Why TikTok is outsourcing?

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Written By Jennifer Joslyn

🎶 Why TikTok is outsourcing.

TikTok is reportedly working with third-party logistics (3PL) fulfillment service providers to build its own logistics network. The social media platform is partnering with these providers to lease and operate warehouses, store inventory, and handle packing and shipping for merchants selling on TikTok. The fulfillment program is currently invite-only for a small group of sellers during the initial launch period. The move to outsource its fulfillment network comes as logistics costs and warehouse rent continue to rise, and TikTok aims to penetrate social commerce and sell its own products through its TikTok Shop feature. Other social media platforms have also made attempts at incorporating shopping features but with limited success.

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Jennifer Joslyn
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