What is TikTok Shop: Setup, Features and Best Practices

If you’ve been wondering what a TikTok Shop is, you’re about to discover why it’s the hottest trend in the ecommerce world right now.  

A TikTok Shop is the key to transforming your TikTok account into a more personalized and immersive account for both buyers and sellers. This built-in shopping feature lets you sell products directly by combining social media engagement with direct selling, offering a unique shopping experience. 

The TikTok app has evolved far beyond dance trends and viral challenges. With its massive customer base worldwide, its GMV (gross merchandise value) has increased from $1 billion in 2021 to $33 billion in 2024.  

Using this powerful ecommerce platform will help you expand your audience reach and sell more products directly to potential customers by analyzing user behaviour and the latest trends. 

In this comprehensive guide, we'll walk you through the step-by-step process of setting up your TikTok Shop, its features and share best practices to thrive on this growing platform. 

Ready to transform your business with the TikTok Shop? Let’s jump in!

What is TikTok Shop and how does it work?

Are you also confused about what a Tiktok shop is? It is an integrated ecommerce feature within the TikTok app that allows users to browse, discover, and purchase products directly from their feeds, short videos, live streams, or the dedicated Shop tab without leaving the app.

TikTok Shop functions as a marketplace where businesses can showcase their products through various formats, including in-feed videos, LIVE streams, and product showcase tabs on their profiles. 

By blending entertainment and commerce, TikTok Shop offers a unique advantage for brands looking to capture the attention of the platform's highly engaged user base.

Advantages of using TikTok Shop for ecommerce

Here are significant advantages of using TikTok Shop for online retailers: 

• Increased visibility and engagement

With over 1.14 billion active users worldwide, (up by around 70 percent compared to 2022), TikTok has become a global phenomenon and a powerful social media platform. 

One of the key advantages of TikTok Shop is its ability to amplify your brand's presence and engagement. 

TikTok Shop allows you to leverage the platform's influential creators and their loyal followings. By collaborating with popular TikTok personalities, you can create authentic, relatable content that resonates with your target audience, driving awareness, interest, and, ultimately, sales.

•  Integrating short-form content for sales

The secret to TikTok Shop's success lies in its seamless integration of short-form content and ecommerce. 

Imagine your customers scrolling through their feed and then spotting a product they love. With just a tap, they can learn more or buy it right there without leaving the app. This seamless shopping journey is exactly how your customers want to shop nowadays. Isn’t it?  

•  Higher engagement

TikTok is not only about selling but also about connecting with your customers. Interactive features such as live shopping events, product tagging in videos, and influencer collaborations foster direct engagement with potential buyers. 

This approach builds trust, sparks excitement, and turns casual scrollers into loyal customers

• Seamless Shopping Experience
  

Ever spotted something in a video and wished you could buy it instantly? Your customers feel the same way. 

With TikTok Shop, the entire journey-from product discovery to checkout—happens in just a few clicks, eliminating the need to leave the platform for checkout. This seamless journey removes barriers to purchase and encourages quick buying. 

TikTok Shop's role in the TikTok ecosystem

TikTok Shop serves as a critical component in TikTok's broader strategy to diversify its revenue streams and increase user engagement. Within the TikTok ecosystem, TikTok Shop can:

• Complete the marketing funnel: Takes users from awareness (through trending content) to consideration and purchase within a single platform
• Enhance monetization opportunities: Provides ecommerce businesses with additional revenue streams by providing a platform for direct sales, influencer marketing, and engaging content creation
• Strengthen the content-commerce connection: Reinforces the relationship between entertaining content and commercial content
• Personalization: Enable personalized product recommendations, interactive videos, and custom filters, making it easy for users to discover and purchase products based on their likings 

How to set up your TikTok shop?

By now, you would have got the answer to ‘What is TikTok Shop.’

Launching your TikTok Shop is more than just ticking off boxes—it's about creating an engaging, shoppable experience for your audience. Here’s how to get started:

Step 1: Register your shop

Register your TikTok Business account

• Head to the TikTok Seller Center and create your account
• Provide your business details, upload the necessary verification documents, and link your bank account for payments
• Approval can take a few days, so have your documents handy for a smooth process

Step 2: Connect your online store

The first step is to link your current online store to your TikTok Business account (If you are using any platform such as Shopify, Wix, BigCommerce or any other). This integration allows TikTok to sync your products and inventory across platforms, enabling seamless shopping experiences.

Managing multiple online stores can be daunting. If you have a business presence on multiple platforms, you would not want to get stuck in a situation where you've updated inventory on your main website; however, your TikTok Shop is showing products that sold out hours ago as available. 

This is where ecommerce automation tools like Webgility swoop in, eliminating manual data entry and ensuring all sales are captured in real-time.  

Step 3: Set up shipping options

Set up your shipping preferences on TikTok

Once your TikTok Shop account gets the green light, it’s time to set up your shipping preferences. Now, you have two options. The first is choosing TikTok’s warehouse distribution services, which many sellers avoid due to potential drawbacks that include slow customer support, limited shipping options, and not being fully optimized for mobile use. 

The second option that most successful ecommerce sellers use is handling shipping using shipping automation software. Platforms like this help you get the best shipping rates and print shipping labels for all stores and marketplaces with one click. 

Step 4: Create your product catalog

Create your product catalogue by uploading your product images

Next, you'll need to set up your product catalog within the TikTok Shop Manager. This involves uploading your product images, descriptions, pricing, and other relevant details. Think of this as your digital storefront window.

When uploading product photos, remember:

• Clear, bright images work best
• Show your products from multiple angles
• Real people using your products convert better than plain product shots
• Descriptions should sound like a friend recommending something cool, not a boring spec sheet

Step 5: Customize your store design

Customize your TikTok store design

With your product catalog in place, it's time to create your TikTok Shop store design. This is where you'll personalize your TikTok Shop with your brand’s colors, logo, and style. TikTok provides a range of customization options to help you create a visually appealing and on-brand shopping experience.

Step 6: Enable product tagging

One of the most powerful features of TikTok Shop is the ability to tag products in your videos. This allows users to seamlessly browse and purchase the products they see in your content. To enable this feature, you'll need to connect your product catalog to your TikTok videos. And when you create a video, use the "Add Link" feature to tag specific products, directing viewers to the product's page within TikTok Shop. 

Step 7: Launch and promote

Once you've completed the setup process, it's time to launch your TikTok Shop and start promoting it to your audience. Use TikTok's various marketing tools, such as sponsored ads, influencer collaborations, and hashtag challenges to drive traffic and increase the visibility of your products.

TikTok Shop account requirements

Setting up a TikTok Shop is an exciting way to reach millions of potential customers. But before you dive in, there are a few key requirements you'll need to meet. Here's what you need to know:

Where you can sell

• Available regions: Currently includes the US, UK, Canada, and select countries in Southeast Asia and Latin America
• Expanding markets: TikTok continues to add new countries to its shopping platform

What you can sell

• Physical products only: Digital goods and services aren't permitted
• Prohibited items: No weapons, adult products, or anything illegal
• Original products: Must respect intellectual property rights (no counterfeits!)

Documentation you'll need

• Business registration papers
• Tax information (like your EIN in the US)
• Details about your existing online sales channels
• Complete product catalog with high-quality images and descriptions

Who can open a shop?

• You must be at least 18 years old
• You need a TikTok Business Account (personal accounts must be upgraded)
• A valid phone number and email address are required for verification
• You’ll need to comply with all local e-commerce laws and TikTok’s community guidelines

The approval process

• Sign up via the TikTok Seller Center with your business email or phone number
• Upload all required documents and complete identity verification (often includes a selfie with your ID)
• TikTok will review your application—approval can take a few days
• Once approved, you can set up your shop profile, add products, and link your payment method

Key features of TikTok Shop

TikTok Shop is transforming how brands connect with customers—blending entertainment and shopping under one roof. 

Here are some of the unique features that set TikTok Shop apart:

1. Seamless in-app shopping

Users can discover, browse, buy, and share products without leaving the TikTok app, making the purchase journey smooth and fast. 

2. Live shopping events

TikTok's live shopping combines live streaming with real-time purchasing. Hosts can pin products to their broadcasts and create limited-time offers to drive urgency among potential buyers.

3. Personalized ‘Shop’ tab

TikTok’s AI-driven recommendations curate a personalized shopping feed, helping users discover trending products tailored to their interests. It also supports category-based browsing and recently viewed items. 

4. Save & follow features

Users can save favorite products for later or follow brands and creators for updates on new releases and promotions, encouraging repeat purchases and brand loyalty.

5. Product showcase

Merchants can create detailed product listings with the following:

• Multiple high-quality images and videos
• Comprehensive descriptions
• Size/variant options
• Pricing details with discount capabilities
• Customer reviews and ratings
• Shipping information

Checkout and payment options

Before you start selling on TikTok Shop, one of the most crucial elements is ensuring a smooth checkout process for your customers. Here's what you need to know about the available payment and shipping options:

1. Seamless checkout experience

TikTok has partnered with popular payment gateways like Adyen, Stripe, and PayPal to provide a seamless checkout experience for shoppers. When customers find a product they love, they can complete the purchase right on the TikTok app without being redirected elsewhere.

TikTok offers various payment methods to cater to different customer preferences. These include:

• Credit/debit cards (Visa, Mastercard, American Express, Discover)
• Digital wallets (Apple Pay, Google Pay, Samsung Pay)
• Buy Now, Pay Later options like Affirm and Klarna
• PayPal and Venmo

Note- Personal money transfers between users are not supported on TikTok Shop.

TikTok partners with trusted payment providers to ensure safe and secure transactions, including easy returns, refunds, and cancellations

2. Flexible shipping and returns

To provide a truly seamless shopping experience to your customers, TikTok Shop offers various shipping options to suit your business needs. This includes:

• Set flat-rate or weight-based shipping rates
• Offer free shipping thresholds or promotions
• Integrate with popular shipping carriers like USPS, FedEx, and UPS

Managing returns is also a breeze. You can customize your return policy, set return windows, and even offer free return shipping labels – all within the TikTok Shop dashboard. 

Best practices for optimizing TikTok Shop performance

Simply setting up a shop isn't enough. To truly succeed, you must embrace the unique culture and trends that make TikTok so engaging.

So, let’s know some of the best practices for optimizing your TikTok Shop performance:

1. Creating engaging and authentic content

Nobody wants to feel like they're watching a commercial. This is why, like every other ecommerce platform, authenticity is necessary on TikTok. To ensure this, you must:

• Show the humans behind the brand: Record quick office tours, packaging sessions, or product testing fails. These "behind-the-curtain" moments build trust faster than polished ads
• Use your real voice: Speak like you would to a friend. When explaining products, imagine you're telling your sibling why they should try it
• Answer actual customer questions: Create content addressing real queries from comments or DMs. This shows you're listening and creates content others are wondering about too

2. Leveraging TikTok trends and challenges

The right trend at the right time can put your products in front of millions. The wrong approach can make you look out of touch. Thus, you should:

• Adapt trends to showcase product benefits: Stay on top of trending sounds, hashtags, and challenges. Participate in those that align with your brand and product, but always make your content feel natural and not forced
• Use appropriate music: Use relevant music and effects to increase discoverability and make your videos more relatable and shareable

3. Collaborating with influencers

The right partnership feels like a friend recommending your product, not a billboard. Doing this will help you increase ecommerce sales on TikTok:

• Choose the right influencers: When choosing influencers to work with, look beyond follower counts and engagement metrics. Focus on finding creators who truly embody your brand's personality and can seamlessly integrate your products into their content
• Look for creators who already use similar products: Their reviews will feel genuine because they understand the category's pain points
• Make the content look organic: Encourage influencers to show your products in real-life scenarios, unboxings, or tutorials, making the content feel organic and valuable to their followers

4. Optimizing your shop technical setup

Even the best content won't save a poorly optimized shop. Following this approach will make your TikTok Shop highly optimized:

• Mobile-first product images: Test your listings on the smallest phone screen in your office. Can you still see key details? If yes, it is good to go
• Edit product descriptions: On TikTok, buyers want 3-4 bullet points with benefits, not paragraphs of features
• Set up abandoned cart recovery: The automated reminder system has improved tremendously, increasing the recovery rate for up to 15% of lost sales

5. Stay consistent and adaptable

Consistency keeps your brand visible, while adaptability ensures you stay relevant, therefore:

• Post frequently: Posting regularly keeps your brand top-of-mind and signals to TikTok’s algorithm that you’re active and relevant
• Track performance: Monitor analytics to understand what content drives the most engagement and sales, then refine your approach accordingly

TikTok Shop integration with other ecommerce platforms

By integrating TikTok Shop with your existing ecommerce platforms, you can streamline your operations, expand your reach, connect with more customers and create a consistent, engaging brand presence.

Here are the key benefits of integrating your ecommerce platforms with TikTok Shop:

• Centralized inventory management: Seamlessly sync your product catalog across platforms, ensuring real-time inventory updates and preventing overselling. Plus, it also ensures customers always see accurate remaining stock levels
• Streamlined order processing: Consolidate orders from multiple channels into a single dashboard, simplifying fulfilment and reducing manual effort. The platform also helps you process and ship orders faster without letting you jump between systems or risking missed orders
• Accounting automation: Automatically sync sales, taxes, and fees from TikTok Shop to your accounting software like QuickBooks. This reduces manual data entry, minimizes errors, and ensures your financial records are always up to date-making bookkeeping and tax compliance much easier
• Expanded reach: Tap into TikTok's vast user base while leveraging your existing online presence, maximizing your potential for customer acquisition
• Efficient reporting: Access comprehensive analytics and sales data from a centralized location, enabling data-driven decision-making and optimizing your marketing strategies

To connect your ecommerce store with TikTok Shop, you'll typically need to use an ecommerce automation and inventory management tool that allows you to sync data and manage orders and inventory from a single dashboard, saving time and reducing the risk of errors.

Also read: Top 7 Ecommerce Integration Software in 2025

TikTok Shop + Webgility: Your secret weapon for ecommerce success

Want to watch your small businesses go from struggling to thriving? Setting up a TikTok Shop can immensely help. The magic lies in TikTok’s full-screen, interactive videos-where product links, catalog integration, and live shopping features make it simple for viewers to go from “just browsing” to “just bought.”

Furthermore, TikTok Shop gives you valuable insights into your audience’s preferences, so you can tailor your marketing efforts and offer personalized shopping experiences. 

However, if you want to make your TikTok Shop more rewarding and your customer’s journey smoother, here’s where Webgility steps in. 

Use Webgility to bring all your TikTok Shop orders to your Shopify store and sync everything to QuickBooks

This platform seamlessly connects your TikTok Shop with Shopify, BigCommerce, or Wix while ensuring that when something sells on your website, your TikTok Shop orders and inventory updates automatically. 

Plus, with Webgility’s automation tools, you can say goodbye to manual tasks, and ensure sales tax is automatically synced to QuickBooks, so your books are always up-to-date and error-free. 

So, what are you waiting for? Your next customer is on TikTok right now; schedule a demo to get started!