TikTok Shop vs TikTok Business: What’s The Difference?

June 11, 2024

TikTok Shop enables users to discover and buy products directly from brands and creators within the app. In contrast, TikTok Business provides tools and resources for businesses. They use them to create, manage, and analyze their marketing campaigns on the platform. This includes features like TikTok Ads Manager and analytics tools.

TikTok Shop

Users can browse, select, and purchase products without leaving the TikTok app.

Businesses can host live streams to showcase products. And also interact with customers in real-time to drivee sales through live shopping.

The shop integrates with TikTok's content. This allow creators to tag products in their videos, making it easy for viewers to purchase.

TikTok Shop supports various payment methods, making transactions smooth and convenient for users.

The platform provides detailed analytics to track sales. This is to understand customer behavior and optimize marketing strategies.

TikTok Business

Offers a variety of ad formats, including In-Feed Ads, Branded Hashtag Challenges, TopView, and Branded Effects. This is to engage users creatively.

A comprehensive tool for creating, managing, and analyzing ad campaigns. It offers detailed targeting options to reach specific demographics.

Access to TikTok's creative tools and resources. This to help businesses design engaging and effective ads.

Detailed performance metrics to track the success of ad campaigns and make data-driven decisions.

Access to support and educational resources helps businesses. They use these resources to maximize their ads on TikTok.

A Reddit user has a decade of digital marketing experience. They are new to TikTok and ask whether to make a TikTok Business account. Or, should they stick to a personal account, or use a creator account for their small PPC agency. 

One reply suggests starting with a personal pro account for access to trending songs and analytics. It notes that a business account is required for running ads. And, for adding a bio link without follower restrictions. Another reply simply recommends a business account for advanced analytics and tools.

In this article, we will share insights on the TikTok Shop and TikTok Business. We will also provide a detailed comparison between the two. We will also learn a better option that drives more realistic results for your online business. 

TikTok Shop vs TikTok Business 


TikTok Shop

TikTok Business

Product Description

TikTok Shop is a feature within the TikTok app that allows users to browse and purchase products directly from the platform.

TikTok Business is a set of tools and resources. They are for businesses and marketers to make, promote, and study their ads on TikTok.

Target User 

Targeted towards individual users interested in discovering and purchasing products featured on TikTok.

Targeted towards businesses, brands, and marketers looking to advertise and promote their products or services on TikTok.

Key Features

In-app shopping experience

Product discovery through curated collections and personalized recommendations

Seamless checkout process

Ad creation tools such as TikTok Ads Manager

Targeting options to reach specific audience demographics

Performance tracking and analytics

Collaboration opportunities with influencers

Use Case

Users can browse, discover, and purchase products directly within the TikTok app.

Businesses can create and manage advertising campaigns

Integration Capabilities

Integrates seamlessly within the TikTok app.

Integrates with various third-party platforms for tracking, analytics, and ad management.


Users pay for products they purchase. There are no additional fees associated with using the TikTok Shop feature.

Costs vary depending on the advertising budget set by businesses for their campaigns. TikTok offers various advertising options, including cost-per-click (CPC) and cost-per-impression (CPM) models.

Geographic Availability

Availability may vary depending on the region. But TikTok has been expanding its e-commerce features globally.

Available in multiple countries where TikTok operates as an advertising platform.

Analytics and Reporting 

Limited to basic order and transaction tracking within the app.

Provides detailed analytics and reporting. This include ad performance, audience engagement, and campaign metrics through TikTok Ads Manager.

Customer Interactions 

Limited interaction beyond product browsing and purchasing.

Businesses can interact with customers through comments, direct messages, and influencer collaborations. The purpose is to drive engagement and brand loyalty.

Content Creation Tools

Primarily focused on showcasing product listings within the TikTok app.

Offers a range of creative tools and formats for businesses. This is to produce engaging ad, content filters, effects, and music.

TikTok Shop VS TikTok Business: How Will You Leverage Both Platforms?

TikTok Shop and TikTok Business can be leveraged together for a comprehensive marketing strategy. For TikTok Shop, it allows businesses to sell products directly within the TikTok app. This integrates e-commerce with the platform’s social media experience. The feature makes it easier for users to purchase items they see in videos. Thus, reducing friction in the buying process and potentially increasing conversion rates. It also allows for features like live shopping. This is where influencers or brands can showcase products in real-time, driving immediate sales.

On the other hand, TikTok Business offers tools for advertising and marketing. It provides businesses with access to various ad formats. These includes in-feed ads, branded hashtags, and branded effects. TikTok Business also offers analytics and insights. The purpose is to enable businesses to track the performance of their campaigns. Plus, optimize them 

Is TikTok Good for Business?

TikTok is good for businesses, especially small businesses. This is due to its wider user base and the viral nature of its content. As of 2023, it has over 1 billion active users. It offers a unique platform for businesses to reach a broad audience with engaging, short videos.

Small businesses can use TikTok. They can do this by creating a TikTok Creator account. This account provides tools and data to track performance. It also helps to engage with followers well. A TikTok Creator can use trends. They boost visibility and drive traffic to their products or services with sounds, hashtags, and challenges. 

In addition, you need a TikTok Business Account to set up a TikTok Shop and sell products directly on the platform. This account type offers features tailored for businesses. It provides access to TikTok's e-commerce solutions and analytics tools. Plus, it lets you run ads. 

Sprout Social says TikTok's engagement rate is much higher. It's higher compared to other social media platforms. For instance, TikTok has an average engagement rate of 5.96% for accounts with fewer than 1,000 followers. This is compared to 1.18% on Instagram. This makes it an attractive option for small businesses. They want to maximize reach and engagement with minimal investment. Also, 70% of TikTok users report buying something they saw advertised on the platform. This highlights its potential for driving sales.

How To Use TikTok Business?

To use TikTok for business, here's a guide from Santrel Media YouTube channel. 

  • Create a Business Account: Download TikTok. Sign up using a business email. Then, switch to a business account to get professional features.
  • Use Analytics and Tools: This helps understand viewer engagement and demographics. This data is crucial for tailoring content and marketing.
  • Engage Through Organic Content: Post content that resonates with your target audience. Use trends and popular topics on TikTok to increase visibility.
  • Implement Paid Advertising: Use TikTok's ads to target specific groups. These ads drive actions like purchases or sign-ups through well-crafted ads. 
  • Leverage TikTok's Features: Take advantage of features exclusive to business accounts like TikTok shops, live streaming, and conversion tools to enhance direct sales and viewer interaction.

TikTok Shop vs TikTok Business: Pros and Cons

TikTok Shop Pros and Cons


TikTok Shop allows users to purchase products directly within the app. This streamlines the shopping experience. Plus, reducing the steps needed to complete a purchase.

A higher likelihood of impulse purchases and reduced cart abandonment. This is due to the ability to buy products directly through TikTok.

Businesses can collaborate with influencers to promote products directly through the shop. This leverage their reach and trust with their audience.

TikTok Shop provides detailed analytics on product performance. It helps businesses understand what works and what doesn’t.

Streamline the buying process and potentially increasing conversion rates. This is because users can make purchases without leaving the TikTok app


Competition among sellers within the platform is growing. This makes it harder for businesses to stand out.

TikTok Shop storefronts have fewer customization options than standalone e-commerce sites. This impacts branding and user experience.

Businesses using TikTok Shop are reliant on the platform's policies and algorithms. It can change over time and affect visibility and sales.

TikTok may charge transaction fees for sales made through TikTok Shop. It cuts into profit margins for businesses.

To succeed on TikTok Shop, businesses need engaging content that resonates with users. This takes time and resources.

TikTok Business Pros and Cons


TikTok Business offers marketing tools and analytics. They help businesses reach their target audience and measure their campaign's performance.

Businesses can use TikTok Business to raise brand awareness. They can also engage with customers and show products or services through creative content.

TikTok Business provides businesses with data about their audience. The data includes demographics, interests, and behavior. It allows for more targeted marketing.

TikTok Business is different from TikTok Shop. It doesn't involve direct sales. This gives businesses more flexibility. They can choose how to make money from their presence on the platform.

Businesses can use TikTok Business to build a community around their brand. They can encourage user-made content, collaborations, and interactions.


TikTok Shop doesn't support direct sales in the app. It requires businesses to send customers to external sites or stores to buy.

TikTok Business operates in a tough market. Businesses vie for users' attention amid a flood of content.

Changes to TikTok's algorithm can impact how visible businesses' content is. This affects their reach and engagement.

Making content that engages TikTok's audience is hard and time-consuming for businesses. This is especially true for those new to the platform.

TikTok Business offers ads. But, ad costs on the platform can be high. This is especially true for businesses with small marketing budgets.

TikTok Shop VS TikTok Business: Integration With Other Platforms

TikTok Shop Integrations

E-commerce Platforms

  • Shopify: TikTok Shop integrates with Shopify, allowing merchants to sync their Shopify products to TikTok and manage their TikTok Shop directly from their Shopify dashboard.
  • BigCommerce: Similar to Shopify, BigCommerce integration enables product synchronization and management of TikTok Shop directly from the BigCommerce platform.
  • WooCommerce: Through various plugins, WooCommerce stores can integrate with TikTok, enabling product listing synchronization and shop management.

Payment Gateways

TikTok Shop supports various payment gateways but may vary depending on the region. Some of the common payment methods include: 

  • Debit and credit card
  • Apple Pay
  • Google Pay
  • PayPal

TikTok Business Integrations

Advertising Platforms 

  • Facebook Ads: Businesses can integrate Facebook Ads to manage cross-platform campaigns more effectively. 
  • Google Ads: Some third-party tools support cross-platform campaign management. These allow businesses to integrate TikTok campaigns with Google Ads.

Marketing Automation Tools

  • HubSpot: Integration with HubSpot allows TikTok ad data in automating and optimizing campaigns.
  • Salesforce: Salesforce integration helps in syncing TikTok ad performance data. This provide a unified view of marketing efforts.

Analytics Platforms 

  • Google Analytics: Businesses can track ad performance by integrating TikTok with Google Analytics. This help them understand user behavior and conversion metrics. 
  • Adobe Analytics: This integration provides in-depth analysis of TikTok ad campaigns. Thus, aiding in more refined marketing strategies.

Social Media Management Tools 

  • Hootsuite: Hootsuite supports TikTok that allows businesses to schedule posts, manage content, and analyze performance across multiple social media platforms. 
  • Sprout Social: Similar to Hootsuite, Sprout Social offers tools to manage TikTok presence alongside other social media channels.

TikTok Shop VS TikTok Business: Who Is it for? 

TikTok Shop Is for E-commerce Sellers and Retailers

TikTok Shop is for E-commerce sellers and retailers because it offers a platform to reach a massive, engaged audience through short, entertaining videos. It integrates shopping features directly into the app. This enables seamless product discovery, promotion, and purchase within the same interface. TikTok's algorithm helps sellers target potential buyers effectively. Hence, enhancing visibility and sales. The platform also supports influencer partnerships that help drive traffic and credibility. 

Elyse, a vlogger and entrepreneur, how her business made $41,000 in one day thanks to a viral TikTok video about their grab bags. Her marketing included Facebook, Instagram, email, and text messages, but TikTok had the biggest impact. It gained over 4 million views and an extra $7,000-$8,000 in sales from TikTok Shop. Her team worked all weekend to keep up with orders. This shows how TikTok Shop can be a powerful tool for e-commerce sellers, driving huge traffic and sales through viral content.

TikTok Business Is for Marketers and Advertisers 

TikTok Business is for marketers and advertisers searching for short-form video content because TikTok users are known for their high engagement rates. It has an average user spending over 90 minutes per day on the app, making it an ideal platform for driving brand awareness.

One standout success story is that of the e-commerce brand Gymshark. Gymshark leveraged TikTok to tap into the platform's young, fitness-focused audience. By creating challenges and workout routines, Gymshark significantly increased its brand visibility. Their #Gymshark66 challenge encouraged users to share their 66-day fitness journeys, generating millions of views and a surge in user engagement.

TikTok Shop VS TikTok Business: Case Studies and Practical Examples 

TikTok Shop Case Studies


AFTERSHOCK PC, a custom PC builder from Singapore, used TikTok Shop to engage with PC enthusiasts. They posted funny skits, educational videos by IT professionals, and live streams of PC building and product launches. This approach entertained and informed their audience, resulting in significant growth. During the 11.11 and 12.12 sales events, they saw a 92% increase in views. They also gained over 400,000 impressions. This increased brand awareness among their 212,000 followers.

2. MySmile

MySmile, a teeth-whitening brand, successfully used TikTok Shop to reach a wider audience. They created engaging, educational content featuring user testimonials and influencer collaborations. This strategy increased their sales and brand visibility.

3. Goodfair

Goodfair, an online thrift store, used TikTok Shop to promote their sustainable fashion. They created engaging videos and live streams that appealed to eco-conscious consumers. This is to showcase their unique thrifted items. By telling stories about the origins of their products and the benefits of thrifting, they attracted a loyal following. It increased traffic to their TikTok Shop, boosted sales and customer engagement.

TikTok Business Practical Examples

1. Vodafone

Vodafone's gamified campaign on TikTok significantly boosted their marketing success. They saw a threefold increase in conversion rates. This is a 38% reduction in cost per lead. Thus, TikTok's contribution to their overall marketing efforts grew sevenfold. These results highlight the platform's effectiveness in engaging users and providing cost-efficient marketing solutions.

2. Bridal Babes

Bridal Babes is a retailer for size-inclusive bridesmaid dresses. They used TikTok for Business to grow their brand and boost sales. By using TikTok's Promote feature, they increased their website traffic by 75%. Their videos got over 1 million views and high engagement rates, leading to a 50% rise in sales. This shows how effective TikTok is for reaching and engaging a larger audience.


CARSOME used TikTok to engage a younger audience with humorous and credible ads. They used the Smart Audience feature and collaborated with creators. This resulted in 44% more likable content. Plus, 15% higher engagement compared to other platforms. Their ads had twice as many six-second video views and double the engagement rates. This strategy boosted their brand visibility and audience interaction significantly.

Why Local Lead Gen Biz Is Great Option for Financial Freedom?

Local lead generation is a great option for financial freedom due to its scalability, low startup costs, and recurring revenue model. They require minimal investment compared to TikTok Shop and TikTok Business. For instance, starting a local lead gen business can cost under $1,000. E-commerce setups often need $10,000 or more.

Local lead generation also benefits from predictable income. Once established, creating leads for local businesses can bring a stable, passive income. For example, one lead generation site can earn $500 to $2,000 per month. Thus, it provides a steady revenue flow.


In contrast, TikTok Shop and TikTok Business need continuous content and marketing. They need these things to stay competitive. TikTok's algorithm changes and platform reliance add risks. Statistics show that only 10-20% of small businesses succeed in e-commerce. This is due to high competition and low profits. In contrast, local lead gen businesses often see higher success rates and faster profits. This is due to targeted, local demand.

Local lead generation has low costs and high profits. It is a reliable path to financial independence. The stability, scalability, and profitability of local lead generation make it a superior choice for achieving financial freedom.

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Ippei Kanehara

$52K per month providing lead generation services to small businesses

Ippei.com is for digital hustlers, industry leaders and online business owners.

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