As of September 2nd, TikTok Shop sellers in the United Kingdom will face increased commission fees, moving from 5% to 9%. This change marks the platform’s first hike since it launched its online marketplace in the UK in 2022. Although they now have higher fees, sellers can still reduce these rates by achieving targets related to TikTok Live sessions and shoppable videos.

Despite this rise, TikTok Shop’s fees remain competitive compared to other platforms. For instance, eBay charges between 5% and 14.9%, depending on the product, while Amazon’s fees range from 7.14% to 15.3%. It’s notable that eBay has removed seller fees on pre-owned clothing to encourage a sustainable, circular economy. However, TikTok’s uniform commission across all product categories could discourage merchants, particularly in the consumer electronics space, where eBay and Amazon charge significantly less.

To align with its vision of “discovery commerce,” TikTok has introduced a “Seller Missions” program. This incentivizes sellers to create engaging content, as collaborative efforts with creators can help attract more viewers. Successful completion of these missions can ultimately lead to reduced commission fees.

Jan Wilk, TikTok Shop UK’s Head of Operations, stated, “We strive to provide the best possible experience for our sellers and buyers. This move enables us to invest further in building the marketplace of the future, including improved operations and services to help our sellers succeed.” This commitment to growth highlights TikTok’s seriousness about maintaining a robust marketplace in the competitive e-commerce landscape.

Sellers in the UK must now consider this fee change while strategizing their business models, ensuring they leverage TikTok’s growing audience through innovative content to thrive.