How small businesses can use TikTok to attract new customers

Hot on the heels of TikTok’s stateside launch of its in-app shopping tools earlier this week, American Express debuts a partnership that leverages TikTok influencers’ expertise to help market small businesses and attract new shoppers ahead of Small Business Saturday on November 26. The Amex #ShopSmall Accelerator is a new content hub where TikTok creators, including Sofia Bella (4.3 million followers), Anna Sitar (12.1 million followers), and Brandon Blackwood (61,500 followers) provide helpful tutorials, and tips on how to promote businesses on the platform.

Designed for brands that are new to social media marketing, the partnership offers expert advice on leveraging TikTok’s global search engine capabilities and algorithm to reach customers who are more likely to engage with the business.

“A precise experience builds trust, inspires interest, and drives sales,” Sitar says in a video tutorial. “If you really think about it, who would you rather buy a product from: a faceless written review on a website or a relatable face of someone that you love who’s talking passionately about a product they know you’ll love?”

The creators also talk through best practices for content creation—including focusing on product demos and unique features, staying authentic and relatable, key-wording for search optimization, and engaging with customers in the comments section.

“More and more American small businesses are turning to TikTok to take us inside their world in a fun, authentic way, and as a result, they are reaching new customers, hiring more employees and growing their business,” said Sofia Hernandez, global head of business marketing for TikTok, in a statement. “The real world impact is undeniable, with 44% of TikTok users saying that they discovered something on the platform and immediately went out to buy it, according to our Global Retail Path To Purchase Study.”

Since TikTok’s launch—and especially since 2020, when platform engagement grew exponentially in the early days of pandemic lockdowns—its casual, short-form video format has been a boon to brands and businesses seeking low production cost ways to engage with new audiences and customers. Shareable product reviews and demos that go viral on the platform can transform businesses, making brands household names—seemingly overnight.

For small and new businesses in the current economic climate, finding new avenues for customer acquisition is vital to success and survival. A study commissioned by American Express earlier this year points to young shoppers as a key demographic—even if they’re not spending money on big-ticket items.

According to the Small Business Economic Impact Study: “If every Gen Z and Millennial shopper spent $10 at a small business on Small Business Saturday, it would support $2 billion in local economic activity throughout the U.S..”

No wonder 63% of small business owners surveyed said they are keen to grow their Gen Z and Millennial reach. TikTok may hold the key to attracting shoppers from these digital-first generations.

“Our Shop Small Impact Study found that 67% of Gen Z users have shopped from a small business that was displayed on their For You Page” Elizabeth Rutledge, chief marketing officer at American Express, said in a statement. “Shopping small has a significant impact on helping local communities, with two-thirds of every dollar spent at small businesses staying within the local community.”