commerce are gaining traction, real-life examples of B2B businesses directly selling through them are still emerging. However, several B2B companies are using TikTok for creative marketing to target their audience. Here are 6 examples:
- Shopify: This e-commerce platform uses TikTok to offer business and productivity tips, showcasing how their product helps small businesses. This establishes Shopify as a resource and positions them for future B2B sales.
- Adobe: A leader in creative software, Adobe uses TikTok to target marketing professionals and creatives. Their content highlights features and use cases of their products in an engaging way, building brand awareness among potential B2B customers.
- Salesforce: This CRM giant uses TikTok to showcase the power of their customer relationship management tools. Their content might target sales managers or business owners, demonstrating how Salesforce can improve their operations.
- HubSpot: A marketing and sales platform, HubSpot uses TikTok for B2B marketing by offering social media marketing tips and tricks. This valuable content positions them as a thought leader and attracts potential B2B customers who might be interested in their platform.
- Slack: The popular communication tool uses TikTok to target businesses looking for better team collaboration solutions. Their content might feature funny skits or explainer videos highlighting the benefits of using Slack for internal communication.
- Hyundai: Hyundai used TikTok to showcase the new electric car IONIQ 6 through a variety of fun video ads featuring Kevin Bacon and Sosie Bacon. Hyundai’s combination of traditional TV advertising and TikTok content led to a 13% increase in ad recall, a 3.5% increase in brand awareness, and a 2.5% increase in brand awareness.
These examples showcase the potential for B2B businesses to leverage the platform for creative marketing and brand building, which can lead to increase in B2B sales.
How to Use TikTok for B2B Marketing
Here’s how you can stand out on TikTok as a B2B business:
- Share industry insights: Educate your audience with bite-sized tips and trends, establishing yourself as a thought leader.
- Show your team: Humanize your brand with employee spotlights and behind-the-scenes glimpses.
- Demonstrate impact: Use creative storytelling to showcase product benefits and client success stories.
- Collaborate with others: Partner with relevant influencers and businesses to expand reach.
- Run hashtag challenges: Spark user-generated content and boost brand awareness with industry-related challenges.
- Go live: Host Q&As, webinars, or discussions to connect with potential clients in real-time.
Remember that TikTok blends entertainment and information. Grow your business based on that.
The Future Development of E-Commerce on TikTok
TikTok’s e-commerce is booming. It’s changing the game by combining fun content with easy shopping. Here’s what’s coming next:
- AR lets you try things on virtually. Imagine lipstick shades or shoes—all from your couch.
- AI gets even smarter at recommending what you want. Get ready for personalized shopping suggestions.
- The line between online and stores blurs. Scan QR codes to find videos and reviews in stores.
- TikTok goes global. New markets bring new opportunities.
- Brands and TikTok become best friends. Expect more partnerships and payment options.
B2B could benefit from these features as well. Here are some examples:
- AR lets companies showcase products in a whole new way. Imagine virtually trying out machinery before you buy it!
- AI helps target the right businesses. The improved AI recommendations will also help B2B brands target other businesses better.
This could lead to more sales and faster deals for B2B companies.
So Does TikTok Shop Work?
So does TikTok shop work? Yes, it does pretty well: 70% of TikTok users discover new brands and products on TikTok. It is becoming a big platform for doing e-commerce, and that’s something hard to ignore.
Forget TikTok being just for B2C marketing. Businesses of all sizes can use TikTok’s content features to tell their stories. As TikTok grows, its commerce and content tools are becoming essential for any business.