Will TikTok Compete with Amazon in eCommerce?

TikTok recently listed job postings, hiring staff to build fulfillment centers in the US for warehousing, delivery, and processing returns. The move elicited speculation about the social media giant's intention to join eCommerce.

If the reports are correct, the move makes TikTok a direct opponent to Amazon, the company with the largest market share in eCommerce. It is too early to tell whether the American market will trust the social media company's supply chain system.

Does TikTok Have a Chance at eCommerce?

A survey by Tituiti on social media security shows that only 3% of users trust TikTok on privacy matters. On the other hand, 12% of the respondents chose Facebook. Amazon retains the lead because of its tried and tested privacy protection, even with TikTok's entry into the market.

However, only 40% of respondents believe in Amazon's security measures. TikTok has the potential to take the lead in the future because younger generations trust it. The platform also has a heavy purchasing influence on its users. Regardless of its strengths, TikTok still has a long way to prove it is a secure platform for eCommerce.

Will TikTok Become a Major Amazon Competitor?

TikTok is currently hiring for positions related to building out fulfillment capabilities in the US, aimed at providing warehousing and supply chain systems to support ecommerce efforts. As many have noted, this may put the short form vertical video giant in direct competition with ecommerce titans…

TinuitiAndy Taylor