Why TikTok’s Livestream Play in the U.S. Faces an Uphill Battle
Replicating China’s livestream model will take time and a cultural shift
The Information recently published two excellent articles: "TikTok Tries to Woo American Shoppers, One Livestream at aTime" and "Why Shopping Livestreams Are Taking Over TikTok". These pieces dive into how TikTok has shifted from using heavy discounts to leveraging its content-driven social media platform to strengthen the social-commerce trend. TikTok Shop has seen solid growth, with U.S. sales surpassing $1 billion per month since July. Executives recently told investors they expect to reach $17.5 billion in gross merchandise sales by year-end—10 times the 2023 figure, according to Bloomberg.
Even with this momentum, the path ahead won’t be easy. It comes down to three big challenges:
Replicating China’s livestream model will take time. China’s livestream commerce went through multiple iterations, and even at “China speed.” It took a few years to build an industry of supporting functions and cultivate a streamer base to see the full results. Cr…
