Gross Merchandise Volume on TikTok Shop represents the total value of all sales made through the platform over a specific period, before any deductions for fees, refunds, or discounts. It provides a high-level view of the overall sales activity. For example, if numerous creators collectively sell products totaling $1,000,000 within a month through the TikTok Shop, the Gross Merchandise Volume for that month would be $1,000,000.
This metric serves as a key indicator of success and growth for both individual sellers and the TikTok Shop platform itself. Analyzing this volume allows businesses to assess the effectiveness of their marketing strategies, product offerings, and overall presence on the platform. Furthermore, a consistent increase in this volume signifies the expanding adoption and engagement of users within the TikTok Shop ecosystem, attracting further investment and development.