Luxury / news
TikTok Shop Says 94% of U.S. Luxury Resale Revenue Comes From Livestreams
TikTok Shop revealed that 94% of its U.S. luxury resale revenue year to date is generated through livestreams, as the category's gross merchandise value surged 400% year over year. The platform is positioning itself as a trusted destination by requiring sellers to use one of five authentication partners.
The platform shared the figures at its inaugural Luxury Resale Summit in New York City, with additional comments made during a presentation to media during New York Fashion Week.
Luxury resale on TikTok Shop has posted a 400% year-over-year increase in gross merchandise value, driven largely by handbags and watches.
TikTok Shop is working to build trust in a high-consideration category that is often targeted by counterfeiters. Sellers must be invited to offer luxury resale, and they are required to work with one of five authentication partners: Entrupy, Legitmark, CheckCheck, Legit App, and Real Authentication.
Walker, speaking during the presentation, said trust requires conversation, and that conversation is happening on livestreams. Sellers can engage with their audience in real time, transforming a static product page into an interactive experience.
Through livestreams, a seller can act as a subject matter expert, describing and showing the condition of an item and demonstrating how it can be worn. The format allows buyers to see products in detail before purchasing.