14 - Trending on Social Media
TikTok as an eCommerce Powerhouse
Recently TikTok's users are increasingly spending their money on people during TikTok creator's content in the app. According to a new report from The Information, TikTok users sent over $250 million in digital gifts to live-streamers in the app, underlining a growing trend that could still lead to TikTok generating more income from in-app sales.
Trends like NPC streamers, via popular creators like Pinkydoll, have sparked broader interest in the practice, in which viewers can donate virtual gifts to trigger a reaction from the streamer.
The TikTok creators doing these NPC-live streams can have their live stream on for hours while their followers are sending them virtual gifts, which turns into money for the creators. On the platform, creators are acting as NPC characters, which stands for non-playable characters, a term originating from the gaming world and referring to background characters in games that have been programmed to say and perform certain actions to advance the game.
The gifts sent during the live streams can cost anywhere from a few dollars to hundreds of dollars, depending on which gift you decide to send to the creator.
The people sending the gifts to the creators vary in gender and age. However, many young individuals who don't have their own income spend their parents' money to see their gift turn into a reaction from the creator.
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