Co-Funded Promotion Program

Promotion Tools

Summary

What is TikTok Shop’s Co-funded Promotion program and how does it benefit sellers?

  • Co-funded Promotion is a program where TikTok Shop and sellers jointly invest in marketing, with TikTok managing fund allocation via algorithms to maximize ROI. Sellers get guaranteed 5x ROI, enhanced product exposure, customer growth, and time savings as TikTok handles strategy and execution.

What are the eligibility criteria and how can sellers join or leave the Co-funded Promotion program?

  • Participation is by invitation only, requiring a Shop Performance Score (SPS) of at least 3.5. Sellers can opt in via Seller Center under Marketing > TikTok-funded program > Co-funded Promotion, and can withdraw anytime through the same portal by submitting a withdrawal reason.

How does TikTok Shop manage promotional activities and budget allocation within the Co-funded Promotion?

  • TikTok uses advanced algorithms to strategically allocate funds across coupons and discounts, aiming to maximize GMV and ROI. Budgets and performance metrics like ROI, GMV, and new customers update daily and monthly for transparency and optimization.

Can sellers exclude specific products from the Co-funded Promotion and how is co-funding determined?

  • Yes, sellers can exclude products by contacting their account manager for assistance. TikTok’s co-funding amount depends on actual performance but guarantees a minimum 5x ROI, with detailed performance metrics provided to sellers.

What are the key features and conditions of the free trial for the Co-funded Promotion program?

  • The free trial offers full program features with TikTok covering 100% of promotion costs, providing a risk-free chance to achieve 5x ROI. It ends based on specific activity timelines or when sellers start contributing. Sellers can withdraw anytime but cannot reuse the trial if they quit early.
Co-funded Promotion is a TikTok Shop program where both TikTok Shop and sellers contribute marketing funds, and TikTok strategically allocates these funds across promotional activities like product coupons and new customer discounts. The platform manages all investment in this Program, aiming to maximize sellers' ROI with the support of advanced algorithms. TikTok Shop currently guarantees a ROI of 5x.

Benefits of joining Co-funded Promotion

💰 Guaranteed ROI: For every $1 you invest through our Co-funded Promotion, you'll earn at least $5 in GMV, guaranteed through December 31, 2025.
📣 Enhance product exposure: Shoppers are greeted with Co-funded Promotion coupons via pop-up messages and surprise placements on product pages.
🚀 Drive customer growth: Reach new and existing shoppers with data-driven promotions designed to increase engagement and GMV.
🛠️ Save time and effort: We handle the entire process, from strategy and execution, to reporting, so you can focus on creating content and engaging with your shoppers.

What are the enrollment criteria?

Participation is by invitation only. Your Shop Performance Score (SPS) must be at least 3.5 to join the program. Eligible sellers will see the program option in their Seller Center.

Frequently asked questions

How does Co-funded Promotion work?

Once registered, TikTok Shop uses advanced algorithms to strategically allocate promotional investments, aiming to maximize GMV and ROI. Performance metrics, including ROI, are updated daily to provide transparency on spending effectiveness. Estimated budgets are updated monthly based on prior data. Co-funded Promotion guarantees a minimum ROI of 5x within a calendar month.

How to opt in/out for Co-funded Promotion

How to opt in?

Go to Marketing > TikTok-funded program > Co-funded promotion > Click "Start free trial" to join
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How to opt out?

Go to Marketing > TikTok-funded program > Co-funded Promotion > Manage program
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Click "Withdraw"
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Fill in "Reason for withdrawal"
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How to re-register?

Go to Marketing > TikTok-funded program > Co-funded Promotion > Re-register
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How will TikTok Shop decide what promotional activities to run?

TikTok Shop uses an algorithm-driven approach to strategically allocate investments, aiming to maximize GMV and promise a ROI of 5x. Participating sellers authorize TikTok Shop to decide and execute promotional spending on their behalf, with ROI estimates updated daily to track performance.

How long can I stay on this program?

Once you have successfully registered, you will stay on this program as long as you want. Your Shop Performance Score (SPS) must be at least 3.5 to join the program.

Can I withdraw from the program?

Yes, you can withdraw at any time. Just go to "Manage your programs" and click the withdraw button. Once you unregister, all promotional activities will stop immediately. If you wish to register for this program again in the future, you will need to do so manually by going to Marketing > TikTok-funded program > Co-funded Promotion > Re-register.

Can I exclude specific products from promotional activities?

Yes, you can. To exclude specific products from promotional activities, please contact your account manager. They will assist you in identifying and managing the products you wish to exclude from promotions.

How much will TikTok Shop co-fund the activities?

This is determined by the actual performance. TikTok Shop guarantees a ROI of 5x and will provide performance metrics such as seller ROI, GMV and new customers.

Where and when will I see my monthly estimated cost?

Estimated spending updates are available on the Co-fund Program registration page at the start of each month, based on the prior month's performance and ROI data.
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How do you estimate the amount spent on me?

The estimated amount spent is based on historical data from the previous month and your business goals. This estimation process takes into account both past performance and the available subsidies and resources from the platform, which are designed to help increase your GMV with a minimum ROI of 5x after registering in the program.

What performance metrics can I see?

You can monitor performance on the program detail page in the Seller Center. We will provide daily updates on GMV, Order Acquired, New Customer Acquired, Seller Accumulated Spend, and Seller ROI.

Do I need to deposit money to register for this program?

No, no upfront deposit is required. TikTok Shop funds promotional activities initially, and sellers' co-funds are settled during standard payment cycles, typically 1–8 days post-delivery. Spending appears as "Co-funded promotion service fee" in statements.
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FAQ regarding the free trial

Features and rules
What features are included in the free trial?
The functions during the trial period are the same as those of the official version. The platform will improve the conversion rate of your shop and increase the GMV by offering coupons and product subsidies. You can see the data tracking on the project details page.
When does the free trial end?
The end time of the free trial is generally determined by the specific activity, so you can directly refer to the promotional materials of the activity itself. You can also observe the merchant data on CFP details page. If the merchant starts to make actual contributions, the free trial has ended. During the free trial, TikTok Shop covered 100% of your Seller Center Co-funded Promotion costs, giving you a risk-free opportunity to experience a minimum 5X return on investment. You can opt out at any time, even during the trial. To opt out, click here to enter the CFP page and click Withdraw.
If I quit early during the trial period, can I still use the remaining trial days?
No, you can't. The trial is a special benefit for merchants who have not signed up for the project. If you withdraw halfway, you will not be able to obtain the free trial right for the second time.
Fees and benefits
Will the free trial automatically convert to a formal program?
After the trial period ends, it will automatically convert to a formal project, but the seller can withdraw at any time. During both the trial period and the formal project period, if dissatisfied with the results, the seller can choose to withdraw.
Are there any limitations or hidden fees during the free trial?
There are no hidden fees. The entire trial period is completely free.
Performance tracking and evaluation
What performance data can I view during the trial period?
We will provide performance tracking including GMV, Order Acquired, New Customer Acquired, Seller Accumulated Spend, PID level performance, and Seller ROI.