TikTok’s Supply Chain Play –
TikTok’s Supply Chain & SEO Strategy Just Tipped Off E-commerce Brands. Why does this matter?
TikTok is really going after Amazon and Shopify after this latest move:
Earlier this week (October 2022), rumors started spreading (don’t worry we’ll show you evidence) that TikTok would essentially be chasing Amazon by opening up fulfillment centers:
“Responsible for the business development of fulfillment service, delivering the business plan and carrying out the result in terms of GMV, number of orders and SKUs.” – TikTok Global Fulfillment Centre
What does this mean in general?
TikTok is working on opening up their own warehouses, product fulfillment centers, and essentially entire e-commerce supply chain. Details in the job postings point to them handling international deliveries, returns, customer service, and more that would directly compete with Amazon and Shopify.
Here’s what happened:
TikTok posted a few job openings on their LinkedIn page:
- Business Solutions and Merchant Development Manager, Global Fulfillment Centre
- Logistics Solutions Manager, Global Fulfillment Centre
- Operation Research Engineer- TikTok E-commerce Global Supply Chain and Logistics
Why does this matter?
From inside the marketing industry, we should always be up to date on where social media platforms are heading, how algorithms change, where users engage, etc., so we know how best to advise and execute for our clients. It’s by keeping an eye on even the subtlest of changes that Greenpepper Studios saw TikTok beginning to beta test SEO-related features, before ever getting an official statement from TikTok about SEO dashboards or ad manager updates.
But beyond that, this matters ESPECIALLY for any brand or business that would ever sell a physical product on TikTok. Essentially, if you’re an e-commerce brand, your ears should be PERKED right now.
What does this mean for your brand’s e-commerce TikTok marketing strategy?
TikTok is inadvertently providing proof that they’re going to invest even more in e-commerce users/brands as a revenue stream. By making it possible for your brand’s target audiences to complete a full product purchase without ever leaving TikTok’s ecosystem, TikTok is prioritizing e-commerce sellers on their platform.
What else do we know?
We’ve already talked about how to market on TikTok, especially using TikTok SEO. With this new development, we know that this will only become more important for brands
With people already turning to TikTok over Google in general, TikTok SEO features being continually tested and rolled out, and this new investment in product supply chain/fulfillment centers, this means strategic keyword optimization in your TikTok videos and content strategy is more imortant than ever. When your target audience searches a term, you’ll want to show up to answer their questions, show off your product, entertain them, and sell directly. And so far, you’ll want to do so both with organic content, normal ads, and Spark Ads.
You can learn more about all that stuff here, with the stats on this page, or by asking us.
If you want help putting your TikTok marketing strategy into action, get in touch with us about our TikTok Incubator & Ground Control offerings. The game keeps changing, but we’ve got forward-thinking players at your disposal.
And follow us on LinkedIn to stay up to date on all things TikTok strategy.
GPep, signing off