758In March 2025, TikTok Shop announced a major adjustment to its EU cross-border store policy, opening up eligibility for Chinese mainland and Hong Kong enterprises to enter for the first time. This policy is like issuing a "golden ticket" for Chinese merchants eager to go global.
Meanwhile, competition in Southeast Asia and the US sites is becoming increasingly fierce. The Southeast Asian market is plagued by severe low-price competition, with average order values of only $5-20; while the US site has higher order values, advertising click costs have soared to $0.30-0.50, and there is policy uncertainty.
The European market, on the other hand, has shown explosive growth. During the recent summer promotion, merchants in the four EU countries saw daily GMV surge by up to 200%, and the UK full-managed model GMV soared by 600%.
Image source: TikTok Shop Cross-border E-commerce
New Market Opportunities, Explosive Growth in the European Site
The European e-commerce market is expanding at an astonishing rate, with a scale exceeding $600 billion and a projected growth rate of over 54% in the next five years. TikTok Shop's layout in Europe is becoming increasingly complete, having launched in six core markets: the UK, Germany, France, Italy, Spain, and Ireland.
Compared to the crowded Southeast Asian and US regions, the European site shows unique advantages.
For example, European consumers have a strong demand for high-quality products. Under these conditions, German consumers are willing to pay a premium for eco-friendly home products, while Spanish users are more concerned about cost-effectiveness. These differentiated characteristics provide opportunities for sellers with different positioning.
In terms of thresholds, the European site does have certain compliance requirements. However, novice sellers can adopt a low-risk launch strategy: ship directly from China and keep sales below €10,000 to temporarily avoid complex VAT registration. This strategy allows beginners to test market response at a lower cost.
Image source: Internet
Entry Guide: How Beginners Can Start with Low Barriers
The tax policy in the European market is relatively friendly to beginners. The EU stipulates that cross-border sales below €10,000 do not require VAT registration. This means that during the small-scale trial phase, sellers can focus on products and content rather than complex tax issues.
In terms of product selection strategy, directly copying bestsellers from the US site is an efficient method. A seller who opened a store in Spain reported: "Copying UK and US bestsellers makes it easy to become a category leader." At the same time, slight adjustments should be made according to local European consumption characteristics:
German users prefer functional home tools and have a strong demand for eco-friendly products;
The Spanish market has a prominent demand for fast fashion and is sensitive to cost-effectiveness;
French consumers focus on aesthetic design, and product visual presentation is crucial.
In terms of logistics layout, beginners can use the virtual warehouse model to reduce risk. It is worth noting that orders in Spain and Italy that take more than 5 days to be delivered will trigger a return rate as high as 30%, so choosing reliable logistics partners is key to success.
Localization Operations in Practice: Analysis of Successful Cases
In the European market, localization + differentiation is the key. Several Chinese brands have successfully entered the European market through deep localization.
Sportswear brand Fanka entered the high-end market with its "naked-eye 3D butt-lifting" high-tech yoga pants. The brand is committed to fabric quality (95% recovery rate) and binds itself to the "healthy lifestyle" label, successfully benchmarking against Lululemon.
Roborock, on the other hand, became the sales leader in multiple European countries with its robot vacuum cleaners. The secret is high-end positioning (laser navigation + automatic dust collection) and leveraging the Xiaomi ecosystem for overseas expansion. They deeply understand that Europeans love smart products and care about environmental protection, making energy-saving certification a core selling point.
Image source: TikTok
In the pet economy sector, Chinese seller Wang Xiaolu founded the squishywnag brand, selling stress-relief toys that cost 10 yuan to make at high prices of $78-148 in the European and American markets. The core strategy is to create a "pet emotional stress relief" scenario, showcasing the handmade process via TikTok live streams. One video featuring kneading sound effects garnered 57.9 million views, driving a surge in organic traffic.
Image source: TikTok
Seize the Opportunity—Now Is the Time to Enter
The huge potential of the European market (over $600 billion in scale) and TikTok Shop's active expansion provide a rare window of opportunity for new sellers. Compared to the fiercely competitive US and Southeast Asian regions, the European site is relatively less competitive, users have strong purchasing power, and the platform's traffic dividend still exists.
The key is to act quickly. European countries are gradually tightening e-commerce compliance requirements (such as France planning to levy small parcel handling fees, and the EU considering abolishing small-value tax exemptions). Early entrants can not only enjoy lower entry barriers but also capture user mindshare and establish a first-mover advantage.
Don't hesitate—now is the perfect time to lay out your strategy in Europe and seize the blue ocean, replicating success stories.
