AMZ123 has learned that recent data released by market research firm Marketplace Pulse shows that hot-selling products in the TikTok Shop US market exhibit a highly concentrated characteristic.

Among the more than 2 million products tracked by Marketplace Pulse, over two-thirds of the revenue from the top 1000 products ranked by cumulative sales comes from products directly related to the human body, that is, "worn on the body, applied on the body or eaten into the body".

Data shows that the best-selling product categories on TikTok Shop are concentrated in the field of personal image and body management. Beauty and personal care products contributed about 30% of sales revenue, ranking first; health and wellness products followed closely behind, accounting for nearly 20%; clothing and accessories accounted for about 17%. The three categories combined contributed about 67% of total sales.

In contrast, traditional comprehensive e-commerce platforms' common categories such as home goods, consumer electronics, automotive supplies, tools, pet supplies and books only share the remaining about one-third of sales revenue.

Marketplace Pulse believes that this phenomenon is closely related to TikTok Shop's content-driven model. Unlike Amazon, which relies on search, TikTok Shop depends more on short videos to stimulate demand. Consumers do not complete purchases through active product searches, but are influenced during content browsing. Therefore, products that can intuitively show effects through videos and have obvious "before and after" changes are more likely to gain attention and conversion.

For example, skincare essences, slimming tights, green nutritional powders and other products can all show product effects in a short time through short videos. While products like HDMI cables, which lack visual display effects, are unlikely to gain the same communication advantages in the content stream.

The product price structure also reflects the consumption characteristics of TikTok Shop. Data shows that the median price of hot-selling products on the platform is about $40, and about two-thirds of the products are priced below $50. This price range has certain consumption value and will not cause consumers to have too much decision-making burden.

The report points out that the core of TikTok Shop's business model lies in shortening the time difference between "seeing the product" and "deciding to buy". Compared with high-priced products of $400, products around $40 are more likely to enable consumers to complete purchases directly while browsing content. Therefore, products with obvious effect display, moderate prices and suitable for impulse consumption are more likely to become platform hits.

At the brand level, brands that established content operation systems early still maintain a leading advantage. In the first full operating year after TikTok Shop was launched, among the top 20 brands in sales, 13 brands still have their products in the top 1000 sales on the platform.

These brands include Medicube, Halara, MERACH, Goli, Tarte and MaryRuth's etc. They are representatives of brands that were among the first to master the affiliate marketing model and establish a content ecosystem.

Data shows that these brands have a total of 114 products in the top 1000 sales on the platform and contribute about one-quarter of brand sales revenue.

The report points out that the advantages of these brands do not only come from early hit videos, but from their long-term operational capabilities built around content, including a mature influencer cooperation network, a continuous and stable content production rhythm, and rich product reserve capabilities. It is these systematic capabilities that enable them to continue to gain exposure and sales growth after their first popularity.

Marketplace Pulse believes that the development of TikTok Shop has proved that content can replace traditional advertising to a certain extent, but the premise is that the product itself has characteristics suitable for content dissemination, and the brand can carry out content operation continuously.

This trend is also reflected in the platform's seller structure. Previous data shows that only 1% of TikTok Shop sellers contribute 60% of GMV (Gross Merchandise Volume). From the product dimension, those that are truly successful are also a few brands and products that can continuously produce content and have obvious product effect display capabilities.

The report concludes that whether it is sellers or products, the winners on TikTok Shop follow the same logic: having products whose effects can be intuitively shown by videos, and establishing an operational system capable of continuously outputting content. In the TikTok Shop ecosystem, "winning user needs related to the body is more likely to win content traffic".

Author✎ Summer/AMZ123

Source: TikTok Cross-border Information
Original Link: https://www.amz123.com/t/LsjshnH0