TikTok Pushes Holiday Shopping With Retailer Incentives

TikTok is making a significant push to expand its eCommerce presence this holiday season, offering merchants substantial incentives to drive sales through TikTok Shop. The platform is providing retailers with coverage for delivery costs and cash incentives based on sales growth, with some merchants receiving up to $20,000 in rewards.

Replicating China’s eCommerce Success

This initiative follows the remarkable success of Douyin, TikTok’s China-only version, which generated $490 billion in gross merchandise sales in 2024. Douyin transformed from minimal commerce activity in 2019 to becoming an essential shopping platform for millions of Chinese users. ByteDance is now working to replicate this model in Western markets, though progress has been slower than anticipated.

Strong Growth Momentum in Q3

TikTok Shop demonstrated impressive growth in recent months, with gross merchandise value reaching $2.5 billion between September 2024 and August 2025, compared to $1.1 billion in the previous year. The platform also moved approximately 139 million units during this period, showing steady upward momentum.

Despite Western consumers’ initial hesitation to integrate shopping into their social media experience, adoption rates are gradually increasing. TikTok’s management hopes this holiday season’s incentives will accelerate growth and bring Western market performance closer to Douyin’s extraordinary figures. However, cultural differences between Chinese and Western app usage preferences continue to present challenges for the platform’s eCommerce ambitions.