TikTok predicts record-breaking Christmas sales for brands on platform

TikTok predicts this Christmas will mark its biggest UK retail moment yet, driven by a surge in LIVE shopping sessions and an increase in ad spend from clients over the festive period.

It comes as more businesses join the platform, driving sales this festive period through the power of 'discovery commerce'.

A bumper Christmas for LIVE shopping

LIVE shopping has rapidly gained momentum as a dynamic way for brands and creators to engage with audiences in real time.

There are now over 200,000 active businesses on TikTok Shop in the UK —double the number from last year—as brands take advantage of the revenue potential of LIVE shopping and shoppable videos.

In fact, the number of daily LIVE shopping sessions in the UK has increased by more than 64% in the last twelve months, with daily sales increasing by 93% over the same time period.

This follows record breaking LIVE sessions earlier this year, including Made by Mitchell, which made over $1 million in 24 hours, and P. Louise, which earned $1.5 million in 12 hours.

Looking ahead, TikTok Shop is on track for its biggest Christmas season yet, driven by millions of consumers expected to shop on LIVE sessions throughout November and December.

The Black Friday period alone is set to deliver triple-digit year-on-year growth on TikTok Shop, according to the online platform.

Jan Wilk, Head of Operations at TikTok Shop UK, said: "For the last two decades, the fun and human interaction of traditional retail has been missing from online shopping, and I am proud to say that TikTok Shop has brought it back.

"LIVE shopping and video commerce with real creators and brands is the future, and we are looking forward to giving millions of shoppers that joyful, real-time interaction for our biggest retail moment at TikTok Shop to date."

Growing ad spend from brands and retailers

Advertising on TikTok is driving shopping behaviour, with 61% users having made a purchase either directly on TikTok, or online after seeing an ad on TikTok, according to Nielsen.

As a result, TikTok projects a 58% increase in advertising spend in Q4 from retail and e-commerce brands in the UK, compared to the same period in 2023.

This comes as advertisers are set to spend a record £10.5 billion over the Christmas season, just under £4 billion of which will be spent on online display ads, including social platforms such as TikTok.

New products such as Search Ads and Smart+ are expected to drive record sales on TikTok ahead of Christmas. Search Ads give brands control over how their content appears on the TikTok search results page, whilst Smart+ automates the performance advertising process to maximise returns.

Director of Retail and Ecommerce at TikTok, said: "For years we've been working to create an advertising and commerce ecosystem to drive real world impact for brands on the platform, and this year it feels like we've taken it to the next level.

"We've been working across 'the funnel' from LIVE shopping sessions, to entertaining brand building ads and performance based marketing campaigns, which combined, are like rocket fuel for retailers. We've been working on this ahead of Black Friday, and now we're set to go up a level during the holiday season."