Will 2024 be the year that TikTok finally wins over Western consumers with its in-steam commerce options?

TikTok is focusing on maximizing in-app sales, with Douyin, its local app, generating most of its income in China, and is considering adapting this model for other markets.

TikTok plans to increase its US e-commerce business to $17.5 billion this year, aiming to grow its US e-commerce business tenfold. However, Western consumers have shown less interest in in-stream shopping.

U.S. consumers primarily use TikTok Coins for purchases, indicating potential for expansion. TikTok may consider integrating food delivery, a success on Douyin.

TikTok is expanding into local services and incorporating its own versions of Temu-like products to boost its utility and increase spending. The company is also increasing merchant fees and focusing on extending shopping behaviors. However, TikTok’s revenue share process is not ideal, with its Creator Fund becoming problematic and ad share processes not being a viable option. This could help boost the app’s utility and revenue.