A study by Dash Hudson and NielsenIQ has unveiled promising opportunities for US brands considering tapping into the TikTok Shop sales trend.

TikTok Shop offers the opportunity to directly sell products within the TikTok app, creating a seamless shopping experience for users and disruptively carving out space in the e-commerce landscape.

TikTok has gained immense popularity among US consumers in recent years, providing an opportunity for brands to reach a wide audience and bring them down the funnel to conversion.

Beauty sales on TikTok Shop

TikTok Shop was launched in the UK in 2021 and in the US in April 2023. Sales data, including the beauty industry, demonstrates the potential opportunity in the US market, in which in-store beauty sales are five times greater than in the UK.

In its first eight months of activity to November 2023, the US saw consistent monthly average growth of 116% in TikTok Shop beauty sales.

The top beauty brands on TikTok Shop are Made by Mitchell, Nature Spell, PLouise, BPerfect Cosmetics and The Beauty Corp, with an average price point of $13.01.

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In addition to holding one-third of all beauty sales on TikTok Shop, the top five brands average 121% more shares and 82% more video views than the TikTok beauty benchmark.

Using TikTok Shop for marketing

NielsenIQ vice-president of beauty thought leadership Anna Mayo commented: “With its sights set on the US, the largest global beauty market, TikTok Shop made its mark by reaching twelfth position in beauty and personal care e-commerce retailers in the US by November 2023.”

Dash Hudson CMO Kenner Archbald added: “Social media has democratised the competitive landscape for brands. By strategically curating engaging content, brands now hold the power to not only achieve traditional social metrics such as awareness, engagement and reach on social platforms, but also to leverage the social space as a vehicle to contribute to brand growth. With the right prioritisation, any brand can win.”

A recent survey by Capterra found that TikTok has become the premier platform for small to medium-sized businesses and retailers aiming for high engagement and a robust return on investment.