As debates over a possible ban intensify in the US, TikTok has a economic impact report claim that the social media platform helped American SMBs generate millions in revenue last year, and supported the American economy quite significantly.
According to the platform, $14.7 billion in SMB revenue was generated in 2023, with these businesses contributing $24.2 billion to the U.S. economy and supporting 224,000 jobs.
To help secure its place in US app stores, TikTok claimed that more than half (52%) of US SMBs rely on the platform to stay competitive, with an overwhelming majority (88%) seeing an increase in sales after promoting on the app. app.
The importance of TikTok for American e-commerce
TikTok claims to have spread the app’s benefits across the country, saying SMBs in California, Texas, Florida, New York and Illinois saw the biggest benefits.
In the report, TikTok also revealed the positive impact of its app on users and communities, highlighting the app’s power to help users discover new brands and products, make more informed decisions and find a wider variety of products.
The relevant timing of this report comes amid increased scrutiny of the platform. In March, a bill was passed in the House of Representatives proposing a TikTok ban.
Other social networking platforms, including Facebook and Instagram, have already started introducing TikTok-like features such as vertical video feeds and e-commerce capabilities, but Trump’s reversal on the issue has complicated the debate. The former president now opposes the ban and believes it would significantly benefit Meta.
Although TikTok’s Singaporean CEO Shou Zi Chew has already appeared in court, the report, together with the launch of the special STEM feed, which was expanded to Europe this month, is a crucial element in the company’s defense .