From 2 September, TikTok Shop will raise its UK seller commission fees from 5% to 9%.
- The platform aims to build the “marketplace of the future” by emphasising live commerce and shoppable content.
- A new programme, “seller missions,” allows sellers to reduce fees by creating a target number of live or shoppable videos.
- Plans to launch a co-funded free shipping model are set for 4 September, enhancing order conversions through shared shipping costs.
- Since its inception in 2021, TikTok Shop’s seller fees have remained unchanged until now.
TikTok Shop is set to increase its seller commission fees in the UK from 5% to 9% starting 2 September. This change is part of TikTok’s broader strategy to evolve into the ‘marketplace of the future’, with a significant emphasis on live commerce and shoppable video content.
In an effort to motivate sellers, TikTok is introducing a new initiative called ‘seller missions’. This programme allows sellers to lower their commission fees by meeting specific goals related to the creation of live or shoppable videos on the platform. By collaborating with popular creators, sellers can expand their audience reach and enhance engagement through these interactive formats.
Alongside the fee changes, TikTok Shop will also introduce a co-funded free shipping model on 4 September. This initiative enables sellers to offer free shipping by sharing part of the shipping costs with the platform. The aim is to increase order conversions and make a broader range of products available with the appealing option of free shipping for customers.
Despite these changes, TikTok Shop assures its sellers that their fees will remain competitive in comparison to other marketplaces. Since the platform’s launch in 2021, this is the first adjustment in fees, highlighting TikTok Shop’s commitment to investing in improved operations and services to aid seller success.
Jan Wilk, head of operations at TikTok Shop UK, emphasised the focus on improving the marketplace and enhancing seller and buyer experiences. According to Wilk, ‘The sellers and brands that have the most success on TikTok Shop are those that engage with their community via live and shoppable videos, and we are confident our new initiatives to boost content creation will supercharge sales.’
These strategic changes are poised to shape TikTok Shop into a dynamic and future-focused marketplace, enhancing seller capabilities and customer experience.
