Smart Promotion Program

Promotion Tools

Summary

What is the TikTok Shop Smart Promotion program and what benefits does it offer to sellers?

  • Smart Promotion, replacing Co-funded Promotion since March 3, 2026, provides sellers with promotional subsidies, campaign eligibility, and enhanced product exposure to maximize ROI and GMV growth.
  • Benefits include a guaranteed 5x ROI, +70% GMV growth during events like Black Friday, automatic points rewards boosting conversions, transparent fees (3.5% GMV), and time-saving full-service management.

What are the eligibility criteria and enrollment details for sellers wanting to join Smart Promotion?

  • Sellers must maintain a Shop Performance Score (SPS) of at least 3.5 to enroll; eligible sellers see the option in Seller Center and can opt in or out anytime.
  • Participation is long-term as long as SPS ≥3.5; sellers cannot set budget caps, and a fixed 3.5% fee on total store GMV applies, with an additional 1% fee during campaigns starting April.

How does TikTok Shop manage fees, product exclusions, and performance tracking within the Smart Promotion program?

  • The 3.5% fee applies store-wide on all GMV regardless of product subsidy participation; sellers can exclude specific products by contacting their Account Manager.
  • Sellers can monitor daily updated metrics like GMV, orders, new customers, spend, and ROI via the Seller Center’s program detail page for transparency.

What conditions must sellers meet to maintain the guaranteed 5x ROI and how is ROI calculated?

  • ROI = GMV from Smart Promotion-subsidized orders ÷ seller’s actual contribution; guaranteed 5x ROI applies if SPS ≥3.5, customer experience metrics exceed industry average, and product incentives remain active.
  • Opting out of product incentives or poor customer experience metrics may void the ROI guarantee.

How does the Smart Promotion program integrate with other TikTok Shop marketing tools like GMV Max?

  • Smart Promotion focuses on driving conversions and GMV, while GMV Max targets traffic acquisition; orders can be influenced by both, but Smart Promotion subsidies only count orders with actual promotional attribution.
  • Combining both programs helps increase order volume and conversion rates effectively.

What is Smart Promotion

Smart Promotion is TikTok Shop's all-in-one marketing growth solution. With a single click, sellers can unlock eligibility for major campaigns, Premium Offers/ Flash Sales, and weekly campaigns. By integrating comprehensive discount tools (direct discounts, coupons, free shipping, and points) with diversified touchpoints like pop-ups and banners, the platform brings together key marketing resources to help improve seller Return on Investment (ROI).
Currently, there are two modes:
  • Smart Promotion(Based on Store-wide GMV):Upon participation, a fixed percentage fee is charged based on the store's total GMV. The fee structure is transparent and predictable.
  • Smart Promotion (Co-funded Promotion Mode): The platform and the sellers co-fund discounts to boost GMV growth through methods like coupons and direct discount. Discount orders incur a floating rate.
Relationship between the two: A single seller can only participate in one of the modes. Currently, almost all sellers have adopted the new Smart Promotion mode, with only a small fraction remaining in the Co-funded Promotion Mode.

Join SP to Unlock Various Benefits.

💰 Platform-Funded Discounts: Unlock daily platform vouchers, platform-funded product discounts, and shipping coverage to help grow your GMV. Leverage advanced data models to intelligently distribute discounts and tools at the optimal moment, maximizing marketing efficiency.
🎁 Bonus Points Program: Activate bonus points benefits to build customer loyalty and encourage repeat purchases. Customers earn 100 points for every $1 spent, which can be redeemed as discounts on future orders. These points can be stacked with coupons and platform-funded product discounts for additional incentive.
🏷️ Visibility Benefits: enhance your brand presence with exclusive C-end visual assets designed to boost short-term sales spikes and long-term customer retention. Distinctive design layouts for different marketing tools (e.g., points vs. vouchers) to ensure key value propositions are communicated clearly to the customer.
🚀 Unlock Eligibility for Platform Campaign: Starting from April, SP becomes the official entry ticket for Platform Campaign.The platform will provide discounts during both daily and campaign periods to improve GMV. Discount intensity during promotions will be double the daily rate. Activity tags and high-visibility placements help enhance product marketing in key campaign surfaces.
📣 Unlock Eligibility for Weekly Campaign: Starting from April, SP becomes the official entry ticket for weekly Campaign. Promotional labels displayed on product pages help enhance appeal and conversion opportunities. Dedicated resource allocation may allow more attractive promotional discounts during campaign periods, subject to program rules.
🔑 Unlock Eligibility for Premium Offers/ Flash Sales: Starting from April, SP becomes the official entry ticket for Premium Offers/ Flash Sales. Gain opportunities to receive platform-funded Premium Offer and Flash Sale discounts to help improve conversion. Feature on campaign landing pages and high-exposure Shop Tab slots, helping to lock in additional marketing support via dedicated Premium Offer and Flash Sale channels.
🧮 Discount Rate Commitment(SP Only): Starting from April, Sellers will receive a platform discount rate of at least 2.5% during non - campaign periods and 3.5% during campaign periods (applying to 3BD orders for non-blacklisted products with no negative reviews). Any shortfall will be compensated via Ad Credits!

Frequently asked questions (FAQs)

Part I. Enrollment and Exit

  1. What are the eligibility criteria for joining the Smart Promotion program?

To participate in Smart Promotion, you must meet the following merchant eligibility criteria:
  • If you have a Shop Performance Score, it must be 3.5 or higher.
    • You can view your Shop Performance Score if you have completed at least 30 orders within the past 90 calendar days.
    • If you do not have a Shop Performance Score, you must have fewer than 3 violation records related to prohibited products or content in the past 30 days.
  • AHR > 150
  • Compliance with Platform Safety and Compliance Standards and eligibility for program participation.
Recommended Actions:
  1. How long can I participate in the program?

Once successfully enrolled, you may participate in the program on a long-term basis at your discretion. To remain eligible, you must meet the criteria mentioned above.
  1. Can I opt out of the program at any time?

Yes, you may opt out and opt in at any time.

Part II.Fees and Promotion Rules

  1. How does Smart Promotion work?

TikTok Shop utilizes advanced algorithms to allocate promotional investments aimed at maximizing GMV and ROI. Performance metrics, including ROI, are updated daily to ensure transparency in spending effectiveness. The platform optimizes its strategies on a weekly basis, ensuring sustainable and effective performance.
  1. Can I switch from the Co-funded Promotion mode to the Smart Promotion mode?

As of March 3, 2026, most merchants have already completed the transition to the Smart Promotion mode. If you are still in the Co-funded mode and wish to switch, please contact your Account Manager. They will assist you with the application, and the transition process will take about one week.
  1. What is the relationship between SP, Platform Campaigns, Flash Sale, Premium Offer, and Weekly campaigns?

  • Prerequisite: Starting in April, enrolling in Smart Promotion will become a mandatory prerequisite for registering in Platform Campaigns, Flash Sale, Premium Offer, and Weekly Promos.
  • Discounts: Once enrolled, the platform will provide discounts during both daily and promotional periods to drive GMV. The discount rate during campaign periods will be double the daily rate.
  • Registration: You can trigger the Smart Promotion registration directly on the Platform Campaign page. Conversely, once joined SP, you can also find campaign registration links on the Smart Promotion project page.
  1. Can I view future fee rate changes?

Yes. Your fee rate will increase during campaign periods. You can check the Calendar on the SP homepage to view upcoming rate changes and charging rules.
  1. Can I exclude specific products from Smart Promotion?

Yes. To exclude specific products from the Program, please contact your Account Manager (AM). They will assist you in identifying and managing the products you wish to exclude.
  1. Does the shop-wide GMV fee include products previously exempted or blacklisted from discounts in SP mode? Can those products still receive discounts?

Under the Smart Promotion mode, the fee is calculated based on store-wide order GMV, regardless of whether individual products participate in Smart Promotion or are on the discount blacklist. To restore previously exempted PIDs, please contact your AM.
  1. Can I set a budget cap?

  • Smart Promotion: Charges a fixed rate based on store-wide GMV; setting a budget cap is not supported.
  • Co-funded Promotion Mode: If you wish to set a cap, please contact your AM to apply. Starting in Q2, we will gradually refine the budget cap policy to standardize these tools.
  1. How is the fee reflected in order settlement?

In your settlement orders, there will be a specific indicator for the Smart Promotion fee, allowing you to view the exact charge in the details of each order. The fee item will be listed as "Smart Promotion Fee" (for the Smart Promotion mode) or "Co-funded promotion service fee" (for the Co-funded Promotion mode).
Please note the distinction: Only the fee items shown on the settlement statement represent your actual program expenses. The Smart Promotion discounts displayed on the order page only indicate the deduction amount from platform marketing tools redeemed by the consumer (e.g., if a consumer uses a $5 coupon, it does not mean you actually pay a $5 fee).
  1. What are the details about the Bonus program?

Bonus is a customer facing program fully funded by TikTok Shop. When customers make purchases on TikTok Shop, Points are automatically added to customers' accounts. Sellers in SP will have Bonus benefits on their products. Customers will also see C-end labels on PIDs. Bonus programs help improve exposure, conversion and GMV. See details here: Bonus Program Details/FAQs for Smart Promotion - External Facing/Bonus 项目详情/常见问题解答(对外)
  1. If a seller participates in Smart Promotion, will all PIDs have a 'bonus' status and labels?

Sellers participating in CFP will have a bonus for all of their products with ASP $5+ and the PIDs are not blacklisted.

Part III. Data Monitoring and Metrics Explanation

  1. What data metrics can I see?

You can monitor your performance on the plan details page in the Seller Center. The dashboard contains three sections:
  • Core metrics: ROI, GMV, Seller Promotion Cost, orders, new customers.
  • Mega Campaign metrics: Platform-level campaign performance, including GMV and orders during the campaign period.
  • Bonus metrics: Daily customers with points activity, as well as points earned and redeemed.
  1. How to resolve the overlap issue between conversions from GMV Max and Smart Promotion?

  • The CFP calculation logic excludes organic exposure and only counts orders that have actually received Smart Promotion subsidies based on settlement attribution.
  • The same order can be targeted by both GMV Max and the SP program. However, GMV Max primarily focuses on exposure acquisition. By supplementing GMV Max with the SP program, we can drive conversion rates, enhance GMV, and increase order volume.