“Yes, It Failed”: Inside the Crisis at TikTok Shop US
A High-Stakes Gamble Meets Cultural Headwinds
When ByteDance launched TikTok Shop in the United States, it hoped to replicate the explosive success of its e-commerce juggernaut in China. But nearly a year into the push, the platform finds itself in crisis: overwhelmed employees, alienated sellers, underwhelmed consumers — and a corporate strategy dangerously out of sync with reality.
Since mid-January 2025, staff say their workloads have “increased 3 fold.” Five-day office mandates, late-night shifts to align with China, and a climate of intense scrutiny have pushed many to the brink. In return, they face a wave of performance warnings and dismissals. For many inside TikTok Shop US, the message is clear: work harder, even when the goalposts are vanishing.
“Everything has increased 3 fold. But no matter how hard we work, it’s never enough,” said one employee, "Yes, it failed, very hard!"
Inside the Burnout Engine: Workers Crushed by an Impossible Mandate
What began as an ambitious e-commerce expansion has become a case study in cultural and operational misalignment. ByteDance’s 2024 revenue goal for TikTok Shop US — a staggering $17 billion — appears increasingly implausible, especially when compared to last year’s Black Friday sales of just over $100 million.
Internally, employees describe a deteriorating environment. By February, U.S. staff were forced to return to offices full-time and accommodate late-night collaboration with China-based teams. March brought a brutal wave of low performance ratings, performance improvement plans (PIPs), and layoffs. For many, the message from leadership felt less like motivation and more like punishment.
“It doesn’t matter if we hit KPIs or not,” another insider shared. “The goals shift constantly, and the leadership seems more focused on blame and backstabbing than solutions.”
Analysts close to the situation point to a fundamental disconnect. ByteDance’s strategy continues to be modeled on China’s e-commerce success playbook — livestream shopping, steep discounts, and 24/7 engagement — tactics that have yet to find similar traction in the American market.
The China Playbook Collides With the U.S. Market
For sellers on the platform, the divergence is more than just cultural — it's existential. Chinese cross-border sellers, supported by account managers available round-the-clock and familiar with aggressive promotion tactics, are thriving relative to their U.S. counterparts.
“Cross-border stores based in China perform better because they get more attention and help,” noted one seller. “U.S. account managers are overloaded. Sometimes you wait weeks for a reply. Just between us, I personally found it funny that they claimed their workload increased by 3x. I tried Tiktok Shop US and I was among top 3 largest sellers in my vertical. The TOP 3! But when I need support, nobody has ever been there! NOT EVEN CHATBOT!”
Yet some cross-border operators admit the playbook is flawed.
“Using Chinese strategy in the U.S. is like playing a game without understanding the rules,” a seller commented.
American consumers are not primed to Tiktok shop through impulsive video streams or tolerate glitchy interfaces. Users complain of bizarre product listings, poor customer service, and confusing platform restrictions.
Livestream e-commerce, also known as livestream shopping or live video shopping, is an innovative online shopping method where products are promoted and sold during live video broadcasts on digital platforms. This strategy combines real-time interaction with instant purchasing, creating an immersive and engaging shopping experience.
“The app is full of whitening soap and candy from brands I’ve never heard of,” one user remarked. “It looks messy. I don’t even want to click.”
Eroding Confidence Among U.S. Sellers
The disparity in seller support isn’t just about response times — it’s systemic. U.S.-based sellers are often sidelined by a platform that doesn’t appear to understand their business environment. Many cite logistical bottlenecks, expensive shipping, and marketing restrictions that hinder growth.
In China, a $50 fruit basket might arrive within 48 hours. In the U.S., shipping that same basket can cost $50, making margins untenable.
“The logistics don’t work here,” a U.S. seller said. “You can’t compete with Amazon’s speed and still turn a profit on TikTok.”
Top Retail E-Commerce Companies by Market Share
| Company | Market Share |
|---|---|
| Amazon | 37.6% |
| Walmart | 6.4% |
| Apple | 3.6% |
| eBay | 3.0% |
| Target | 1.9% |
| The Home Depot | 1.9% |
| Costco | 1.5% |
Frustrated sellers are increasingly vocal about what they view as a leadership vacuum. Some are calling for a complete overhaul of U.S. operations — from replacing senior management to developing infrastructure that reflects the needs of local markets.
Strategic Missteps Fuel Broader Market Misalignment
At the heart of the crisis is a deeper strategic flaw: ByteDance’s insistence on measuring success in the U.S. by Chinese standards. The $17 billion target wasn’t just ambitious — it was out of touch.
While TikTok Shop did experience flash-in-the-pan victories — the $100 million Black Friday sales, for example — those moments masked deeper structural problems. The U.S. market simply doesn’t mirror China’s hyper-competitive, hyper-digitized shopping ecosystem.
The fallout has been swift. Sellers are losing confidence. Users aren’t returning. And internal morale is eroding.
“We’re burning out chasing numbers that make no sense,” one employee said. “Leadership talks about adapting, but it’s all top-down — no one’s listening to what the market is telling us.”
“Does TikTok Even Have a U.S. E-Commerce Team?”
From a consumer standpoint, trust in the platform is waning. Many U.S. users complain about poor support — often handled by bots — and say they’re unsure whether a real team is even operating behind the storefront.
Account bans and rigid controls only compound the frustration. Some marketers report repeated issues with account binding, campaign limitations, and lack of transparency in how the system prioritizes content.
“It feels like you’re being punished for trying to grow,” said one digital agency partner.
ByteDance Considers a Reset — But Is It Too Late?
Faced with growing dissatisfaction, ByteDance appears to be exploring recalibrations. Internal discussions have floated several new approaches:
- Localized Strategy Overhaul: Moving away from livestream-focused selling in favor of content-driven commerce tailored to U.S. users’ habits.
- Leadership Restructuring: Replacing key executives responsible for U.S. operations with professionals who have market-specific experience.
- Improved Seller and Customer Support: Investing in dedicated U.S. support teams and tools to streamline logistics, marketing, and dispute resolution.
- Realistic Targeting: Resetting performance expectations to align with actual growth trajectories rather than mirroring China’s benchmarks.
While no official changes have been confirmed, the urgency is unmistakable. For TikTok Shop to remain viable in the U.S., it will have to earn back the trust of both its internal workforce and external stakeholders — a tall order for a platform currently seen as overextended and underprepared.
The Path Forward: Rebuilding From the Inside Out
The problems plaguing TikTok Shop US are not insurmountable, but they require more than cosmetic fixes. They demand a cultural pivot: from command-and-control to collaborative; from expectation-driven to market-informed.
In its quest to dominate global e-commerce, ByteDance may have overlooked the basics — understanding its audience, supporting its people, and adapting to local terrain. Whether it can recover from that oversight will depend on what it does next — and how quickly it’s willing to listen.
For now, one thing is clear: the U.S. team isn’t just grappling with burnout. It’s fighting to prove that success in China doesn’t guarantee victory everywhere else.