TikTok's e-commerce market strategy in the U.S. is undergoing an important shift, and this change shows the strong influence of "overseas influencer marketing". Recently, there was news that TikTok's semi-closed-loop model in the US region is expected to be closed in the near future, and the full closed-loop model will be fully developed. This shift has had a significant impact on merchants who rely on a semi-closed-loop model, especially in the areas of "overseas influencer marketing" and "overseas KOL promotion".
In the semi-closed-loop model, merchants bind to TikTok through third-party platforms (such as Shopify), so that users can click to buy through the small yellow car and homepage window in TikTok**, and then jump to the independent station to place an order. This model not only strengthens "overseas celebrity marketing", but also provides an effective way for "overseas KOL promotion". And this model was also the mainstream on Douyin in our country for a period of time, when Douyin's small yellow car could jump directly to **, which was an early practice of "overseas Internet celebrity marketing". However, in less than half a year, this model has been transformed into a full closed-loop model, which means that it is no longer possible to jump to an independent station through the small yellow car for trading.
This can be done domestically, but it doesn't mean that it can be done abroad. The enforcement of anti-monopoly laws in foreign countries is very strict, which has had an impact on the strategy of "overseas KOL promotion". Therefore, whether TikTok will close the jump to third-party links in the context of such an era has become a worthy question. Considering geopolitics and local laws in the United States, it is a high probability event that semi-closed-loop and full-closed-loop are shared, but in a short period of time, full-closed-loop stores will receive more traffic support. This is an important turning point for the "overseas influencer marketing" strategy, because TikTok's fully closed-loop small stores need role models to attract more merchants to settle in.
However, this shift has also caused some merchants to express concerns about the high barrier to entry and policy environment for small TikTok stores in the United States. Under the fully closed-loop model, merchants need to have a U.S.-based warehouse and meet the requirements for fast shipping, in addition to a series of registration and qualification requirements. This not only increases costs, but also increases the complexity of operations, which has an impact on the strategy of "overseas influencer marketing".
Some merchants are also worried about the stability and uncertainty of the full closed-loop model, and they believe that TikTok may raise its standards and increase the entry threshold after the incentive period, which brings challenges to the "overseas KOL promotion" strategy. They hesitate to become "guinea pigs" trying new models.
Despite these challenges and uncertainties, there are still merchants who have found success in TikTok stores. The following is a successful TikTok store case study that shows how to find new opportunities in a changing market environment and effectively use the "overseas influencer marketing" strategy.
At TikTok Shop, Sweet Furniture's armless chair became a success story. This item has been warmly welcomed by users due to its unique design and comfort. Sweet Furniture's marketing strategy focuses on partnering with influencers in the mid-waist and tails to launch products**, which is at the heart of its "overseas influencer marketing". These ** usually highlight the advantages of armless chairs in terms of sitting freedom by comparing the comfort limitations of conventional armchairs, and successfully attract the attention of a large number of users. According to the data, the total sales of this product in the store exceeded 43,000 units. In addition to armless chairs, other products that sold well in the store included mattresses and lockers, with 24,000 and 21,000 units sold, respectively. In the price range, the median price of the top three best-selling products is $70.
How does Sweet Furniture do it?Overseas Internet celebrity Shon is a small blogger at the tail, but about sweet furniture** in TikTok*** the number of 5.2 million and the number of likes is 1560,000, the ** mattress sales volume with goods is 7121. The general structure of the script is:
I saw a mattress online.
I read the reviews and decided to give it a try.
The reason is that I have a problem with my back, and using it helps me a lot with sleep.
Compared to other platforms, TikTok is the cheapest to buy these kinds of products.
The average daily broadcast of overseas Internet celebrity shon is only more than 200, but the amount of *** is 52m。It is not difficult to see that the ** is through the delivery of traffic, based on the ** has a certain conversion rate with goods, so more than 5 million ** volume has been invested, according to the CPM of the US delivery traffic of 2-3 US dollars, the cost of the ** delivery is about $10k-15k. The mattress is priced at $499-$59.9. Based on 7,121 orders, regardless of the return rate, the total GMV generated was $360,000. For example, after deducting such as influencer cooperation costs, delivery costs, logistics costs, overseas warehousing costs, timeliness costs, production costs, platform commissions, etc., how much profit can be left?This estimate is left to all the judges to play their own role.
There are two voices: positive and negative about the brand's product reviews on TikTok. Positive reviews are the majority, with negative reviews focusing on missed shipments, damaged packaging, and product quality issues. The brand's strategy is to observe the conversion rate of the influencer first, and if the conversion effect is good, it will continue to increase the promotion of the influencer. Therefore, we can see that although the number of fans of some Internet celebrities may only be about 100,000, their ** volume can reach the level of 10 million, which is the result of advertising traffic placed by merchants.
Insmark broke down the merchant's marketing methods by gaining insight into the case of the Sweet Furniture TikTok store. In this revolution of the TikTok e-commerce market, the success story of Sweet Furniture has brought us enlightenment. On the one hand, it shows how to use the characteristics of the platform and overseas influencers to increase sales.
On the other hand, it also reminds us that product quality, brand value, and customer service are the keys to sustainable success. Merchants should not ignore the quality of products and services while pursuing sales. It's just a balance, but it's also a challenge.
Article classification: Overseas Influencer Marketing, Overseas Influencer Marketing, Overseas Influencer Promotion, Overseas MCN Brand Promotion.
InsmarkMCN (InsmarkMCN.)com)Founded in 2018, it has developed into a comprehensive overseas marketing planning company integrating advertising planning, marketing, public relations and influencer brokerage. Headquartered in Guangzhou Wanbo CBD, the company is a well-known overseas MCN organization and overseas KOL promotion agency in the industry, with multiple functional departments such as production department, planning department, promotion department, and celebrity marketing department.
Yingma Media focuses on overseas social media marketing and promotion, and has established a resource library of 300,000+ overseas Internet celebrities so far, and has reached cooperation agreements with 30,000+ overseas Internet celebrities. We help Chinese brands achieve effectiveness in the European and American markets**, reaching more than 1.5 billion users in total. Yingma Media is an excellent MCN agency officially recognized by TikTok, and provides professional overseas Internet celebrity marketing services for first-line brands such as Alibaba, ByteDance, Temu, Perfect Diary, Anker Innovations, and Laifen.
Overseas influencer marketing