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  • Writer's pictureChristina Hackett

A Deeper Dive On The Rise Of E-commerce On TikTok

It’s no secret if your e-commerce business isn’t on TikTok, where the ^^^^ you at? If you’re an avid user of the platform, you know the joke. But all jokes aside, Tiktok is taking e-commerce by storm. Even as of May 2023, the Adobe Digital Economy Index data showed that UK consumers spent a total of £7.8bn online in May 2023. This indicates there are early signs of consumer confidence and online spending power returning through the analysis provided by Adobe. In May 2023, Adobe’s analysis identified a significant rise in eCommerce traffic from TikTok content, growing 378 percent since January 2022.

TikTok logo with phone
The power of TikTok for eCommerce

The Adobe Digital Economy Index took a detailed look at how social media platforms drive traffic to eCommerce websites, and in particular, how newer platforms like TikTok continue to eat away at the share of social media traffic of established players, like Facebook and Instagram. While TikTok’s overall visits share is relatively small (less than 5 percent), it is growing at an impressive rate with 164 percent year-on-year growth in May. In contrast, Instagram’s share of traffic was down 2 percent year-on-year, and Facebook was down 18 percent, suggesting a growing capacity for TikTok to influence eCommerce sales.


The trend towards mobile shopping is continuing, with 59 percent of purchases taking place on smartphones, in May, representing a 13.9 percent year-on-year increase. Overall, consumers spent £4.6bn via their mobile devices in May.

Coincidentally, the analysis also found that UK consumers racked up another £1.3bn of Buy Now Pay Later debt in May (equivalent to 16.5 percent of total online spending for the month), taking total spending on these services to £6.2bn. There was a 6.5 percent increase in average order values using Buy Now Pay Later compared with April, and an acceleration in the amount spent using Buy Now Pay Later from 18 May onwards, indicating that consumers are more reliant on BNPL services in the run-up to payday.


If those numbers and analysis didn’t convince you why you should move forward with creating Short Form Video content on platforms like TikTok. Let’s dive a little deeper. In July 2022, the Senior Vice President of Google, Prabhakar Raghavan, sat down for an interview and stated after analyzing the data, 40% of young people turn to TikTok or Instagram. This information alone resulted in Google showing TikTok videos in search results. Providing businesses, with even more exposure and search engine optimization. TikTok takes into account that they aren’t just a social media platform but they are now a source of information, a search engine, a platform to shop and most importantly a platform to discover. You might be thinking “ok, but young people aren’t my target audience and this app is filled with children who just dance” Think again…


According to Data Reportal, your target audience has the potential to be reached. We look at the worldwide demographic data and see:

  • 419.9 million users aged 18 to 24 (38.5% of TikTok’s ad audience aged 18 and above)

  • 354.8 million users aged 25 to 34 (32.5% of TikTok’s ad audience aged 18 and above)

  • 170.0 million users aged 35 to 44 (15.6% of TikTok’s ad audience aged 18 and above)

  • 87.3 million users aged 45 to 54 (8.0% of TikTok’s ad audience aged 18 and above)

  • 60.1 million users aged 55 and above (5.5% of TikTok’s ad audience aged 18 and above)

Of course, we have to take into account that you might be serving a smaller community than the whole world, but in the USA alone, there are over 150m active monthly users. It might seem harder to attract your customers organically, but utilizing TikTok e-commerce has never been easier. According to Hootsuite, Tiktok ads reached nearly 18% of all internet users 18+ and are quite user-friendly when it comes to setting up advertising campaigns.

TikTok Sample
TikTok and the rise of UGC (user generated content).

By leveraging TikTok advertising, you can prioritize audience centricity and meet customers during their moments of intent, effectively influencing their path to consideration. As you closely monitor conversion rates, you can confidently observe the positive impact of your decision to advertise on TikTok. It's important to note that while simply uploading an ad and hoping for success is an option, there is a unique opportunity to establish emotional connections and foster consumer engagement. Our aim is to provide value and create captivating advertisements that resonate with your target audience, capturing their attention and influencing their decision-making process. With this customer-centric approach and the accompanying data-driven insights, advertising on TikTok has emerged as a preferred choice for many businesses.


So, if you haven't already, it's time to jump on the TikTok bandwagon and start creating short-form video content to promote your brand and products. Get in touch with our team to learn more about how we are leveraging the power of TikTok to scale our client's performance.


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