Background
A new e-commerce seller entered the UK market through TikTok Shop with the goal of achieving high sales volumes. Initially, the seller listed various products but struggled to gain traction, as the products failed to rank or attract significant orders. Despite experimenting with different strategies, including creating promotional videos, the desired results were not achieved. This led to months of minimal sales and low visibility on the platform.
Challenges
- Low Product Rankings: Despite listing multiple products, none of them ranked well on TikTok Shop.
- Ineffective Marketing Strategies: Promotional videos and initial marketing efforts did not drive sufficient traffic or sales.
- Low Order Volume: For several months, the shop received little to no orders, leading to frustration and a need for a new approach.
Strategy Implemented
After analyzing the situation, the seller decided to implement a two-fold strategy:
- Relisting Products: All products were relisted to refresh their presence on the platform.
- Competitive Pricing: Prices were significantly reduced to make the products more attractive compared to competitors.
Results
The new strategy yielded remarkable results:
- Improved Rankings: The shop began to rank higher on TikTok Shop, gaining increased visibility.
- Surge in Orders: Daily orders skyrocketed from 0 to 200-500 orders per day.
- Increased Revenue: The competitive pricing strategy not only attracted customers but also led to consistent sales growth.
Key Takeaways
- Pricing Matters: Competitive pricing can be a game-changer in saturated markets, especially when combined with strategic relisting.
- Persistence Pays Off: Despite initial failures, the seller’s willingness to adapt and experiment led to eventual success.
- Platform-Specific Strategies: Understanding the dynamics of TikTok Shop and tailoring strategies accordingly can drive significant results.
Conclusion
This case study highlights the importance of adaptability and strategic pricing in e-commerce. By relisting products and offering competitive prices, the seller transformed their TikTok Shop from a low-performing account to a high-revenue-generating business. This success story serves as a valuable lesson for other e-commerce sellers looking to scale in competitive markets.
- Amazon Private Label
- PPC Management
- TikTok Shop
- Amazon Wholesale
- Ecommerce
- Shopify
Category
Amazon Private Label
Marketplace
UK, USA & Canada
Working from
May 15, 2023
