File photo: Deteld time is displayed at the entrance of the QVC Studio Park in West Chester, Pennsylvania, US, 4 June 2018.
Brendan McDermid | Reuters
QVC group Launches the very first non-stop live shopping streams on Tiktok in the US in an attempt to breathe new life into his company and broaden its audience.
From Wednesday, Hosts from QVC's TV networks will also be shown on the app alongside Tiktok -Makers.
QVC is best known for its live shopping TV networks QVC and HSN (formerly Home Shopping Network) that once recorded a large number of viewers and consumers. It also offers streaming and online retail options. But while the company wants to broaden its audience and turn his company around, it is shifting his focus to social media.
Although live shopping on social media, namely Tiktok, has exploded in China, it is slow to start in the US and the partnership comes when the future of Tiktok in the US is uncertain.
Nevertheless, the partnership that is built on Wednesday on the earlier team of QVC with Tiktok. It also gives Tiktok Shop its first constant, live stream of Shoppable Content. QVC products are available via the Tiktokwinkel since August, almost a year after the app has introduced the Live, Shoppable experience to its users in the US.
Since the launch in the Tiktokwinkel, the company said that more than 74,000 Tiktok -Makers have expressed QVC products on their store videos and live streams. Wednesday's announcement will certainly expand that, said David Rawlinson II, president and CEO of QVC Group Inc.
“Everyone is talking about this next big thing in the retail trade for five or 10 years, but it has never completely struck,” said Rawlinson. “I think this is the start that it really hits. And that is the Tiktok bet. That is our bet.”
QVC on Tiktok.
Courtesy: QVC Group Inc.
Business refurbishment
QVC Group – which is part of QVC Group Inc. And controlled by Media Mogul John Malone – wants to do more than bringing existing things from Constant Live Shopping from TV to social media.
The deal comes when the company recently concluded that a reversal plan, known as the Athens project, after what Rawlinson called a “perfect storm” of problems.
At the height of the Pandemie, the companies of QVC saw an increase in sales and viewers, such as many retailers and media companies. But the drop-off was steep when the orders staying at home had been lifted and consumers started out to outsource live events and travel instead of retail.
The problems of QVC were then strengthened. More consumers cut the cord and fled the pay TV bundle, with a weight on the company's TV networks. The retail trade also had to contend with supply chain problems and increased competition in online shopping from the rise of Temu and others.
Things deteriorated for the company in December 2021, months after Rawlinson the helm of QVC Group Inc. Nam, a deadly fire tore through the North Carolina Fulfillment Center of the company. QVC lost half a billion dollar to inventory, Rawlinson said.
“I had a little feeling that I was assumed to transform the company, but because of this perfect storm of events, the first job turned out to save the company,” said Rawlinson.
Due to a series of cost -saving measures, QVC saw its profitability improve and its debt tax convenience. Yet the transformation is far from complete. During an investor in February, Rawlinson noted that QVC still has to achieve stable income, and that will be the most important focus.
The drop-off in TV viewers has been pronounced. When comparing from 2024 to 2018, the most important channels of QVC and HSN reached 44% and 47% fewer houses respectively, Rawlinson said during the call of February.
Last week the company said it would dismiss around 900 employees and consolidate its activities at the head office in West -Chester, Pennsylvania.
The cooperation with Tiktok comes days after the company had released its annual report to the shareholders, that the focus on social media and efforts to shift the company noticed.
“While the traditional TV decreases and a mix of video platforms require a larger part of the customer's attention, we have to go our expansion to be moving further than TV to find growth. Our strategy is to transform QVC group into a live social store company,” wrote QVC Group Inc. In a letter to shareholders in March.
In the letter, QVC said that it would “intensify” its efforts in social media and streaming to record $ 1.5 billion in Run-rate income from these platforms in the next three years.
“Social is just the natural evolution of what we have always done,” said Rawlinson.
The public and the shoppers of QVC skewed by the woman and more than 50. Last year, CNBC reported that the company signed a deal to add USA Pickleball to its platforms to take advantage of that audience and find new ways to transform his activities.
Ticking Clock
Tiktok has officially launched its e-commerce service Tiktok Shop in the US.
Cost photo | Nurphoto | Getty images
Tiktok has seen explosive growth in the US and the company said it has 170 million users. But fate in the country remains unclear.
The Chinese social media app is staring again at a deadline that could effectively see it exiled on April 5, as a result of a National Security Act that was originally signed by former President Joe Biden, which requires parent company Bytedance to emit his American activities.
The original Deadline was January 19, but President Donald Trump signed an executive order that granted another 75 days bytedance to divest the American part of his company.
Although the future remains uncertain, this time makers seem to be careful that Tiktok will stay in the US, CNBC reported Tuesday. Trump has since said that he can lower the rates for China to help a deal continuing in which Bytedance leaves American activities.
Even with the possibility of a ban in the US, Rawlinson said that continued with the collaboration in Tiktok Shop was the best gamble for the activities of QVC.
“Tiktok has a very broadly penetrated user base in the US We know many of our customers, and our future customers, are there, and we know that shopping is developing and is growing very quickly in really interesting ways there,” said Rawlinson.
“So we had the feeling that that is the right way to try to change how shopping is done in the US, that is the full calculus for us. We did not try to guess the future of Tiktok,” he added.
– Jonathan Vanian van CNBC has contributed to this article.
