TikTok talks Shop with launch of first ever SME Council

Forget client Zoom calls, the next most important meeting that TikTok businesses attend could be on the platform itself. This week, TikTok has introduced its first ever “SME Council” for small brands that sell through the app.

The lip-syncing platform turned social commerce giant has selected 20 businesses to make up the Council, which it says will help to amplify SME voices and empower them to influence the platform’s policies.

The launch comes as new Neilson IQ research found that TikTok Shop was the fastest growing online retailer in 2024, with a 131% annual increase in the number of shoppers using the platform.

Nearly three in ten UK SMEs now on TikTok

Founded in 2018, TikTok has had a meteoric rise over the past five years. After gaining popularity during lockdown, it is now a staple in many Brits’ smartphones. One study recently revealed it to be the most-used platform in the UK, ahead of YouTube and Facebook.

While it started life as a video-sharing platform, TikTok’s large and highly-engaged customer base means it has become a natural hub for small businesses. Popular brands that got big on TikTok include Partner in Wine, Little Moons, and Hair Syrup.

TikTok says it now hosts 1.5 million UK firms who sell through the app. Given there are currently 5.5 million SMEs in the UK, that means roughly 27% are now operating on TikTok.

This growing small business population ranges from dropshipping side-hustles to thriving ventures, all of which use the platform to showcase their products and services and create long-form marketing content.

Commenting on the Council’s formation, Ali Law, Director of Public Policy and Government Affairs at TikTok UK, said: “SMEs across the country come to TikTok every day to share their passions, reach new customers, and grow their businesses. 

“By launching our new Council, we’re taking our support of these businesses beyond the app, giving them a platform to call for policies that will unlock the next phase of their growth.”

Who will be on TikTok’s SME Council?

TikTok appears to have specially selected its 20 Council members from a range of industries that are popular in social commerce such as hair and beauty, clothing, and DIY.

Chosen from across the UK, they include an affordable wig brand located in the heart of Birmingham (@hairanatomyuk), a Manchester-based sleep company (@levitex) that offers practical tips on sleep posture, and an artisan candle seller (@bearburners), in Sunderland.

The Council held its first meeting on 4 April in Stoke-on-Trent, where members discussed the experience of setting up a business in the UK and using TikTok to scale.

Dominique Bogle Khan, founder of Hair Anatomy said: “Being part of the SME Council is such an incredible opportunity. I’m excited to see how the Council evolves and continues to shape the future of small business growth.”

The British Beauty Council has expressed its support for the new committee. This week, it confirmed it will work with TikTok Shop on a programme of content to upskill its partners and patrons on how to get the most out of the platform. 

TikTok prepares for retail revolution

The ecommerce landscape is evolving drastically, driven by the rise in social commerce. Many brands now use livestreams to promote and sell products via digital platforms, like TikTok. TikTok Shop data shows that over 6,000 LIVEs take place in the UK every day.

In a statement announcing the new committee, TikTok described its SMEs as being at the forefront of this new “retail revolution”.

The platform added that the Council’s insights will also be used to create the TikTok SME Manifesto; a set of policy requests to be delivered to the UK Government, which it says will be aimed at encouraging British entrepreneurship.

TikTok is facing a potential ban in the US due to national security concerns. The platform has until 19 June to sell its stateside operations or face a permanent ban, sparking concern among the seven million US entrepreneurs who rely on TikTok to run their businesses.

TikTok’s new SME Council and planned manifesto may also be an effort to prepare for possible regulatory challenges from Whitehall, and avoid disruption for its UK sellers.