The rise of TikTok as a shopping App: platform reaches $66 billion global GMV

TikTok Shop doubles sales, driving US and UK E-commerce growth by turning impulse moments into transactions.

TikTok Shop has completed its dramatic transformation from a novelty feature into a global retail powerhouse, projecting its Gross Merchandise Value (GMV) to reach approximately $66 billion for the full year 2025. That’s a near 100% growth compared to the previous year's total of $33.2 billion.

The platform's success is rooted in its unique "discovery commerce" model, which integrates shopping links directly into viral short-form videos and live streams, turning unexpected content into impulse purchases.

Key metrics of the shopping revolution

TikTok Shop is not just growing; it is fundamentally altering where consumers begin their shopping journey, particularly among younger demographics. The projected $66 billion GMV for 2025 cements TikTok Shop's position as a top-tier global e-commerce entity.

In the United States, the platform's GMV is expected to surge past $10 billion for the year, an increase of over 90% year-over-year. This rapid ascent means TikTok Shop now accounts for nearly 20% of the total U.S. social commerce market.

The marketplace has also become a critical revenue channel in the UK, reporting that over 200,000 UK small and medium businesses are now actively selling, alongside major retailers like Marks & Spencer and Sainsbury's. One recent M&S livestream attracted 260,000 viewers, demonstrating the power of live commerce.

Key drivers of the TikTok shopping revolution

• The Gen Z factor: Shoppers aged 18–24 are 3.2 times more likely to purchase from TikTok Shop than the average buyer, and studies show that 43% of Gen Z now use TikTok as their starting point for product searches, bypassing traditional search engines like Google.

• Creator-led sales: A staggering 60% of TikTok Shop's total GMV is generated through creator-affiliate partnerships, where influencers promote products via embedded links in their videos. This has made influencer marketing an indispensable and highly profitable component of the platform.

• Impulse-driven categories: The platform’s top-selling categories—Health, Wellness, and Beauty—excel because they rely heavily on video demonstration and immediate gratification. Products that inspire an immediate purchase ("unboxing" videos, makeup tutorials) see the highest conversion rates.

The platform proved its seasonal power, with its largest single sales peak occurring during the Black Friday/Cyber Monday period, demonstrating that it can now compete directly with traditional e-commerce giants during peak shopping events.

The immense growth has forced traditional retailers and e-commerce rivals like Amazon to fundamentally rethink their discovery and marketing strategies to counter the disruptive "scroll-to-sale" model.