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Highlights:
TikTok is setting up partnerships between influencers and manufacturers to develop product lines for followers.
The plan is to allow influencers to sell personalized products directly on TikTok Shop.
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TikTok is reportedly connecting manufacturers with creators to help them develop and sell their products on TikTok Shop, according to Business Insider. The report, citing two sources, said TikTok plans to let influencers develop and market their product lines to their followers.
How TikTok currently works with products and influencers
Currently, TikTok has a first-party marketplace. It sources products from manufacturers and manages marketing and logistics. This system connects products with influencers, who earn commissions for promoting items in their videos. Now, the company is looking to let creators launch and sell their products on the platform.
TikTok is not the only platform helping creators get into product development. Startups like Pietra specialize in connecting creators with manufacturers. Their programs allow creators to design and test products.
This model has also proven successful for creators like MrBeast, Logan Paul, and Emma Chamberlain, who have turned their large followings into sales of branded products, from chocolate bars to coffee.
This plan suggests that TikTok wants to become a bridge between manufacturers and creators on its platform. However, the company faces regulatory challenges in the U.S. A law passed in April could force it to divest its U.S. operations or face a ban in January.
11/04/2024
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