What if I told you we generated $15k in revenue with a single product in just 3-4 days on TikTok Shop? The unbelievable thing is, this brand and product are totally new. They didn’t have a single review, and the brand isn’t even registered. Isn’t Amazing?.
The seller launched this product about 8 months ago on Amazon and faced issues with high PPC costs. Even after 8 months, they were paying Amazon out of pocket and hadn’t made a single penny. Then we launched this on TikTok and achieved this sale.
The reason I’m sharing this is to motivate other Amazon sellers, whether they are successful or struggling, to try TikTok Shop. I’ve written a detailed post on how you can do it with no extra investment and achieve results like ours.
This post is for Amazon sellers, whether FBA or FBM, looking to sell on TikTok Shop without extra investment. It’s perfect for private label brands wanting to boost revenue or It could also offer a lifeline to those on the brink of shutting down their Amazon business due to fierce competition and escalating fees, providing an avenue to try TikTok Shop
I’ve received multiple queries from Amazon sellers and small brands on how they can sell on TikTok Shop, as it has experienced huge sales and profit differences compared to Amazon. Many of us know how quickly growth is possible on TikTok; one video going viral can lead to 1 to 1000 sales a day, which is never possible on Amazon.
As Amazon increases its fees day by day, under different names like replacement fees, increasing PPC bids, and more, and tries to extract money from sellers from all sides, competition also increases due to Chinese sellers. It’s very hard for new sellers to establish their business, and it’s also hard for old, established sellers to grow their business due to Amazon’s policies.
Below are detailed steps and Q&A about what you’ll learn in this post:
- How to create a TikTok Shop account?
- How to list the same Amazon product on TikTok Shop?
- How to get sales on TikTok Shop?
- TikTok Shop fees?
- How products will be delivered to TikTok customers from Amazon?
- Will TikTok be banned in the US?
1, Creating a TikTok Shop account:
You can create a TikTok account with your company details and with SSN for the US. Note that SSN is required for TikTok Shop in the US. TikTok Shop has no monthly fee like Amazon’s $39.99 for the professional plan a month. You can create an account for totally free.
2, Listing:
You can copy your Amazon listing and create it on TikTok Shop the same way with your UPC or GTIN. Copy the listing from Amazon and upload it on TikTok; you don’t need to create new images, new listing writing, or purchase new UPC-like stuff.
3, How to Get Sales:
There are three ways to get sales:
- organically
- paid ads
- Affiliate Influencers Marketing
We choose the affiliate creator option mostly because it’s a much cheaper option. TikTok has created an affiliate section in the seller account where both the seller and the creator can collaborate for free. You can contact creators and offer them a percentage on each sale, and they will make videos of your product and promote it. Creators will get a commission on each sale they make. In this way, both parties are profitable. You have to give free samples to creators to create videos of your product. The interesting thing is that you have to pay the creator a commission only once they make a sale; if they do not make any sales, there is no commission.
Affiliates are the best and cheapest way to get sales, as you don’t have to pay them anything until you get sales. For paid ads, you have to run ads on TikTok, which are cheaper compared to Amazon. For organic sales, you have to set keywords in your listing, and there are higher chances you will get organic sales as well, just like on Amazon.
4, TikTok Shop fees?
TikTok Shop charges a 6% referral fee plus $0.30 on each order. For example, if your product selling price is $20, TikTok will charge 6% of $20 + $0.30, totaling $1.5. In comparison, Amazon’s referral fee is 15%, meaning you would pay $3 for $20 sales. TikTok has no monthly fee, whether you’re an individual seller or a company account.
5, How products will be delivered to TikTok customers from Amazon?
For sellers doing FBA, Amazon offers a program called “MCF (Multi-Channel Fulfillment).” In this program, sellers can send their orders to outside platforms like Shopify, TikTok, or eBay from Amazon. Amazon picks the order from its warehouse inventory and ships it to the customer outside, charging you a shipping fee. Amazon gives you the option to ship with blank packaging or Amazon packaging. If you choose blank packaging, Amazon delivers in unbranded packaging or in courier packaging.
NOTE: Please keep in mind that MCF is not reliable for the long term because Amazon’s MCF charges are also high compared to the market, but it’s the best option to test your product on TikTok Shop. If your product succeeds on TikTok, you’ll deliver initial orders through Amazon, and for the long term, you’ll get stock from your supplier at your home or use any third-party 3PL warehouse services.
If any seller is doing FBM and has all product stock at their house or warehouse, they can choose the platform shipping option from TikTok Shop. Once they receive an order, they can generate the label from TikTok Seller Central and ship it. TikTok also offers FBT (Fulfillment by TikTok) as FBA, but this option is not available for all sellers; mostly, TikTok shows this option to those accounts with a good sales velocity. If you have your warehouse and are already doing FBM stuff, TikTok is very convenient for you.
6, Will TikTok be banned in the US?
As we are all aware of the conflict between TikTok and the US government, a bill has also been passed. Yes, the bill is passed on, but according to this, TikTok has 240 days to change the CEO to a US resident, or TikTok will be banned in the US. It’s highly possible TikTok will agree to US policies and may change the CEO because their most earned and established market is the US. They have a lot of investment there and are still investing more in TikTok Shop. There is a higher chance it will occur. But in case TikTok is banned, which would be Jan. 15, 2025. In addition, the law gives the U.S. president the ability to grant a one-time extension of “not more than 90 days” if the president determines that ByteDance has a legitimate sales negotiation in progress to sell its TikTok stake. That would make the sell-or-ban date April 19, 2025.
Incase of ban, We all still have 7-10 months to play and earn.
I am not encouraging People’s to invest a lot in TikTok Shop, but I highly encourage sellers who are already selling on another platform and already have products with stock to try it because they can do it without any investment. But if it is not banned after January 2025 and they also don’t start right now, they will only have the regret option because at that time, competition will increase a lot, and it will be difficult to establish. TikTok is increasing its features and services day by day in the US. If there are higher chances of a ban, why is it investing more? Also, TikTok has the highest investment in the US, so there are higher chances they will not leave like this; they will definitely agree with US policies. So if anybody is not starting TikTok Shop due to this issue, they should not do this.
P.S. This post isn’t promotional, but it’s exactly how i launched Amazon brands on TikTok Shop and experienced significantly higher sales than on Amazon. What took us a year on Amazon, with significant spending on PPC and ranking our product, we achieved in just 2 months on TikTok Shop, and the results were even higher. If anyone wants confirmation, I’ll show everything (our Amazon and TikTok sales for the same products, growth graph, revenue, etc.) in a live meeting, just as explained in this post.
I recommend you to also launch your existing brand on TikTok and experience if it works for you.
If you’re a total newbie, this post definitely can’t make you an expert or solve all your queries in one go. However, it can show you the right path and cover 60-75% questions. If you have any confusions or questions about selling on TikTok or if you’re facing any issues, feel free to ask.
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Farhan Jamil