TikTok is giving up its live shopping plans in the US and Europe: Report

TikTok may look like an unstoppable global entertainment machine. Still, at least part of the company's offering doesn't entirely take over: TikTok is winding down its live trading plans in Europe and the US, the Financial Times reported; after the first few launches, simply shelter has not been successful.

TikTok has been testing live shopping in the UK since last year, starting with a multi-brand event called "On Trend" last December. But the FT reported that those shopping live streams have not attracted large audiences and generated many sales, and some of the creators involved in early TikTok Shop projects have pulled out entirely. TikTok had been planning to launch Shop in Germany, France, Italy, and Spain for now and hoped to launch it in the US later this year, but has now told the FT that it is currently focused solely on making the product a success in the UK. However, it is also live in various countries in Asia, where the concept is more mature.

Live online shopping, led by creators and influencers, is a huge business for TikTok owner ByteDance. Likewise, Douyin, the Chinese version of TikTok that ByteDance also owns, has seen those live sales turn into huge cultural events that generate big business for retailers, creators and platforms alike.

But so far, there isn't much evidence to suggest the live eCommerce model will work everywhere. Sure, QVC and the Home Shopping Network were once big hits in the US, and more and more users are buying products through Instagram, TikTok and YouTube, but many platforms have tried to make live shopping work, and none have done it has achieved so far. Furthermore, as social shopping continues to grow, the competition to be the home of that shopping will be fierce. Even Amazon is investing heavily in shopping streams!

Still, it would help if you didn't write off TikTok. The app remains a hub of culture and where a large number of people spend their time and increase their money. TikTok's commitment to the idea isn't in question, either: The company has been building and testing dedicated shopping experiences for over a year and is currently testing an in-app TikTok Shop tab in Indonesia. If any company can make live social shopping work outside of Asia, it's probably TikTok. But that's a big yes.