Project Digitisation, Research, and Technology Lead
USIU-Africa
In recent years, TikTok has rapidly grown from a platform for sharing short, entertaining videos that many Kenyans enjoyed during the Covid-19 lockdowns to now a powerful global tool for entrepreneurship and commerce at immense scale.
Here in Kenya, the rise of TikTok Live selling has revolutionised how individuals and small businesses reach their customers in ways much different than traditional social media and its peaked penetration and reach.
The new enhanced social media wave of digital commerce has provided a lifeline for many, particularly in the recovery aftermath of the pandemic that severely disrupted traditional retail models.
The rise of TikTok live selling emerged out of Covid-19 many businesses were to close their physical stores, pushing them to explore online platforms for survival.
While traditional e-commerce websites per retail brand and collective sales platforms as well as social media platforms like Instagram, YouTube, Twitter, and Facebook were already popular for selling products, TikTok introduced a unique opportunity through its live streaming feature that was more engaging than its then YouTube, Facebook, or Instagram equivalent live features.
TikTok Live selling allowed users to showcase their products in real-time, interact with potential buyers during the lives, and complete transactions instantly also during the live sessions.
Such a dynamic and interactive form of selling exploded in popularity and became increasingly prolific in Kenya where entrepreneurship thrives and the demand for innovative business solutions remains high.
What makes TikTok Live selling particularly appealing?
It circles around its remarkable accessibility. Anyone with a smartphone and a TikTok account can become a seller easier than other social media platforms.
There is no need for an elaborate setup or significant capital investment or linking traditional social media to various off-platform payment solutions. As long as the user has built a following of viewers on the platform, they can start selling their products live.
Such a move has democratised commerce, allowing individuals from all walks of life to participate in the digital economy empowering Kenyans to sell even beyond our borders.
The impact on small businesses and individual entrepreneurs continues to grow exponentially as TikTok Live selling opens up new avenues for growth.
Traditional barriers to entry, such as high rental costs for physical stores that includes not just store set-up but also rental deposits and goodwill payments as well as limited marketing budgets to reach wide audiences, are no longer obstacles as long as content posted is catchy and fits within what viewers like to see and therefore gets picked up by the powerful TikTok algorithm to thrust onto viewers’ “For You” pages.
Therefore, sellers both big and small can reach a wide audience without the need for expensive advertising campaigns.
Moreover, the interactive nature of live selling enables sellers to engage directly with customers, answer their questions, and demonstrate their products, which can significantly increase the chances of making a sale without needing robust customer service staff lined up.
In Kenya, where our informal sector plays a critical role in the economy, TikTok Live selling has been even more of a game-changer.
Many juakali sellers who previously relied on word-of-mouth or small market stalls now have access to a nationwide, regional, and international customer bases for both physical products and also services such as physical fitness, meal plans, basic bookkeeping, fashion advice, life coaching, etc.
This has not only boosted their sales but also allowed them to establish brands and build loyal customer followings.
The ability to receive instant customer feedback and adapt swiftly to customer preferences in real-time is another advantage that has contributed to the success of live selling on TikTok.
While TikTok Live selling presents numerous opportunities, it also indeed comes with challenges. One of the main issues revolves around the unpredictability of the platform.
TikTok’s works differently than other social media platforms whereby its powerful algorithm drives traffic, which determines the visibility of entrepreneurs’ content, can be difficult to learn how to navigate.
Sellers may find that their live streams do not reach as many viewers as expected, which can affect sales. Additionally, building a substantial following on TikTok takes a lot of time and immense thought and effort to be creative and catchy.
To mitigate the challenges, unique and thoughtful content creation, engagement with followers, and consistency are key to growing an audience, but these can be demanding for individuals who may already be juggling multiple time responsibilities.
Another challenge is the lack of formal structures for conducting business on TikTok. Unlike established e-commerce platforms that offer integrated payment systems and buyer protection, TikTok transactions are often conducted informally.
This can lead to issues such as disputes over product quality, delivery times, and sometimes payment methods. Sellers must navigate these challenges while maintaining trust and credibility with their customers.
Despite these challenges, the future of TikTok Live selling in Kenya appears promising. As more even more Kenyans gain access to smartphones and the internet, the potential for digital commerce continues to grow even in our most remote areas.
The platform is expected to evolve, with features that better support sellers and streamline the buying process.
Additionally, as the Kenyan government continues to promote digital transformation, there may be opportunities for regulation and support that could enhance the safety and reliability of online transactions.
However, for now, TikTok Live selling remains a vibrant and rapidly growing segment of Kenya’s digital economy.
It represents a shift in how businesses operate, moving away from traditional brick-and-mortar setups and long-established ecommerce and social media platforms to more flexible and accessible online models.
For many of us Kenyans, especially young entrepreneurs, TikTok has become more than just a platform for entertainment. It is now truly a marketplace, a community, and a powerful tool for economic empowerment.
Peter Kariithi is a project Digitisation, Research, and Technology Lead at USIU-Africa