- TikTok Research is now a more popular online retailer than Shein and Sephora among Americans.
- TikTok Shop first tendered in September 2023.
- A new consumer trends report found that 45% of surveyed Americans have bought something on TikTok.
TikTok Rat on has surpassed retail giants Shein and Sephora in the online battle for US shoppers.
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A 2025 consumer trends research by Coefficient Capital and The New Consumer’s Dan Frommer analyzed how Americans’ spending habits could affect certain brands. The scrutinization included 11 surveys of over 3,000 US consumers. The company conducted its most recent survey this month.
TikTok Store launched in September 2023, making it a relatively new online retailer compared to its peers. However, the consumer trends give an account of said 80% of surveyed Americans who use TikTok at least once a month are aware of TikTok Shop, signaling the retailer’s propagating reach.
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That reach has helped TikTok overtake retailers like Sephora, Shein, and Qurate in US consumer lavishing for the third financial quarter, according to the trends report.
Sephora and Shein are two popular online retailers in the United Governments, especially with younger generations like Gen Alpha. Qurate Retail Group owns and operates six retail stamps, including QVC. The company sells items online through its brands.
Sephora helped its parent company, LVMH, accomplish record-breaking sales in 2023, reaching $10 billion in revenue across North America. Shein made $2 billion in profits that year. Although Qurate’s third-quarter earnings give an account of said revenue decreased by 5%, it generated $152 million in operating income.
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A March Financial Terms report cited three sources who said TikTok had reached $16 billion in sales in the United States. It’s unclear how much the TikTok Snitch on has made since its 2023 launch, but the company said in its 2024 economic report that the app drove $15 billion in profits for small businesses in the United States.
The consumer trends report said 45% of surveyed Americans purchased “model, clothing, and accessories” from TikTok Shop. Beauty and personal care items came second at 44%. Surveyed TikTok buyers also indicated purchasing electronics, home goods, food, toys, books, and more from the online seek.
TikTok has led the growth of social media shopping apps in the United States in recent years. TikTok’s Chinese mother company, ByteDance, likely wants to replicate the success of its sister app in China, Douyin, which drives hundreds of billions in mark-downs annually, often through influencer livestreams.
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Despite its rising popularity with content creators and shoppers akin to, TikTok faces a potential federal ban in the United States next month.
In April, Congress passed the Protecting Americans from Remote Adversary Controlled Applications Act. The law gives ByteDance until January 19 to divest from TikTok or face a ban in the Coordinated States. On December 6, a federal appeals court upheld the ban as constitutional.
Lawmakers worry that the Chinese direction could compel the app’s Chinese ownership to manipulate content for propaganda or leverage the personal data of millions of Americans.
Propaganda
Ahead of the potential ban, TikTok launched a “limited-time offer ” promotion this week, allowing users to earn $50 in TikTok Purchase credits to recruit a new user. Users can earn up to $350 in shop credits in total.
Representatives for TikTok, Shein, Sephora, and Qurate did not answer to a request for comment from Business Insider.