TECH - Threat For Amazon? TikTok Planning Massive US E-Commerce Expansion With $17.5B Revenue Goal: Report | Benzinga
ByteDance Ltd-owned TikTok is reportedly planning a massive expansion of its U.S. e-commerce business. The Chinese social media powerhouse aims to reach revenues of $17.5 billion, posing a unique threat to the e-commerce behemoth Amazon.com Inc (NASDAQ:AMZN).
What Happened: Insiders revealed that the U.S. version of TikTok Shop is set for a drastic increase in merchandise volume by 2024. TikTok’s unique model, which blends online entertainment with impulse buying, could challenge not only Amazon but also Chinese e-commerce platforms like PDD Holdings Inc (NASDAQ:PDD) owned Temu and Shein, as per Bloomberg report.
By leveraging its extensive social media reach and viral videos, TikTok plans to attract potential buyers. With the majority of its $20 billion in global gross merchandise value generated in Southeast Asia last year, TikTok is now focusing on boosting sales in the U.S. and Latin America.
ByteDance’s revenue saw an approximately 30% surge in 2023, surpassing $110 billion and outpacing the growth of social media competitors like Meta Platforms Inc and Tencent Holdings Ltd.
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TikTok Shop, one of ByteDance’s fastest-growing ...