New post Need visibility? Apply for a FREE post for your Startup.  Apply Here

MobileNews

Walmart Shows Interest in Buying TikTok

2 Mins read

As the US business arm of TikTok is up for grab, Walmart has joined the queue of intending owners of the short video sharing app.

Walmart is partnering with Microsoft to acquire TikTok in the midst of TikTok’s biggest political and security challenge in the United States.

Analysts have said that Walmart Inc.’s bid for the video-sharing social networking is a way for the retail giant to reach younger consumers, which will be key to the company’s long-term growth.

Walmart believes that the deal, if it comes through, is capable of adding lots of benefits to the company’s e-commerce and advertising business.

We believe a potential relationship with TikTok U.S. in partnership with Microsoft could add this key functionality and provide Walmart with an important way for us to reach and serve omni-channel customers as well as grow our third-party marketplace and advertising businesses,” Walmart said.

We are confident that a Walmart and Microsoft partnership would meet both the expectations of US TikTok users while satisfying the concerns of US government regulators,” the retail giant continued.

The retail company claims that its interest in buying TikTok stems from the way TikTok has integrated e-commerce and advertising, and increased its access to customers.

Chinese e-commerce platforms have for years been adding livestreaming to their apps, and video apps have been adding shopping functions.

According to the estimation of Bernstein, a research firm, in all, $140 billion in merchandise could be sold in China this year via livestreaming, more than double last year’s amount.

Chinese commerce giants like Pinduoduo and Duoyin have successfully integrated pop music into their e-commerce websites, allowing pop stars to upload their music video to their online stores.

This has made it possible for shopper to stumble on music they love while shopping; also, while scrolling through, music lovers could stumble on products they desire at prices that fits their budget.

You’re scrolling very quick through content, you will think twice about it, then basically the video is gone already. That’s why I think the Walmart thing is pretty interesting. They can sell their cheaper products directly to that audience in TikTok,” Mr Bern of Bernstein said.

According to NY Times, ByteDance, the company that runs both Duoyin and TikTok, began testing e-commerce features on Douyin in 2018. That was well before the company rolled out a “Shop Now” button to TikTok.

It is believed that Walmart is trying to pursue this model with the acquisition of TikTok, with Microsoft.

Don’t miss any tech news ever!

We don’t spam! Read our privacy policy for more info.

777 posts

About author
When I'm not reading about tech, I'm writing about it, or thinking about the next weird food combinations to try. I do all these with my headphones plugged in, and a sticky note on my computer with the words: "The galaxy needs saving, Star Lord."
Articles
Related posts
News

Google Begins Rolling Out Gemini AI Integration in Google Messages Beta on Some Devices

2 Mins read
Google has reportedly begun rolling out a beta integration of its conversational AI, Gemini, directly within the messaging app. Get ready to…
News

WhatsApp Testing Feature to Allow Users Set HD Photo and Video as Default Uploads

2 Mins read
Attention photo and videography enthusiasts who use WhatsApp! The wait for effortless high-quality media sharing might be nearing its end. According to…
News

MTN Group to invest billions in boosting Data and Fintech services across Africa

1 Mins read
In a move to solidify its position in the rapidly evolving digital landscape, MTN Group, the telecommunications giant, has announced plans to…
Newsletter Subscription

🤞 Don’t miss any update!

We don’t spam! Read more in our privacy policy

Join our Telegram channel here - t.me/TechpadiAfrica

Leave a Reply