If You Want to Make Commissions With Sellers on TikTok, Keep an Eye on Your GMV

While scrolling through TikTok, you may have seen a number of Influencers on the platform mentioning the term "GMV." Which may've prompted you to what just what the acronym stands for.

Thankfully, there are a number of users on the application who are more than willing to breakdown what it means. Along with the implications it has for users on the app.

A TikToker who goes by Chels (@corcorandesigns) breaks it down in a viral post she uploaded to her platform. "Knowing your GMV as a TikTok Affiliate is really important!" she writes in a caption for the post.

Furthermore, she added that GMV can determine if a seller will consider working with content creators on the application. This could potentially lead to brand partnerships that can help users further monetize their pages on their path to becoming a full-time video poster as a profession.

"It is one of the things that sellers look at to know if they want to work with you or not," Chels adds.

In her 44-second clip, she breaks it down in a reply to another user's embedded question, which asks, "Can you explain what exactly GMV is?"

Chels replied: "If you are a TikTok affiliate or you are trying to be a TikTok affiliate, it is very important that you know what your GMV is. GMV stands for Gross Merchandise Value. Essentially what that is, it is going to be the amount of products that you have sold on TikTok."

This means that if you have a product link in your TikTok bio page that folks click on and actually purchase items utilizing, you're going to be seen as an asset to businesses utilizing your page to advertise their wares.

"So it is not what you bring home in commissions, that's different. If I have $150,000 in GMV, I sold $150,000 worth of products." Furthermore, she explains, "So everything that I've sold on TikTok is gonna add up to around $150,000."

Chels went on to delineate the significance of one's GMV in acquiring prospective new sellers as part of their platform: "Why your GMV is so important is because that's what sellers will look at to see if they wanna work with you or not. If you have a high GMV that means that you know know how to sell."

She added, "And then they're gonna be more willing to send you free samples and work with you in collaborations. Hope that was helpful, let me know in the comments if you have any other questions about the TikTok shop affiliate program."

Additionally, other users on the application have talked about affiliate creators' GMVs.

Tracy Mae explains that each shop on the app is "different" when it comes to applying commissions. She also explained that TikTok doesn't take a cut of a user's commissions when users utilize a link on their profiles that leads them to a purchase.

Moreover, she explains that some online shops will offer users varying commission rates for the sales of products, and the time frames it takes to issue payments for these commissions differs from business to business as well.