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TikTok Is Killing Your Margins (Here’s Why)
Why TikTok Shop funnels fail and the 3-part framework for product, pricing, and checkout.
Before we get started, is there anything specific you want to learn about? Let me know, as always, I appreciate all of you who reply each week and share feedback with me.
Most brands have a rude awakening when they try to sell on TikTok Shop.
They take their best products, the same ones pulling 20–30% conversion on Shopify, and push them into TikTok’s ecosystem…
Then nothing happens.
It’s not because the product sucks, and it's not because people don’t want it…
It’s all because the context of the purchase is completely different.
TikTok 2024 Commerce Report shows 70% of users discover new products yet 80% of them abandon checkout.
And that mismatch between discovery and decision-making is the silent killer of social commerce.
In this email, we're breaking down:
The behavioral psychology differences between social browsing and purchase intent
How to restructure product pages, pricing, and checkout flows for social commerce
The “Social Commerce Optimization Framework” for in-app shopping behavior
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The Behavioral Psychology Problem
Traditional eCommerce assumes intent.
Someone searches "wireless headphones," clicks your ad, and lands on your product page already interested in buying.
However, social commerce flips this completely...
TikTok users are scrolling for entertainment, and not shopping.
They're consuming dance videos, food hacks, and comedy skits when your product suddenly appears in their feed.
The mindset shift breaks everything:
Intent vs Discovery
Website visitors come to buy, while social users stumble across products they weren't looking for.
Attention spans
Website browsers spend minutes researching, and social users make snap judgments in seconds.
Context switching
Jumping from entertainment to purchase mode creates huge friction.
When users are in “entertainment mode” and you push them into “evaluation mode,” they just scroll.
Traditional product pages with specs, charts, and options assume they want to evaluate…
When really, they’re still deciding if it’s worth their attention at all.
How to Restructure for Social Commerce Platforms
Social commerce platforms require a complete restructure of how you present products, price them, and move people through checkout:
Product Page Restructuring
Lead with instant visual impact; users give you 2–3 seconds max.
For that use short, scannable benefits instead of specs, and add on-screen text for sound-off browsing.
Trust is zero at entry, so social proof is non-negotiable.
Pricing Presentation Changes
Social pricing must trigger immediate action.
Crossed-out “was” prices anchor value instantly.
Precise offers like “25% off today” convert better than flat discounts
Checkout Flow Optimization
Social users expect the same instant gratification they get from consuming content…
That means every extra step in checkout isn’t just friction, it’s lost revenue.
Enable autofill and one-tap payments.
Use real scarcity prompts: stock counts & countdowns.
And, show shipping costs upfront because hidden fees tank sales.
Here's the three-part system that consistently improves conversion rates for social commerce:
Content Formatting for Feed Behavior
Grab attention in the first 2–3 seconds, add captions for sound-off viewing, and weave social proof directly into the content.
Keep product education native to the platform, not ad-like.
Pricing Psychology for Impulse Decisions
Make sure to anchor with crossed-out prices, use bundles to simplify choices, and show all costs upfront.
Frame discounts as precise percentages for urgency.
Conversion Tactics for In-App Shopping
Cut every extra step between discovery and purchase.
Add real scarcity indicators, and enable one-tap payment with autofill for seamless checkout.
Brands implementing this framework see significantly higher completion rates because they're designing for actual user behavior instead of ideal customer journeys.
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Final Thoughts
Your products aren't failing on social commerce platforms because they're inferior…
They're failing because you're using website shopping psychology in an entertainment environment.
Social commerce requires understanding that customers aren't looking to buy when they discover your product…
They're looking to be entertained, and your product interrupted that experience.
Design your entire approach around converting entertainment-minded browsers into impulse buyers, not researched purchasers.
Want to learn more? Connect with me on social 👇
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Thank you for reading! I appreciate you.
Until Next Time ✌️
- Kody
Disclaimer: Special thanks to Triple Whale & QCK for sponsoring today’s newsletter.