The social media app is shutting down the feature, used by brands including Kylie Cosmetics, which lets Shopify sellers sync their product catalogs to TikTok. It will be removed Sept. 12 in favour of its in-house tool TikTok Shop, according to TikTok’s website FAQ. (Insider)
Talking point: The feature was introduced in the U.S. and U.K. in August 2021. With TikTok Shop, the company will be able to see users’ shopping behaviour since it won’t redirect them to Shopify or other third-party platforms. The push to TikTok’s tool comes as the company bets on growing its social shopping business. TikTok Shop is expected to lose more than US$500 million in the U.S. this year, driven by investments in staff and merchant subsidies, according to a report by The Information. The loss is hardly substantial considering its parent company ByteDance earned US$18 billion in operating profit last year, but shows its insistence on expanding in the U.S. despite government threats to ban the app over national security concerns.