How Aerostreet Harnessed TikTok Shop to Revolutionize Online Shoe Retail

Table of Contents

1. Key Highlights
2. Introduction
3. The Early Days
4. Building Brand Presence
5. Real-World Impact
6. Continuous Evolution
7. Conclusion
8. FAQ

Key Highlights

• Aerostreet, founded in 2015, has transformed its sales strategy by utilizing TikTok Shop, achieving impressive growth.
• The company adapted quickly to TikTok's unique consumer behavior, leveraging limited-time promotions and engaging livestreams to boost sales.
• The introduction of TikTok Shop’s ACE Indicator System provided critical insights, allowing Aerostreet to optimize product offerings and content strategies, significantly increasing sales.

Introduction

In 2021, TikTok was not just a platform for dance challenges but began emerging as a viable e-commerce solution, particularly in regions like Southeast Asia. For Indonesian shoe manufacturer Aerostreet, leveraging a platform that initially seemed an odd fit for retail has unlocked new realms of opportunity. With nearly 100% of its distribution focused online, Aerostreet recognized the potential in TikTok Shop to maximize consumer engagement and streamline sales. But how did this formerly traditional manufacturer adapt to the nuances of social commerce, and what lessons can be learned from its journey?

The story of Aerostreet's partnership with TikTok Shop illustrates a broader trend in retail—where innovative platforms create new pathways for brands to reach consumers. Through a mix of strategic planning, innovative marketing, and engagement with the strengths of TikTok's social nature, Aerostreet not only expanded its reach but also enhanced its understanding of consumer preferences—an essential component in today’s competitive market.

The Early Days

Founded under the Aerostreet brand in 2015, Aerostreet primarily operated as a direct-to-consumer shoe manufacturer. This innovative business model allowed it to bypass conventional retail channels. However, the integration of e-commerce into its strategy was not without its challenges.

“We had to learn TikTok Shop’s mechanics and the different types of consumer behavior patterns on the platform,” explains Ayu Rizeki, chief marketing officer of Aerostreet. The initial foray into TikTok Shop in the last quarter of 2021 marked a significant shift for the company, opening up avenues to a demographic dominated by younger shoppers. This demographic, accustomed to social media, demanded an adaptive retail approach.

Understanding TikTok Consumer Behavior

One of the unique consumer behaviors noted was a propensity for impulsive purchasing, especially during TikTok’s live streaming sessions. Recognizing this trend, Aerostreet began to incorporate limited-time offers during these events to entice immediate purchases—a strategy that has proven to be effective. This was a departure from traditional e-commerce strategies, illustrating how platforms like TikTok necessitate a fresh approach tailored to their audience.

Building Brand Presence

As Aerostreet began to regularize its content and engagement strategies on TikTok Shop, the initial results weren't as promising as hoped. Regular discussions with TikTok Shop representatives revealed that optimizing product exposure was more complex than anticipated.

Rizeki elaborated, “Even with these campaigns and platform support, we didn’t always generate the traffic we expected.” The solution lay in engaging more deeply with TikTok’s ecosystem and employing data-backed tactics to fully harness their potential.

Embracing the ACE Indicator System

Beginning in 2024, TikTok Shop unveiled the ACE Indicator System, a framework designed to help brands optimize their digital storefronts. The three pillars—Assortment, Content, and Empowerment—provide a strategic roadmap for brands to increase their impact on the platform.

1. Assortment

   • The Assortment strategy focused on optimizing product variety and setting competitive prices across Aerostreet's offerings. This meant crafting their online storefront to reflect consumer preferences while ensuring products are searchable and attractive.

2. Content Development

   • The second aspect, Content, underscores the importance of engaging video and livestreams in promoting consumer trust. Aerostreet's dedicated in-house team began producing multiple videos daily to highlight their offerings, capturing the spontaneity of TikTok's short-form content.

3. Empowerment

   • Lastly, the Empowerment strategy involves leveraging TikTok Shop’s advertisement solutions, aiding sellers with monthly marketing initiatives, and ensuring they can efficiently engage with consumers.

Aerostreet adopted these strategies and observed a significant boost in sales—a crucial transition that augmented their online presence.

Real-World Impact

Upon implementing the ACE system, Aerostreet not only increased its sales by improving product visibility but also launched an exclusive collection tailored specifically to the TikTok audience. The move to make their styles more modern and youth-oriented paid off, with sales increasing by up to 50% during promotional events.

For context, this increase was mirrored in the strategies of brands like Bông Bạch Tuyết, a Vietnamese beauty company, that saw tremendous success by targeting specific demographics using the ACE system. Through decisive strategic pivots, Aerostreet successfully established itself as a key player in TikTok's burgeoning e-commerce space.

The Role of Livestreaming

Livestreaming emerged as a cornerstone of Aerostreet's approach, exemplifying how shopping behaviors are evolving. Recent statistics indicate that 79% of consumers noted that user-generated content influenced their purchasing decisions. Aerostreet’s participation in the “Beli Lokal” campaign—and subsequent engagements during super brand days—are indicative of how robust community interactions can spur transactions.

Rizeki noted the effect of engaging with creators to produce authentic content—“Through these creators’ organic videos and livestreams, we generated more diverse, engaging, and authentic content, which boosted consumer trust and engagement.” Such collaborations were integral to Aerostreet’s ability to capture consumer interest and drive revenue.

Continuous Evolution

As TikTok Shop continues to grow swiftly across Southeast Asia, so too will the strategies of brands like Aerostreet. Rizeki shared future plans to enhance collaborations with content creators and optimize ad campaigns further. “Creating real-time interactions and encouraging instant purchasing decisions is so important,” she emphasized, pointing to strategies focused on live shopping experiences as pivotal elements for future success.

Data-Driven Marketing

Diving deeper into data analytics through the ACE system will enable Aerostreet to refine its marketing campaigns. The potential for personalized marketing—backed by research indicating that such tailored approaches could enhance revenue by 10% to 15%—underscores the necessity for businesses to adapt swiftly to market changes and consumer preferences.

Conclusion

The journey of Aerostreet on TikTok Shop illustrates a fascinating evolution in modern retail, where platforms are not merely sales channels but comprehensive ecosystems for brand engagement and community building. Aerostreet’s success story reflects the growing importance of adaptive business strategies that harness both technology and consumer insights.

As brands continue to navigate the digital marketplace, the underpinning lesson is clear: understanding platform-specific user behavior, embracing innovative strategies like the ACE system, and crafting compelling content are no longer optional but essential components of a successful retail model.

FAQ

What is Aerostreet?

Aerostreet is an Indonesian shoe manufacturer founded in 2015, focusing on direct-to-consumer sales primarily through online channels.

How did Aerostreet utilize TikTok Shop?

Aerostreet established a storefront on TikTok Shop in 2021, learning to adapt to the unique consumer behaviors of the platform, including impulsive purchasing during livestreams.

What challenges did Aerostreet face on TikTok Shop?

Initially, Aerostreet struggled with product exposure and effective marketing strategies, which prompted a reevaluation of their engagement tactics.

What is the ACE Indicator System?

Launched in 2024 by TikTok Shop, the ACE Indicator System helps brands optimize their strategies around Assortment, Content, and Empowerment to enhance sales and engagement.

What impact did livestreaming have on Aerostreet's sales?

Engaging in livestreaming sessions allowed Aerostreet to increase sales significantly by appealing directly to consumers, aligning with the interactive nature of TikTok.

How does the future look for Aerostreet on TikTok Shop?

Aerostreet plans to continue expanding its presence on TikTok Shop by enhancing collaborations with content creators, optimizing ad campaigns, and refining marketing strategies based on audience data and trends.