With the holiday season in full swing, the question of what presents to buy for friends and family is on everyone’s mind. The search for the perfect gifts is increasingly happening online, as shoppers prefer to skip the queues at physical stores and purchase items virtually. Even the act of online shopping has transformed beyond traditional e-commerce clicks. 

Just ask preschool educator Khoo Yu Jie, 26. An active TikTok user, she often taps the app’s Shop icon to buy household products such as facial tissues and laundry pods for home use. Lately, she has been scrolling through the platform to find holiday gifts for others. 

“I plan to give snacks to my colleagues and family members, beauty and skincare products to my friends, and clothes to my partner,” said Ms Khoo. “Using TikTok Shop allows me to find things that may not be available in brick-and-mortar stores, such as those from overseas brands and small local businesses. I also like watching livestreams because I can see the items and ask questions about them in real time before making a purchase.” 

The unique ability of social media to merge retail with entertainment has created a new trend known as ‘shoppertainment’. It offers the convenience of shopping from home, while retaining the interactive experience of in-person shopping. This gives users an all-in-one space where they can discover, engage with and purchase products within a single app, and adds an element of fun and spontaneity to gift-buying.

TAPPING INTO THE SHOPPERTAINMENT PHENOMENON

In a Boston Consulting Group study commissioned by TikTok in 2022, shoppertainment was dubbed as the “future of commerce”. The study presented a positive outlook for this trend in the Asia Pacific, with market value projected to double to US$1 trillion (S$1.4 trillion) by 2025. 

A new TikTok-Accenture report reinforces this outlook and highlights the increasing importance of content communities. According to the report, about 81 per cent of Asia-Pacific consumers expect content-driven platforms to offer comprehensive brand and product information for more effortless shopping. The authors also found that 73 per cent connect in “fluid” ways, such as via hashtags or in the comments section on livestreams. 

The evolution of social media into a retail space — or content-driven commerce — reflects changing consumer habits. This shift has certainly been accelerated by the COVID-19 pandemic, as people became more comfortable with buying products online amid the lockdown and stay-at-home advisories. 

Another factor is the rise in spending power among digital natives, namely tech-savvy millennials and Gen Zers. In particular, the younger Gen Z segment — who tend to value direct communication, transparency and authenticity — appreciates the sense of community and engagement that social media platforms offer.

TikTok Shop has emerged as a leading player in this space, largely due to TikTok’s vast user base and user-friendly design. Livestreams in particular are generating significant interest and excitement. Comparing the first and third quarters of 2024, TikTok Shop saw an increase of more than 50 per cent in the number of shoppers who bought products through livestreams. 

“Features such as shoppable posts, split-screen livestreams and direct checkout options enable our users to discover, evaluate and buy products without leaving the app, creating a seamless shopping experience,” said Mr Leon Koh, category lead (fashion), TikTok Shop. “Furthermore, content is often delivered by trusted influencers, whose authentic and trustworthy product insights resonate with young consumers. Their livestreams are akin to receiving recommendations from a friend.” 

INSPIRED HOLIDAY GIVING

One advantage of shoppertainment is its ability to turn product discovery into an enjoyable experience. Holiday shoppers who may be stumped on what to give friends and family can browse creative, engaging content on social media to research gift ideas, instead of scrolling through static product lists. 

“I have come across gift ideas on my ‘For You’ feed on TikTok,” said Ms Khoo on her year-end shopping. “For example, an in-feed shoppable video led me to buy magnetic eyelashes from a Chinese brand. During livestreams of local clothing brands, I view try-ons and seek clarification on sizing to help me decide whether to purchase an item.” 

Being a heavy online shopper, Ms Khoo is used to scouring various online platforms to find the best deal. She appreciates the discounts and vouchers offered by TikTok Shop to returning buyers, in addition to the convenience of its integrated e-commerce solution. However, what sways her purchase decisions the most are reviews from influencers and other buyers. 

A MORE RESPONSIVE AND SAFER SHOPPING EXPERIENCE

As the shoppertainment trend becomes more established, and digital platform capabilities continue to advance, social media platforms are taking a closer look at the online shopping experience to address customer pain points. Two long-standing issues are the challenges faced when trying to return items, and concerns about the safety of online transactions. 

“At TikTok Shop, we focus on simplifying product returns and ensuring transparent communication between buyers and sellers to build user trust,” explained Mr Koh. “These improvements will enhance customer satisfaction, foster repeat purchases and attract new users.” 

To provide a pleasant shopping experience without regrets, TikTok Shop has improved its aftersales service and implemented a ‘Change of Mind’ policy for a wide variety of categories and products. Buyers can now return products for free up to 15 days after their purchases. More than 1,000 drop-off points have been set up across Singapore, in partnership with Qxpress and SingPost, so that buyers can easily return their parcels. 

Humorous video ads have been shared by TikTok Shop Singapore across its platforms to raise public awareness of this policy. TikTok Shop has also streamlined its customer support service to speed up the resolution time for requests for returns and refunds, which now take 2.5 working days on average. To ensure sellers are not unfairly disadvantaged by the policy, the platform bears return shipping costs in cases where buyers return items due to a change of mind. 

To reassure buyers about the quality of products sold on its platform, TikTok Shop recently launched a Mystery Test Buy Program involving third-party agencies. They conduct inspections on randomly selected items to verify their quality and compliance with standards, covering aspects such as product brand, appearance, material and functionality. 

TikTok Shop users are also encouraged to play an active role in enhancing platform safety by participating in the newly enhanced TikTok ShopSafe Program. Under the programme, users can report — and receive monetary rewards for — any platform vulnerabilities they discover that may contribute to fraudulent activities. This crowd-sourcing tool enables users to protect themselves and others against online scams, and hence navigate the digital marketplace securely.

Through these recent upgrades to the platform, along with its innovative blend of content and commerce, TikTok Shop users can avoid the stress that often comes with gift-shopping — and get into the festive spirit. 

“Shoppertainment provides an immersive shopping experience, grounded in discoverability. This is especially valuable during the year-end shopping season,” said Mr Koh. “Live shopping events, product demonstrations and creator-led promotions can help holiday shoppers find unique gifts that feel more personal, while immediate community feedback adds authenticity and reassurance. Buyers are thus empowered to make quicker and more confident decisions and choose gifts that stand out.”