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- TikTok is wading into South-East Asia’s e-commerce wars
- The TikTok Shop rolls out in the US
- This Model Says Influencers Are Ruining NYFW
- New Brand Taps Beauty Influencer Alix Earle For New York Fashion Week
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Great Reads
The TikTok Shop rolls out in the US
TikTok has launched "TikTok Shop" in the US, allowing users to buy products directly within the app. Initially available in the UK, this feature now lets brands and creators sell items through their videos, with TikTok potentially handling fulfillment. Users will notice a "Shop" tab during searches, displaying related items, and some videos will have a direct "Shop" button for purchases.
Alongside, TikTok introduced an affiliate program, enabling creators to earn commissions on sales without external agreements. With TikTok's own fulfillment centers, they aim to mirror Amazon's storage and shipping model. While expanding its e-commerce footprint, TikTok faces bans in parts of the US due to security concerns, but continues to explore ventures like book publishing and music streaming.
TikTok Is Spending $1.3 Billion to Dodge Bans in Europe
European nations are increasingly wary of TikTok due to security concerns linked to its ties with China. Many have banned the app on government devices. To address these fears, TikTok is investing $1.3 billion in new European data centers to ensure that by 2024, EU user data won't leave its borders. These centers, located in Ireland and Denmark, aim to prove TikTok's commitment to EU data regulations and its promise not to share data with the Chinese government. Additionally, a European "transparency center" will be opened for regulators.
Despite these efforts, deep-rooted suspicions about Chinese technology persist in Europe, reminiscent of the challenges faced by Huawei. TikTok's initiatives might not suffice to alter the prevailing European sentiment.
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Campaign Insights
The New Front Row: How Creators And Luxury Brands Are Redefining Fashion Week
The transformation of the front row at Fashion Week events marks a significant shift in the industry. Historically, New York Fashion Week invitations were reserved for the fashion industry's elite. However, this began to change with the emergence of fashion bloggers and influencers in the early 2000s. Now, as seen at Fendi's 25th Anniversary Baguette Show, TikTokers and creators, such as 18-year-old Ellie Zeiler, are not only attending but also sharing these experiences with their massive audiences.
With a whopping 664 million views for "Fashion Week 2023" on TikTok, it's clear that there's a high demand for this content. Esteemed brands like Fendi are capitalizing on this by reserving front-row seats for Gen Z creators, aiming to reach newer markets and audiences. This is reshaping the front row, with unexpected creators being the new stars. Moreover, luxury brands are inviting not just fashion-focused creators, but also those from diverse niches. For example, Estonian rapper Tommy Cash, known for his eccentric style, has generated significant buzz with his unique fashion choices at shows. His search results for "Fashion Week" alone amassed over 11.1 million views.
SkinCeuticals Taps Beauty Influencer Alix Earle For New York Fashion Week
Beauty influencer Alix Earle was spotted celebrating the launch of the SkinCeuticals Treatment Tour at New York Fashion Week. The internet personality was all smiles as she learned more about the medical skincare brand, while stocking up on the award-winning CE Ferulic product. Kicking off during New York Fashion Week at 13th St. and 9th Ave., the SkinCeuticals Treatment Tour aims to spread awareness on the importance of pairing treatments and skincare for results and offers an opportunity for consumers to experience "1:1 access to top medical professionals," said the company.
LinkedIn Adds New Branded Content Library, Listing All Influencer Campaigns in the App
LinkedIn has introduced a new feature allowing users to search for branded content partnerships. This follows the platform's recent implementation of branded content tags for posts. Users can now access LinkedIn’s Ad Library to explore affiliate marketing campaigns using these tags, offering insights into how brands collaborate with influencers on the platform.
This enhancement promotes transparency regarding paid promotions and is in response to the EU Digital Services Act (DSA), which mandates such databases on social platforms. Platforms like Meta and TikTok have already incorporated similar features. With LinkedIn's emphasis on creators and the growth of original content sharing, which increased by 41% in 2022, there's anticipation of more influencer-brand collaborations on the platform. The update could reshape business discussions, potentially making LinkedIn a dominant platform for influencer marketing in the business sector.
Nailea Devora Named As Revlon Global Ambassador
Revlon has appointed the multi-talented influencer and model Nailea Devora as its new global brand ambassador. This is a strategic move by the beauty conglomerate to revamp and recalibrate its social media and brand awareness presence. In this capacity, Devora will be responsible for creating and curating content that will be shared across Revlon’s platforms, such as Instagram and TikTok, to engage with the brand’s followers and customers. Her expertise in social media will also be useful as she helps Revlon reach a wider audience and foster stronger relationships with its customers.
TikTok food tourists leave a bitter taste in Amsterdam
TikTok-inspired "food tourism" is causing frustration in Amsterdam's quaint streets, with locals and shop owners expressing displeasure over the sudden influx of tourists seeking out popular eateries they've seen on social media. At 3:30 pm on a Friday, 28-year-old Lisa Wulff, from Germany, was found waiting in line for bubble tea and toasts at Amsterdam's Chun cafe. "I’ve seen it on social media, and it looks good," she noted, mentioning that she discovered the place through TikTok.
This trend is part of a rising wave of tourism driven more by the allure of social media "hotspots" than traditional attractions or travel guides. As a result, many tourists in Amsterdam seem more interested in capturing the perfect Instagrammable moment with trendy foods or strolling through the city's iconic De 9 Straatjes (or "nine little streets"), rather than appreciating its rich cultural history.
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Interesting People
This Model Says Influencers Are Ruining NYFW
New York Fashion Week (NYFW) has traditionally been an exclusive event for the fashion elite. However, the recent influx of influencers, like TikTok's Remi Bader, attending top-tier fashion shows has caused controversy. One model asserts that these influencers are degrading the event with their lack of style. This model, Taylor, known as @taiilormade on TikTok, expressed her strong disappointment, suggesting the fashion industry needs to bring back “gatekeeping”.
She criticized the typical attire of these influencers, lamenting the repetitiveness of their choices. Taylor's views resonated with many on TikTok, who felt that NYFW has shifted from its original essence. They pointed out that many attendees aren't even connected to fashion or beauty, diluting the event’s prestige. While there’s agreement with Taylor's perspective, it's also argued that outright gatekeeping might lead back to the fashion industry's previous issues with lack of diversity and body shaming.
Enter the dragon: Australian social media influencers eye China’s booming livestreaming market
Australian social media influencers are tapping into China's lucrative livestreaming e-commerce market. Global brands engage Chinese livestreamers to sell products, realizing huge sales within minutes. For context, Kim Kardashian sold 15,000 perfume bottles in minutes during a Chinese livestream. Much like TV shopping channels, livestreaming enables real-time interaction between salespeople and viewers.
The trend has taken off in China, with Australian influencers keen to join in. Notably, Steven Greig, an Australian influencer with over 170,000 followers, ventured into China's livestreaming scene, seeing the country's e-commerce potential. Sales on China’s livestreaming platforms hit $680 billion in 2022 and are expected to cross $980 billion this year. Western Australia's James Clarke also sees potential, having sold $200,000-worth of tourism products in just an hour on a Chinese livestream. However, experts note that Australia's e-commerce development lags behind China's. Livestreaming is seen as an avenue to introduce Australian products to China, but its overall impact on the Australian economy might be limited.
KSI, MrBeast, xQc and more YouTubers raise millions in charity soccer game
YouTubers successfully organized a charity soccer match, drawing around 60,000 live spectators to West Ham's London Stadium on September 9. Hosted by the Sidemen YouTube group, the event was their fifth charity game since 2016. The live YouTube stream garnered nearly 20 million views. The Sidemen team, featuring influencers like KSI, Miniminter, and Vikkstar123, competed against a global YouTube All-Stars team with names such as MrBeast and Chunkz.
Memorable moments included a staged scuffle involving KSI and a hat trick by Manny. The Sidemen clinched the victory with an 8-5 score, raising approximately £2.4 million (about $4 million Cdn). The largest donation, $424,000 Cdn, came from the event sponsor, Prime, a company recently scrutinized for the caffeine content in their kid-favored drinks. The proceeds will be distributed among five charities, notably the Sidemen's Brightside charity, aimed at enhancing children's education.
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Industry News
Creators function like standalone media channels
Sponsored content investment is on the rise, anticipated to grow 3.5 times quicker than traditional social ad spending in 2023. Even though social ad expenditure, inclusive of platforms like YouTube, greatly surpasses influencer marketing at $83.72 billion against $5.14 billion, creators are increasingly independent of social platforms. Marketers, recognizing this shift, are allocating more resources towards influencer marketing, especially in the realm of video content.
Current data suggests that a significant proportion of influencer campaigns in the US encompass creator content that's amplified through paid media – with 90% of campaigns from The Influencer Marketing Factory and 88% from Linqia embedding this strategy as of H1 2023. No single platform monopolizes influencer marketing; multichannel strategies dominate. By 2024, predictions indicate that over $1 billion will be invested in sponsored content across the top four influencer marketing platforms. As creators solidify their reputation as potent brand ambassadors, their integration into TV and other digital mediums will likely rise.
After selling to CommentSold, Popshoplive is shifting its focus
CommentSold recently acquired the livestreaming marketplace, Popshoplive. This acquisition introduces a dropshipping feature to the Popshoplive platform, enabling content creators to establish e-commerce businesses tailored to their followers. CommentSold manages inventory and fulfillment, allowing creators to focus solely on content. Popshoplive witnessed substantial growth during the pandemic, and by 2021, its valuation reached approximately $100 million.
Though livestream shopping is prominent in regions like China, its uptake in the U.S. has been slower. Popshoplive now aims to assist influencers in developing their e-commerce enterprises, moving away from conventional brand deals. The platform's new features enable influencers to directly sell to their audience and provides them with essential sales data. An additional multisource streaming feature has been added for more interactive content. Challenges remain in the U.S. livestreaming market, but Popshoplive is actively recruiting more sellers and plans to launch a Creator Studio in Los Angeles.
The Arena Group launches a creator network
The Arena Group is launching a creator network, tapping into over 100 social media influencers across sectors like culture, food, and sports. This strategic move aims to expand the reach of Arena Group's properties, such as Sports Illustrated, beyond their current digital footprint. The recent sale of a major share to a company owning two national TV networks further solidifies their push into connected television.
The Arena Creator Network (ACN) will emphasize 'lightly branded' content, with some creators being compensated via revenue-sharing, while others receive upfront payments. The group's earlier collaboration with creators for Sports Illustrated proved successful, paving the way for this broader initiative. With a backdrop of numerous internet brands seeking collaboration with influencers to enhance their social media presence and advertising opportunities, The Arena Group's approach signifies its commitment to evolving in the digital media landscape.
TikTok throws weight behind SA’s booming creator economy
TikTok South Africa is ramping up investment in the content creator economy in response to surging demand from local businesses and SMEs. The platform introduces new tools to help content creators design pertinent content, enhancing their business clients' brand image. Anticipated growth in SA's influencer advertising market is 11.60% annually, with a projected market volume of $37.38 million by 2027.
Greg Bailie of TikTok Sub-Saharan Africa highlights the platform's influence on purchasing behaviors, noting that they've supported over 350 local creators in two years. Globally, TikTok has 1.677 billion users, and in South Africa, it's overtaken Instagram, becoming the second-largest social platform. Its growth is attributed to content democratization, allowing users to become "prosumers," and the authentic, relatable content presented by creators.
SoundCloud’s TikTok-styled discovery feed is rolling out to everyone
SoundCloud has unveiled a TikTok-inspired discovery feed, introducing vertical scrolling and brief song clips for its users. This feature, which had been in testing since March, will soon be accessible to all iOS and Android users. The revamped app provides a 30-second song preview, with an option for users to play the full song.
Artists have the choice to select these 30-second song highlights, but SoundCloud also utilizes the capabilities of Musiio's AI, a startup it procured in 2022, to autonomously select the optimal 30-second portion. SoundCloud's app update further includes user-friendly buttons for song liking, playlist addition, and library storage. Users can still navigate the traditional following feed to explore songs from artists they follow. SoundCloud's latest efforts are part of its larger mission to aid artists in amplifying their music and fortifying fan connections.
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Great Paywalled Content
Amy Jackson, an Influencer Behind Fashion Jackson, Launches Mayson the Label – WWD
Amy Jackson, a renowned influencer from "Fashion Jackson," has unveiled her new direct-to-consumer women's sportswear line, "Mayson the Label." Originating from Nashville, Jackson's designs reflect her extensive fashion experience and an ambition to curate an exquisite collection of luxe staples. The lineup boasts elevated essentials: blazers, modern bombers, relaxed trousers, transitional midi dresses, and white shirts.
Retail prices span from $148 to $748, available exclusively on the brand's website and social media channels. Jackson’s intention is to bridge the gap she identified while shopping – the absence of a one-stop destination for year-round elevated essentials. She emphasizes the label’s adaptability, where each piece can seamlessly transition from casual weekends to work to evening engagements. Jackson stresses the importance of longevity and intentional investment in fashion, noting that every item in the collection is designed for both luxe and relaxed styling. The brand prioritizes high-quality fabrics sourced globally, with production based across Asia.
How the Hollywood Strike Is Affecting Social-Media Influencers - Insider
Amid the ongoing SAG-AFTRA Hollywood strikes, several social-media influencers find themselves at a crossroads. Influencers, particularly those with aspirations of breaking into acting or production, have been advised by SAG-AFTRA against taking paid gigs promoting Hollywood content during the strikes. This counsel could determine future membership in the union for these creators. Influencers who have previously engaged in promoting films or TV shows are heeding this warning, resulting in significant financial implications.
Jasmine Paige Moore, a prominent TikTok creator, has deferred several lucrative deals in compliance with the SAG-AFTRA guidelines, resulting in a shift to bartending to sustain herself. Moore highlighted the challenges faced by influencers, including facing backlash from those ensuring compliance with strike rules. She conveyed the implicit pressure to abide by the guild's directives or risk future career opportunities. Other creators, like Joseph Arujo and Joe Aragon, have adjusted their content strategy or expressed solidarity with the striking actors and writers, even if it means potential financial strain. The prevailing sentiment: the stakes and implications of these strikes surpass immediate monetary gains, emphasizing a transformative period in the entertainment industry.
TikTok is wading into South-East Asia’s e-commerce wars - Economist
TikTok, owned by the Chinese company ByteDance, is making strides into South-East Asia's e-commerce market, despite facing challenges in Western countries and being banned in India. The platform's CEO, Shou Zi Chew, announced plans to invest billions in South-East Asia, a region with nearly 700 million consumers. The company is looking to leverage its TikTok Shop, launched in 2021, which allows users to buy products directly via the app. Momentum Works, a Singaporean research firm, reported that around $5 billion worth of products were sold on TikTok globally last year, with a goal to increase that to $20 billion this year, primarily from South-East Asia. However, regional e-commerce giants like Shopee, Lazada, and Tokopedia might pose challenges.
While TikTok is well-suited to the online shopping habits in the region, these incumbents offer a wider variety of products, have established logistics networks, and have created payment systems tailored to the region's unique geography and infrastructure challenges. Furthermore, many South-East Asian consumers tend to switch to traditional e-commerce platforms when making a purchase, due to better product quality and quicker delivery. Regardless of these challenges, TikTok's vast financial resources and the backing of its parent company ByteDance may help it thrive in the region. Meanwhile, local e-commerce platforms are also gearing up for increased competition, with Lazada getting an $845 million investment from Alibaba and the recent entrance of Temu, a subsidiary of another Chinese e-commerce giant, Pinduoduo, into the Philippines.
Estée Lauder Incubator Makes First China Investment in Code Mint – WWD
Estée Lauder's New Incubation Ventures (NIV) has taken a minority stake in the Chinese clean beauty brand, Code Mint. The specifics of the investment, NIV's inaugural foray into China, have not been disclosed. Founded by influencer-turned-entrepreneur Yangqing Zhou in 2021, Code Mint offers toxin-free products for sensitive skin. Cosmax China, a subsidiary of the South Korean cosmetics giant, also holds a 6.48% share in the brand. The recent trend shows global beauty giants, including L’Oréal Group and Shiseido, investing in China's emerging beauty market. L’Oréal's China Fund previously invested in perfume brand Documents, and Shiseido funded Jiangsu Trautec Medical Technology Co. Ltd., active in the medical and cosmetics space.
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