American Express is partnering with TikTok ahead of Small Business Saturday, a global movement intended to drive $100 billion in reported consumer spending for small businesses between 2021 and 2025.
While Small Business Saturday, takes place on November 26, the two companies will partner up to release a #ShopSmall Accelerator on November 14. The Accelerator is a video resource toolkit designed to help small businesses better understand how to leverage social media into sales, engagement, marketing and branding. The #ShopSmall Accelerator will also feature an offer for small business owners to earn a $100 advertising credit once they have spent $50 on a TikTok Ad campaign.
The two companies also said they hope to reach a new generation of shoppers through their partnership, specifically targeting younger, Gen-Z customers who frequently use social media platforms such as TikTok to search for gift ideas and get information about products and services. In fact, according to American Express’ Shop Small Impact Study, 67% of Gen-Z users have shopped from a small business that was displayed on the TikTok ‘For You’ Page.
As part of the Accelerator initiative, the companies are enlisting the guidance of lifestyle creators Anna Sitar and Sofia Bella, as well as small business owner Brandon Blackwood, to teach users how to utilize TikTok to search for information and drive customer engagement. Musical artist Chlöe Bailey has also curated a “Shop Small Soundtrack,” which TikTok users can use alongside their content.
“More and more American small businesses are turning to TikTok to take us inside their world in a fun, authentic way, and as a result, they are reaching new customers, hiring more employees and growing their business. The real world impact is undeniable, with 44% of TikTok users saying that they discovered something on the platform and immediately went out to buy it, according to our Global Retail Path To Purchase Study,” said Sofia Hernandez, Global Head of Business Marketing for TikTok.
Attracting The TikTok Shopper
This is not the first time a business has recruited TikTok to help boost social commerce efforts. In September, Walmart Connect expanded their capabilities across various social channels and tech companies, allowing advertisers to use social media, entertainment, t-commerce, and live streaming via new ad formats.
Companies like Procter & Gamble (P&G), Johnson & Johnson (J&J), and Samsung signed up for the service, which uses TikTok, Snap, Firework and other platforms to advertise and connect with customers across multiple channels.
In this report, RIS explores how retailers are enhancing consumer experiences with greater personalization through the use of first-party data, harnessing the potential of artificial intelligence, loyalty programs, retail media, and other strategic tech investments.