According to Business Insider, TikTok Shop is finally breaking through with major brands just in time for Black Friday, with Samsung US, Ralph Lauren, and the Disney Store all launching on the platform in November. The Disney Store began listing Mickey Mouse T-shirts and Frozen plush toys on November 20, while companies are running Black Friday flash deals and livestream sell-a-thons. TikTok Shop drove over $100 million in single-day Black Friday sales in the US last year, and social commerce purchases are up 29% this November compared to 2022. As competition heats up, brands like L’Oréal Paris are offering 60% discounts, and some are lowering influencer commission rates while increasing ad spending through TikTok’s GMV Max product to ensure video reach.
The cautious brand approach
Here’s the thing about big brands – they’re rarely first movers. They wait until platforms prove themselves, which is exactly what’s happening with TikTok Shop now. William August from Outlandish put it perfectly: “The bigger brands don’t care about their first mover advantage, so they wait until it’s more mature to move in.” And that maturity moment appears to be now, with the threat of a TikTok ban fading and clear evidence that the platform can drive serious sales. Remember when Amazon faced similar skepticism from big brands worried about marketplace quality? We’re seeing the same pattern repeat.
The changing creator economy
Now here’s where it gets really interesting for creators. As brands pour more money into TikTok Shop ads, some are actually lowering commission rates to balance their marketing budgets. But it’s not all bad news for influencers. The ones with proven sales records can still negotiate better deals, while brands are forming what Jasper Knitel calls “more intimate relationships” with a smaller group of reliable creators. Basically, we’re seeing a stratification happening – the top performers will do great, while everyone else might see their rates squeezed.
The bigger social commerce boom
This isn’t just about TikTok Shop – the entire social commerce space is exploding. Live-selling app Whatnot nearly doubled its valuation to $11.5 billion this year, and shopping platform LTK saw over 200 brands create profiles in just the past week. Americans are getting increasingly comfortable buying directly through social apps, and the holiday season is accelerating that trend. The question is: can TikTok maintain its momentum as more platforms jump into live shopping? Max Benator from Orca calls it “an exciting time,” and he’s not wrong – we’re watching an entire new retail channel being built in real time.
Where this is heading
So what does this mean for the future? We’re likely seeing the beginning of a major shift in how big brands approach social commerce. The platform-driven promotions like TikTok’s “Super Brand Day” give certain companies massive advantages, which means brands will increasingly need to play by TikTok’s rules to get that algorithmic boost. And with organic reach becoming harder to achieve, ad spending will only increase. The brands that figure out the right balance between paid promotion, creator partnerships, and platform relationships will dominate. Everyone else? They’ll be playing catchup in a space that’s moving at TikTok speed.
