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TikTok to compete with Amazon in a plan to build US warehouses

New job listings suggest that TikTok wants to own the logistics for its e-commerce operations in the U.S., a move that can rival Amazon.
Image: Solen Feyissa. Flickr. CC by 2.0

Several job positions recently posted on TikTok’s hiring site and LinkedIn profile suggest the company is trying to establish a new logistics and warehouse network in the United States to support its e-commerce initiatives.

TikTok has listed several job openings on LinkedIn in the previous two weeks to expand its Fulfilment by TikTok Shop in the United States to serve sellers on the app. The listings suggest TikTok will offer storage, shipping, and return policies to its merchants.

TikTok, following in the footsteps of other social networks, has diversified into e-commerce to increase potential revenue. TikTok Shop, a retail feature that allows creators and businesses to sell goods on the network, is already available in several markets. The company has also teamed up with Shopify to provide e-commerce to the site.

Job ads show that TikTok is looking to expand even more. It’s possible that TikTok’s goal is to give more than just a means of communication with consumers by also aiding in the development of what it calls “a completely new and improved e-commerce experience.”

Postings indicate that TikTok is in search of people to help with the development of an “international e-commerce fulfilment system,” which will presumably consist of international warehousing, customs clearing, and supply chain systems to back up both the company’s domestic US e-commerce operations and its international trade initiatives. Eventually, the systems will handle free returns, transfer items between locations, and execute parcel consolidation.

The company may have considerably grander ambitions than initially thought; a job posting in Seattle makes reference to a “global e-commerce team” and a “team member who will be responsible for creating a global warehouse network.”

The company stated in the job postings, “The e-commerce market has seen remarkable growth in recent years and has become a strongly contested space amongst prominent Internet companies, and its future growth cannot be underestimated.  TikTok, with its millions of dedicated users, is the perfect place for us to introduce our viewers to a revolutionary new kind of online shopping.”

Jobs in Seattle, the home of Amazon’s original headquarters, are plentiful. Amazon’s extensive logistics and delivery network made it a go-to platform for many retailers, allowing the company to stock a wide variety of items and ship them out quickly.

The company’s spokesman did not want to provide any additional information on the new positions. In a statement, TikTok’s spokesman said that the business is focusing on creating a valuable purchasing experience in countries where TikTok Shop is already accessible across Southeast Asia and the UK by giving retailers more ways to customise their offerings and get them to customers.

TikTok is a major participant in the digital space, drawing in over a billion people per month. Amazon has held a near-monopoly on the online retail market for years, but this may change if another company were to develop its e-commerce supply chain system.

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