Brands | Business & Policy

Must fashion abandon TikTok?

Published: March 27, 2023
Author: Fashion Value Chain

The short-form video platform TikTok, which is best known for its humorous films and user-generated content, is presently going through changes. In fact, if western governments get their way, the widely used programme will either be completely banned or severely restricted to users in Europe and the US.

Government personnel in the UK were prohibited from downloading the app on work-related devices last week, following the European, American, and Canadian governments that had already implemented restrictions.

ByteDance, the parent firm of TikTok, has been beset by worries about security and the possible effects of data breaches. Many people there worry that the Chinese government may exert pressure on businesses to turn over user data. The founders of ByteDance and China own 20% of the company.

No other social media network has caused as much division as TikTok. Some have dubbed YouTube as a source of pointless stuff that gets teenagers hooked on their screens for hours at a time, weakening working memory, and raising rates of anxiety, stress, and despair. The main point is that all that time scrolling could be employed for something more useful.

Initial scepticism from fashion brands has resulted in enormous earnings for ByteDance. According to reports, the corporation made 34.3 billion dollars in revenue in 2020, with advertising accounting for a large portion of that total. TikTok has proven more popular with fashion and beauty firms wishing to connect with a younger, trend-conscious audience, while exact revenue estimates for fashion advertising on the platform are not yet available.

TikTok has shown to have staying power, offering amusement, a creative outlet, and a feeling of community for many users, despite its well-reported issues with exposing younger users to unsuitable content, privacy concerns, and mental health implications.

Other platforms like YouTube and Instagram moved quickly to implement short-form video and comparable algorithms, with Instagram releasing Reels in 2020, at a time when TikTok was experiencing uncertainty in various areas due to worries about its ownership and potential security issues.

Shou Zi Chew, the chief executive of TikTok, had a relatively quiet profile until recently, in contrast to the media-friendly leaders of Meta and Twitter, Mark Zuckerberg and Elon Musk. But, a potential prohibition in the US would cause a backlash that would affect 150,000,000 users. Last week, Mr. Chew was subject to a barrage of inquiries from American politicians about why the app is safe to use. Western societies are more worried with privacy, security, and data breaches, especially with information being ciphered to China, but nations like Iran, Bangladesh, Pakistan, and India have banned the app, mostly claiming the propagation of “immoral” content.

Others argue that America has to impose stricter internet restrictions within its own borders, much like Europe has done with its GDPR procedures. America has urged for the corporation to be sold to a non-Chinese organisation. There are currently no federal privacy protections for citizens in the United States.

With 834.3 million monthly users, TikTok

TikTok has garnered a sizable following and advertising power as a legitimate communication platform. While the majority of brands and influencers share their content across several social media platforms, TikTok has a far younger audience than Instagram, with 32.5 percent of users between the ages of 10 and 19 and 29.5 percent between the ages of 20 and 29.

Questions about the fashion sector leaving Twitter began not too long ago, following Elon Musk’s shady takeover and an increase in hate speech on its channel in 2022. As reported by Politico, privacy watchdogs in the Netherlands, Italy, and France are also looking into TikTok’s privacy practises surrounding personalised advertising and for failing to restrict children’s access to its site.

It is unknown how long the app with the dancing-obsessed youngsters and amusing videos will be available in its current form. Fashion businesses and creators on the app have not yet developed a backup plan should TikTok be banned.

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