TikTok to launch in-app shopping feature in Ireland soon

23 Jul 2024

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A spokesperson told SiliconRepublic.com that the company is ‘excited to continue experimenting with this new commerce opportunity’.

TikTok is planning to launch its in-app shopping offering in Ireland within the next few months, ahead of a potential wider European launch next year.

In recent weeks, TikTok parent company ByteDance told some partners, including merchants and creator agencies, to get ready for a TikTok Shop debut in Ireland and Spain, people familiar with the matter told Bloomberg.

TikTok Shop allows creators on the video-sharing app to sell their products directly to users through video or livestream. The feature has already been rolled out in the US and was slated to be launched in certain European countries this year before being put on hold.

“We are always guided by demand and exploring new ways to enhance the TikTok experience,” a TikTok spokesperson told SiliconRepublic.com.

“We’ve seen the positive impact of TikTok Shop, and we’re excited to continue experimenting with this new commerce opportunity to support businesses of all sizes and enable our community to discover and engage with products they love.”

The company charges a “referral fee” in the range of 5-6pc for every qualifying purchase made through its shop.

TikTok has more than 1bn monthly active users, including around 170m in the US and 150m in Europe. The app famous for short-form videos is available in more than 150 countries.

However, despite its success, TikTok has faced regulatory pressure on both sides of the Atlantic. In the US, the company faces a divest or ban measure owing to its parent ByteDance being a Chinese company headquartered in Beijing.

Those in favour of the divestment have argued that Chinese law could compel companies such as TikTok to hand over data to the country’s government and pose a national security risk to the US.

Multiple governments around the world have shared concerns about TikTok’s connection with China’s government, with many nations banning government staff from accessing the app as a result.

In Europe, TikTok has found itself in the crosshairs of EU laws such as the Digital Services Act for its data practices and for how it protects children on its site. In response, the company announced Project Clover, a set of measures taken by the company to ensure European user data remains in Europe through a €12bn investment and the establishment of three new data centres, two in Ireland and one in Norway.

Just last week, TikTok lost a challenge to its designation by the European Commission as a ‘gatekeeper’ platform under the bloc’s Digital Markets Act in the EU General Court.

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Vish Gain was a journalist with Silicon Republic

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