TikTok Shop Glossary

Welcome to the TikTok Shop Glossary – a complete guide to the key terms, acronyms, and processes every TikTok seller should know. Whether you’re a new merchant, influencer, or brand using TikTok Shop, this glossary covers important concepts related to selling, fulfillment, advertising, and compliance on the platform. Use it as your quick reference for navigating TikTok’s e-commerce ecosystem.

A

Account Health

A status dashboard in TikTok Shop showing a seller’s performance, policy compliance, and risk indicators (such as late shipment rate or order defect rate).

Ad Credits

Promotional credits offered by TikTok for running paid ad campaigns on TikTok Ads Manager.

Affiliate

A TikTok creator or partner who promotes products from TikTok Shop sellers in exchange for a commission on each sale.

Affiliate Commission Rate

The percentage of the product sale price that a seller agrees to pay affiliates for generating sales.

API (Application Programming Interface)

A system that allows TikTok Shop to integrate with third-party tools like inventory management software, analytics platforms, or fulfillment solutions.

AOV (Average Order Value)

The average dollar amount spent by customers per transaction on TikTok Shop.

AR (Augmented Reality) Shopping

TikTok’s interactive product try-on and immersive shopping experiences using AR technology.

B

Ban Appeal

A formal request submitted by a seller to TikTok Shop if their account, product, or listing has been suspended or banned.

Brand Approval

The process by which TikTok verifies that a seller has the rights to sell branded products, usually requiring trademark certificates or authorization letters.

Brand Protection

TikTok’s policies and tools to prevent counterfeit products, trademark misuse, and IP violations.

Business Center

TikTok’s main hub for managing ads, users, assets, and permissions across TikTok Ads Manager and TikTok Shop.

Buy Now Button

A call-to-action feature in TikTok Shop that lets customers quickly purchase a product directly from videos, live streams, or product detail pages.

Buyer Protection

TikTok’s guarantee for customers ensuring secure payments, refunds, and protection against fraudulent sellers.

C

Campaign

A structured TikTok Ads setup where sellers promote products through ad groups and creatives to drive traffic or sales.

Catalog

A digital library in TikTok Shop where sellers upload and manage all their product listings, descriptions, images, and pricing.

Commission Fee

The percentage TikTok charges sellers on each completed transaction, in addition to any affiliate commission paid.

Compliance

Adherence to TikTok Shop’s policies, product listing rules, and legal requirements (e.g., restricted items, safety standards).

Content Violation

A breach of TikTok’s content rules, such as misleading product claims, prohibited items, or inappropriate advertising.

Conversion Rate (CR)

The percentage of users who purchase a product after clicking or viewing a TikTok Shop link, video, or live stream.

CPC (Cost Per Click)

The amount advertisers pay TikTok when a user clicks on their ad.

CPM (Cost Per Mille)

The cost advertisers pay for every 1,000 ad impressions on TikTok.

CTR (Click-Through Rate)

The percentage of people who clicked on a product link or ad compared to the total number who saw it.

Creator Marketplace (TTCM)

TikTok’s official platform for connecting brands with creators for influencer marketing and product collaborations.

D

Data Dashboard

The analytics hub in TikTok Shop Seller Center where sellers can track sales, traffic, conversions, and other performance metrics.

Dispatch Time

The required time frame in which sellers must ship an order after it’s placed, impacting account health and customer satisfaction.

Dispute

A claim raised by a customer or seller regarding an order issue, such as product defects, late deliveries, or returns.

Dropshipping

A selling method where products are listed on TikTok Shop without holding inventory, and suppliers ship directly to customers. (TikTok has strict rules around dropshipping.)

Dynamic Showcase Ads (DSA)

Automated TikTok ads that promote relevant products from a seller’s catalog based on user behavior and interests.

E

Escrow

A secure payment process where TikTok holds customer payments until the order is successfully delivered and confirmed, protecting both buyers and sellers.

Estimated Delivery Date (EDD)

The expected date by which an order should arrive to the customer, shown at checkout and influenced by shipping method and handling time.

Exclusive Products

Items that are available only on TikTok Shop, often through special promotions or seller agreements, used to attract more buyers.

External Traffic

Visitors driven to TikTok Shop from outside sources such as Google, Facebook, Instagram, or a brand’s own website.

F

Flash Sale

A short-term promotional event on TikTok Shop where products are offered at discounted prices for a limited time to boost sales and visibility.

Fulfillment Center

A warehouse facility where seller inventory is stored, packed, and shipped to customers when orders are placed.

Fulfilled by TikTok (FBT)

TikTok’s official fulfillment service where sellers send products to TikTok’s warehouses, and TikTok handles storage, packing, shipping, and returns.

Fulfillment SLA (Service Level Agreement)

The standards and timelines set by TikTok that sellers must meet when processing and shipping customer orders.

G

Gross Merchandise Value (GMV)

The total value of all orders placed through TikTok Shop within a specific period, before deducting cancellations, returns, or platform fees. It’s a key metric for measuring overall sales performance.

Guidelines (TikTok Shop Policies)

The official rules and requirements set by TikTok for sellers, covering product eligibility, content standards, shipping expectations, and compliance.

H

Handling Time

The period between when an order is placed and when it is shipped. TikTok sets strict handling time requirements to ensure fast delivery and maintain seller performance.

Hashtag Challenge (Paid/Organic)

A TikTok marketing format where users are encouraged to create and share content around a specific hashtag. Paid challenges are sponsored by brands, while organic ones spread naturally.

High-Risk Orders

Orders flagged by TikTok for potential issues such as fraud, unusual buyer activity, or payment risks, requiring additional verification before fulfillment.

I

Infringement Report

A formal complaint submitted by rights holders or sellers to TikTok regarding violations such as counterfeit goods, trademark misuse, or copyright breaches.

Influencer Collaboration

A partnership between sellers/brands and TikTok creators (affiliates or KOLs) to promote products through short videos, live streams, or affiliate marketing.

Intellectual Property (IP) Rights

Legal protections for creative works, trademarks, and patents that sellers must respect when listing products on TikTok Shop.

Inventory Management

The process of tracking, replenishing, and controlling stock levels to avoid overselling or out-of-stock issues in TikTok Shop.

Invoice Upload

A requirement for sellers to provide invoices or proof of authenticity for certain products to comply with TikTok’s product verification policies.

J

Join Campaign (for TikTok ads/affiliate promotions)

A feature that allows sellers to participate in TikTok’s official promotional campaigns or affiliate programs. By joining, sellers can boost product visibility, collaborate with affiliates, and access special ad placements to drive more sales.

K

Key Opinion Leader (KOL)

A highly influential creator or industry expert on TikTok who has strong authority and credibility with their audience, often collaborating with brands to drive sales through TikTok Shop.

Keyword Optimization

The process of selecting and using the most relevant keywords in product titles, descriptions, and ads to improve visibility and ranking within TikTok Shop search results.

L

Late Shipment Rate (LSR)

A performance metric measuring the percentage of orders not shipped within the required handling time. High LSR negatively impacts a seller’s account health.

Live Shopping

A TikTok Shop feature where sellers and creators host live streams to showcase products, interact with viewers, and drive real-time purchases.

Logistics Partner

Third-party shipping and delivery companies integrated with TikTok Shop to handle order fulfillment and transportation.

Listings Suspension

A penalty applied when a product listing violates TikTok Shop’s policies, resulting in temporary or permanent removal from the marketplace.

M

Merchant Center

The backend management system in TikTok Shop where sellers handle product listings, orders, performance, and account settings.

Minimum Order Quantity (MOQ)

The lowest quantity of a product that a seller is willing to sell, often applied to bulk or wholesale listings.

Moderation (Content/Product Review)

TikTok’s review process for product listings and content to ensure compliance with marketplace rules and advertising policies before publishing.

Multi-Channel Fulfillment

A strategy where sellers use TikTok Shop alongside other e-commerce platforms (like Amazon, Shopify, or eBay), managing orders and inventory across multiple channels.

N

Non-Compliance Violation

A breach of TikTok Shop’s rules or policies, such as listing restricted products, late shipments, or misleading content, which may result in penalties or suspension.

Net Revenue

The seller’s total earnings after deducting TikTok’s commission fees, affiliate commissions, and refunds from gross sales.

Niche Targeting

A marketing strategy where sellers focus on a specific customer segment or interest group to maximize sales effectiveness on TikTok Shop.

O

Onboarding

The setup process new sellers go through when joining TikTok Shop, including business verification, account setup, and product listing.

Order Defect Rate (ODR)

A performance metric measuring the percentage of problematic orders, such as those with cancellations, returns, or disputes. High ODR can negatively impact account health.

Order Management System (OMS)

A system within TikTok Shop Seller Center that helps sellers track, process, and fulfill customer orders efficiently.

Organic Traffic

Visitors or buyers who come to TikTok Shop products naturally through TikTok’s For You feed, search, or content engagement, without paid ads.

P

Paid Ads

Advertising campaigns run through TikTok Ads Manager to promote products, increase traffic, and drive sales on TikTok Shop.

Payment Settlement

The process by which TikTok transfers a seller’s earnings (after deductions for fees, commissions, and refunds) into their bank account or wallet balance.

Penalty Points

Points assigned to a seller’s account when they violate TikTok Shop policies. Accumulating too many can result in restrictions or suspension.

Performance Metrics

Key indicators like conversion rate, late shipment rate, refund rate, and order defect rate used to measure a seller’s effectiveness on TikTok Shop.

Product Approval

The TikTok review process for newly listed products to ensure compliance with policies before being made available to buyers.

Product Detail Page (PDP)

The main page on TikTok Shop where a product’s title, images, description, reviews, and purchase options are displayed.

Product Violation

A breach of TikTok’s product listing policies, such as selling prohibited items, counterfeit goods, or misrepresented products.

Promotion Tools

Features in TikTok Shop that sellers can use to drive sales, such as discounts, vouchers, bundles, and flash sales.

Q

Q&A (Product Page Questions)

A feature on TikTok Shop product detail pages where buyers can ask questions and sellers can respond, helping improve trust and conversion rates.

Quality Inspection

The process of checking products for compliance, safety, and quality standards before they are listed or shipped to customers.

Quarantine Stock

Inventory that is temporarily held or restricted from sale due to policy violations, pending investigations, or quality concerns.

R

Refund Rate

The percentage of total orders that result in refunds. A high refund rate may affect a seller’s account health and visibility.

Restricted Products

Items that cannot be listed or sold on TikTok Shop due to safety, legal, or policy restrictions (e.g., hazardous goods, counterfeit items, regulated products).

Return Policy

The set of rules that govern how customers can return products, including timeframes, conditions, and eligible reasons for return.

Return to Seller

A process where customers send back unwanted or defective products directly to the seller for replacement or refund.

Review Moderation

The system TikTok uses to monitor and filter product reviews, removing those that violate community or marketplace guidelines.

S

Sales Volume

The total number of units sold within a specific period, used to measure product performance on TikTok Shop.

Search Ads

Paid advertisements that appear in TikTok’s search results, helping sellers increase visibility when users search for relevant keywords.

Seller Center

The main platform where TikTok Shop sellers manage their products, orders, promotions, account settings, and performance data.

Seller Performance

A set of metrics that track how well a seller is meeting TikTok Shop’s standards, including shipping times, defect rates, and customer satisfaction.

Service Level Agreement (SLA)

The standards sellers must meet for order handling, fulfillment, and customer service, as defined by TikTok Shop policies.

Shipping Template

A customizable setup in Seller Center that defines shipping fees, regions covered, and delivery times for each product.

Suspension Appeal

A request submitted by a seller to restore their TikTok Shop account or product listings after being suspended due to policy violations.

T

Target Audience

The specific group of TikTok users most likely to engage with and purchase a seller’s products, defined by demographics, interests, and behaviors.

TikTok Ads Manager

The official platform where sellers and brands create, manage, and optimize TikTok advertising campaigns to drive traffic and sales.

TikTok Creator Fund

A program that rewards TikTok creators with payments based on the performance of their content, sometimes leveraged alongside TikTok Shop promotions.

TikTok LIVE Shopping

A feature that allows sellers and creators to host live streams, showcase products, and enable in-stream purchases in real time.

TikTok Pixel

A tracking tool that sellers can install on their websites to measure TikTok ad performance, track conversions, and optimize campaigns.

Transaction Fee

A standard fee charged by TikTok Shop on each completed order, separate from commission and affiliate costs.

Trending Products

Items gaining rapid popularity on TikTok due to viral content, challenges, or seasonal demand, often leading to spikes in sales.

U

Unique Visitors (UV)

The number of individual users who visit a TikTok Shop or product page within a specific time period, counted only once regardless of repeat visits.

User-Generated Content (UGC)

Authentic content such as reviews, unboxings, or product demos created by customers or influencers, often used by sellers to boost credibility and sales.

V

Verification Process

The procedure where TikTok Shop verifies seller identity, business documents, and product authenticity before approving a store.

Video Shopping Ads

A TikTok ad format that integrates shoppable product links directly into short-form videos to drive conversions.

Violations Dashboard

A seller dashboard section showing policy breaches, penalty points, and compliance status.

Virtual Warehouse

A digital inventory system allowing sellers to manage and allocate stock without needing a physical warehouse.

W

Wallet Balance

The available funds in a seller’s TikTok Shop account from completed orders, which can be withdrawn after settlement.

Warehouse Management System (WMS)

A software tool that helps sellers track, manage, and optimize warehouse operations and inventory for TikTok Shop orders.

Weekly Settlement Cycle

The standard payout schedule where TikTok Shop transfers seller earnings on a weekly basis, after deducting fees and refunds.

Withdrawal Request

A seller’s request to transfer available wallet balance from TikTok Shop to their registered bank account.

X

XML Feed Integration

A method for syncing product data (titles, descriptions, prices, inventory) from an external system to TikTok Shop using an XML file, ensuring listings stay accurate and updated automatically.