[ BDSN ] 😱 The most money you’ll ever lose

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The Holy Grail of reviews. If this is your product and you are not using this screenshot in your social media advertising, you are leaving money on the table (see today’s parting shot at the end of this email).

⏲️ TIKTOK SHOP is FIGHTING and GROWING

TikTok Shop's growth amidst regulatory challenges:

• Rapid Growth: Since President Biden signed a law potentially banning TikTok in early 2024, TikTok Shop has seen a significant increase in popularity. Orders from TikTok Shop jumped by 13% from April to May, nearly double the average monthly increase of 7% since the beginning of the year.

• Market Expansion: Launched in the U.S. in September 2023, TikTok Shop quickly attracted over half a million sellers by the end of the year. It aims to reach $17.5 billion in sales in the U.S. by the end of 2024.

• Competition with Amazon: Data indicates TikTok Shop is starting to encroach on Amazon's market share. While Amazon's order volume grew by only 1% month-over-month in early 2024, TikTok Shop's grew by 7%.

• Hiring Spree: TikTok is bolstering its U.S. operations by hiring hundreds of employees to support TikTok Shop, including roles for regulatory engagement and intellectual property protection.

Impact on Other E-commerce Platforms:

• Potential Beneficiaries: If TikTok is banned, Chinese e-commerce platforms like Temu and Shein could benefit significantly. Temu was the most downloaded app (excluding games) in 2023 and Shein ranked sixth.

• Shift in Consumer Behavior: In the event of a ban, consumers who frequent TikTok Shop are more likely to migrate to platforms like Temu and Shein rather than Walmart or Amazon.

Market Insights:

• Customer Preferences: TikTok Shop appeals to consumers seeking unique, low-cost items often tied to current internet trends, differentiating it from Amazon, which focuses on a broader range of products.

• Algorithm Boost: There are indications that TikTok's algorithm favors content promoting TikTok Shop, encouraging more engagement and sales through the platform.

Challenges and Uncertainties:

• Regulatory Impact: The uncertainty surrounding TikTok's future in the U.S. is affecting some merchants. For example, top seller Puneet Nanda experienced a 30% drop in sales following the signing of the divest-or-ban law.

• Continued Investment: Despite regulatory threats, ByteDance is heavily investing in the U.S. market, even pulling resources from European expansion to focus on American growth.
  
  Starting July 9, TikTok Shop will offer sales on thousands of items, including clothing, beauty products, books and decor.

If you have not yet started selling on TikTok, and you are in the United States. there’s probably no one better than Michelle Barnum Smith (in the video above) to walk you through how to get set up quickly.

She has a FREE comprehensive Quickstart Guide you can access here. It’s a step-by-step roadmap on everything you need to do to get up and running on TikTok.

See today’s “Parting Shot” at the bottom of this email on why you should do this today if you haven’t yet.

If you are looking for a good personality who knows how to sell products for Amazon Sellers on TikTok (as well Amazon Live & Instagram), then BDSS Dream 100 member Gracey Ryback may be able to help you.

If you have the right kind of product and deal, she can get you in front of a lot of buyers on social media or in her deals newsletter.

Here’s a hack for TikTok fulfillment from BDSS attendees Kate Ames in response to Amy Wees in the super active and helpful private BDSS Whatsapp group available only to previous attendees of any live or virtual BDSS event.

But wait. There’s more! Another tool a lot of sellers use is WeeBee:

🔓 You’ve got access to Walmart Marketplace’s
most competitive rates of the year!

🤑 AMAZON to MAKE $5.2B from FBA FEE CHANGES

Last December, Amazon announced it would decrease its base FBA fee and introduce a couple new fees for inbound placement and low inventory levels.

Sellers threw a fit. Amazon told them to chill out and said most are likely to see a reduction in costs. Ohhh how Amazon often lies with a smile.

Wells Fargo analyst Ken Gawrelski has crunched the numbers. Last week he said, “We estimate 2024 FBA changes are $5.2 billion operating income accretive on an annualized basis.” He expects Q2 2024 results to fully reflect the benefit for the first time.

Gawrelski believes Amazon is likely to externalize an additional $0.35 per unit in fulfillment center costs to sellers, suggesting an overall lift of about $0.50 in North American FBA profit per unit sold.

Amazon should at least send us all a thank-you card.

⚒️ AWESOME SELLER CENTRAL CHROME EXTENSION

Here’s a nifty free Chrome productivity extension that will make a lot of Amazon sellers lives better.

Features:

1. SQP fetcher - allows you to schedule Search Query Performance (SQP) downloads for groups of ASINs across multiple date ranges. Reports are downloaded to your desktop.

Reports can be downloaded and combined into a single CSV or downloaded for each each ASIN as individual CSVs. It also includes the option to sum across date ranges and includes the same support for brands.

2. Advertising Console TACOS chart - the extension automatically renders an option TACOS chart on the campaigns page on Amazon's advertising console. This helpful chart adds additional KPIs like TACOS, % of Ad Sales, PPC CVR, and Unit Session Percentage.

3. Product detail page parent-child table - An optional table that automatically loads on Amazon product detail pages. The table lists all of the child variations and their ASINs across all of the associated themes and options available.

The widget includes a native clipboard to copy the data directly into Google Sheets or Excel.

Download it here

😇  HALO AFFECT on AMAZON SALES is REAL

⚓ LINK SOLUTION for AMAZON SELLERS on TIKTOK

This tip comes courtesy of the team at Rankster.

What is the biggest problem with TikTok for Amazon sellers?

You cannot use links on TikTok posts. You can use the ‘link in bio’ but you only get one link and it’s not ideal.

⚠️ The solution is TikTok Anchors. 

It allows you to add your links to organic and paid posts by adding a link to the comment section.

SOME FOOD FOR THOUGHT (stats as of Q1):

39,000 TikTok creators have 1M+ followers
2 years ago it was 2200

There are also 41,900 YouTube channels with 1M+ subscribers
And nearly 400,000 with over 100K

What’s driving growth on YouTube? TikTok’s competitor: Shorts

Shorts now has 70B daily views from over 2B users every month

Are you taking advantage?

Pretty cool (no pun intended) - One of the world’s top Youtube & TikTok “Hooks Creators” will be speaking at BDSS XI in Iceland next year showing attendees how to crush it with hooks to clicks on short form product videos.

🔬 FIND YOUR NEXT WINNING PRODUCT

Struggling to find a product to sell on Amazon?

Feeling buried under mountains of data?

Izabella Ritz from Ritz Momentum has you covered! She’s got 9 years of experience with multiple exits under her belt.

And she excels at the hardest thing to get right about selling on Amazon … Product Research 🔍

She’s doing a Zoom webinar every day next week at 12pm EST to show you step-by-step how to find your next winning product.

Join her FREE 5-Day “Find My Amazon Product” Challenge!

Want to be featured in this section? Use your referral link in this email to refer at least 10 active subscribers to get your event, course, webinar or tool “Shouted-Out” free to 9,200+ subscribers.

✌🏼 Happy Canada Day today. See you again on Independence Day …

The answer to today’s STUMP BEZOS is
$200 billion dollars