Major Brand Sales on TikTok Shop Nearly Double as Social Commerce Evolves Into a Serious Retail Channel

Major Brand Sales on TikTok Shop Surge 97% Year-Over-Year

Sales from major brands on TikTok Shop nearly doubled in 2025

TikTok Shop logged more than 103 billion U.S. searches with e-commerce intent in 2025 as the platform attracts bigger players.

According to Modern Retail, sales from "major brands" (companies with annual revenue of $30 million or more) on TikTok Shop nearly doubled in 2025, surging 97% year-over-year. Overall platform transaction volume also increased approximately 80%, with U.S. e-commerce-intent searches exceeding 103 billion.

Major multi-brand retailers including Ulta Beauty and Sally Beauty announced their entry to TikTok Shop, while well-known brands such as Samsung, Ralph Lauren, and Disney also joined the platform during 2025. Patrick Nommensen, Head of Strategic Initiatives at TikTok Shop, noted that "more than 16,000 creators are now generating six-figure-plus sales," underscoring the ecosystem's maturation.

Background and Industry Trends

TikTok Shop launched in the U.S. in September 2023. Initially, it attracted shoppers with heavy subsidies on low-priced goods, establishing an image as a "bargain platform." However, the landscape has changed dramatically over the past two years.

According to research from e-commerce analytics firm Charm, average selling prices on TikTok Shop have risen across major categories. Modern Retail reported that the average price in the footwear category rose 103% from $14.06 (April-October 2024) to $28.64 in the same period of 2025. Sports and outdoor products increased 54%, bags and luggage 43%, and fashion accessories 42%. Charm CEO Alex Nisenzon explained, "As more established brands come on, it raises prices across the category."

Meanwhile, concerns about a potential U.S. TikTok ban that emerged in 2023 have gradually receded, reducing the hesitation major brands had about investing in the platform. The combination of declining regulatory risk and proven sales growth has accelerated major brand entry.

The Accelerating Convergence of Creator Economy and Major Brands

The biggest pillar supporting TikTok Shop's growth is its creator affiliate program. The number of creators earning commissions through TikTok Shop increased 146% year-over-year. This demonstrates that a performance-based affiliate model, rather than mere influencer marketing, is functioning effectively.

Major brands are leveraging this creator network for multi-faceted marketing campaigns. Hershey's promoted its Gold Medal Bar in conjunction with the Winter Olympics by engaging creators from diverse niches including cycling, parenting blogging, and pastry making, simultaneously reaching multiple communities.

In February 2026, PepsiCo launched its first creator-led product, "Flavor Swaps," on TikTok Shop. The company collaborated with singer Madison Beer, streamer iShowSpeed, and sports entertainment group Dude Perfect to release Gen Z-targeted snacks exclusively on the platform. This represents a pioneering case of a major food and beverage company using TikTok Shop as a product launch venue.

Notably, dedicated TikTok Shop hiring is also accelerating. SharkNinja is offering up to $154,000 for a "TikTok Shop Manager" position, and Kenvue (the J&J spinoff behind Neutrogena, Aveeno, and others) is recruiting a social commerce manager. The same organizational trend that created Amazon marketplace specialist teams at companies a decade ago is now playing out for TikTok Shop.

Multi-Brand Retailer Entry Marks a New Turning Point

Particularly noteworthy is the entry of multi-brand retailers. Ulta Beauty CEO Kecia Steelman announced the company's TikTok Shop launch during the March 2026 earnings call. The plan is to initially offer a curated selection of Ulta-exclusive brands, with Steelman stating the goal is to "deliver the Ulta Beauty experience through both social commerce and AI-enhanced commerce." Ulta Beauty recorded 11.8% year-over-year sales growth in the quarter, positioning TikTok Shop as part of its broader digital channel strategy.

Apparel chain Pacsun has also established itself as an early success story. According to Modern Retail, a post by a creator with just 5,000 followers triggered 11,000 jeans sales in 48 hours, and Pacsun achieved $20 million in TikTok Shop sales in 2024. TikTok Shop has grown to represent 10% of Pacsun's e-commerce business.

Impact and Strategies for E-commerce Merchants

TikTok Shop's rapid growth carries the following practical implications for e-commerce merchants.

Creator affiliate utilization is now essential. An ecosystem where over 16,000 creators generate six-figure-plus sales has been established. Matching your products with the right creators is the key to platform success. Registering for TikTok Shop's affiliate program and building a performance-based creator network is the first step.

Consider building a dedicated team. As SharkNinja and Kenvue are hiring dedicated managers, TikTok Shop is no longer a channel to manage on the side. Appointing someone to centrally handle product listings, creator management, and live commerce operations is becoming a competitive differentiator.

Short-form video is the primary battleground. In the U.S., purchases through short-form video are more common than live commerce. Building expertise in product video production and establishing a system for providing assets to creators is critical.

Reassess your pricing strategy. The rise in average selling prices means TikTok Shop is no longer a "race to the bottom" marketplace. Listing products at appropriate prices without damaging brand value is now viable.

Conclusion

In just two and a half years since its U.S. launch, TikTok Shop has evolved into a retail channel where major brands are making serious commitments. The numbers tell the story: 97% growth in major brand sales, 80% increase in transaction volume, and 146% growth in creator participation all indicate the platform has moved from "experimental channel" to "must-include in business planning."

The key development to watch is how multi-brand retailer entries, starting with Ulta Beauty, will transform the platform. If product assortment expands and customer experience improves, TikTok Shop could solidify its position as the second-largest U.S. e-commerce marketplace after Amazon. Social commerce has moved beyond the "consideration" phase and into the "execution" phase.