Well, the app may be gone soon (thanks, Biden!), so enjoy it while you can.
As you probably remember, TikTok officially launched its TikTok Shop in the United States in September 2023. It was described as a seamless way for users to discover and purchase products directly within the app. Quite convenient. Quite clever, if you think about it: influencers and content creators can sell products through engaging content with integrated shoppable videos and live streams.
This newcomer in the e-commerce world (2023 is not that far away) has swiftly outpaced established players like Sephora, Shein, and Qurate in U.S. consumer spending. According to a 2025 consumer trends report cited by Business Insider, TikTok Shop has rapidly captured attention, particularly among TikTok users, with 80% of monthly app users surveyed reporting awareness of the Shop feature since its launch.The report goes to claim that TikTok Shop surpassed its competitors in US spending during the third financial quarter, despite their strong performances. Sephora, for instance, helped its parent company LVMH achieve record-breaking North American sales of $10 billion in 2023, while Shein generated $2 billion in profits that same year.
TikTok’s momentum is fueled by its social media shopping model, offering a wide range of products from fashion and beauty to electronics and home goods. A March report estimated TikTok’s US sales at $16 billion, with its Shop feature contributing heavily to its 2024 small-business-driven revenue of $15 billion. TikTok’s influence mimics the success of Douyin, its Chinese counterpart, which dominates social shopping with billions in annual sales.
However, TikTok faces uncertain times ahead, as you know. A potential national ban looms as lawmakers cite security concerns about its Chinese ownership, demanding ByteDance divest by January 2025. In response, TikTok has launched aggressive promotions to bolster user engagement, offering credits for recruiting new shoppers.
It’s quite ironic. The TikTok Shop, this bright and shining star of capitalism, excels in selling goods, but it’s getting banned, because of sketchy connections with China.
