TikTok Reportedly Set To Ban External E-Commerce Links To Promote Its Own Digital Marketplace
Portfolio Pulse from Benzinga Neuro
TikTok is planning to ban links to external e-commerce platforms like Amazon Inc. (NASDAQ:AMZN) to promote its own digital marketplace, TikTok Shop. The move is expected to compel users to utilize TikTok Shop for in-app purchases. TikTok Shop is projected to incur a loss exceeding $500 million in the U.S. this year due to substantial investments. Despite slow traction in the U.S., TikTok Shop's daily consumer spending has risen significantly.
August 24, 2023 | 3:38 pm
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Amazon may see a decrease in visibility and potential sales on TikTok due to the planned ban on external e-commerce links.
The ban on external e-commerce links on TikTok could lead to a decrease in visibility for Amazon's products on the platform. This could potentially lead to a decrease in sales originating from TikTok.
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