Morgan Stanley: Zalando May Face Threats from Social Media Commerce
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Glonghui, February 3rd|Analysts at Morgan Stanley wrote in a research report that Zalando is facing challenges from the rise of social media commerce such as TikTok Shop. This Berlin-based social media platform has an e-commerce feature within its app that allows users to shop directly from videos. The analysts said that consumers may use TikTok Shop to discover and interact with brands, while Zalando serves as a platform for final purchases. They stated: "Advertising budgets are being allocated across multiple channels, including assigning part of the budget to TikTok Shop, as brands are focusing more on discovery rather than purely intent-driven traffic."
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