What is Shipping Fee Program?

The Shipping Fee Program is the default shipping offer which gives sellers access to TikTok shipping incentives, helping reduce shipping costs for users.

What benefits can I get?

Sellers in the Shipping Fee Program will be partially subsidized by TikTok Shop for offering low to free shipping to their buyers. Additionally, sellers who remain in the Shipping Fee Program may become eligible to receive free Ads traffic in select periods.
Sellers who opt-out will not receive subsidized shipping offered to buyers nor the additional Ad traffic. They can sign-up again through Seller Center > Marketing -> Campaigns -> Find Shipping Fee Program.

1. Get Exclusive Shipping Incentives

This program gives sellers access to TikTok shipping incentives, which can help reduce shipping costs for their users. Given the type of user, TikTok will offer different shipping offers based on the minimum spend threshold. Sellers will only pay a service fee elaborated below.
*If the shipping fee exceeds the shipping subsidy provided by platform and seller, the buyer will need to pay the amount exceeding the subsidy.
*The shipping fee split between buyers, TikTok Shop, sellers would be different if sellers set shipping fee discount by themselves. Please go to [FAQ 3] to get more details.
*Voucher issuance is optimized on a per-order basis to ensure that shipping subsidies effectively drive meaningful growth in shop traffic and conversion rates. Accordingly, a voucher may not be available for every order.

2. Elevate Product Visibility

TikTok Shop will provide special "Free Shipping" labels (products with zero shipping fee) or low cost shipping banners on participating seller products, making them easily identifiable to shoppers in Shoppable Video, Shop Tab, and LIVEs, potentially translating to higher purchase conversion rates.

3. Boosted ad traffic

Shipping Fee program will also enable qualified sellers to receive free ad traffic on their ads for the duration that they remain in the Shipping Fee Program. This will increase Ad visibility for more users.

Service Fee Scheme

The Shipping Fee Program Service Fee is charged based on product selling price through all successfully shipped orders.

• Sellers on the program will pay 6% of the selling price on all successfully shipped products, before any platform subsidies on the order total, in order to provide low to free shipping for their users
• The service fee is cap at 50R$ per product

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Example: Shipping Fee Program Settlement

• Shipping Fee Program 6%
• Seller is charged 470 R$ * 6% = 28.2 R$

Returns

• If the products have not been shipped, and consumers cancel the order or fail to pay the order online, the shipping fee program service fee will not be charged;
• If the product is successfully shipped and a customer requests a return or refund, the shipping fee program service fee will not be reimbursed to the seller and the logistics fee charge depends on return responsibility
  • However, the shipping fee program service fee will not be reimbursed to the seller. For more details, please see the return and refund policy

*Seller Responsibility includes item doesn't match description, Item arrived damaged, Defective item, Wrong item was sent, Package received but missing item, Item arrived too late, Color or pattern not as expected
*The shipping fee split between buyer, TikTok Shop, seller would be different if sellers set shipping fee discount by themselves. Please go to [FAQ 3] to get more details.

How do I join the program?

TikTok Shop sellers will be automatically enrolled into the program. If they opt-out, they will be able to rejoin the program again at any time.
Sign up through the Seller Center:

1. Seller Center > Marketing -> Campaigns -> Find Shipping Fee Program
2. Click Register now
3. Read the Campaign Details and Click Register

Note: Once you sign up and pass our review, Shipping Vouchers can be applied to all your products.

How do I check the bill?

Please visit Seller Center -> Finance -> View Details
*This is a test account with dummy data for reference only. The actual interface and features may vary.

How do I leave the Shipping Fee Program?

We recommend staying in the Shipping Fee Program to help increase your sales. However, if you wish to opt-out of this program, you can follow the guidance below or contact your Account Manager for assistance.
Please follow the steps below:

• Marketing -> Campaigns -> Manage your campaigns -> Click manage Shipping Fee Program registration record -> Click Withdraw
• Wait for your request to be approved. The campaign registration status will change from Approved to Withdraw Under Review
• If your request is approved, the registration status will change to Expired.

Please note:

• Once opted-out, you are responsible for setting your own shipping costs for all free shipping offered to buyers and no longer enjoy Shipping Fee Program benefits.

3. For orders that were processed before you left the Shipping Fee Program, the service fee will be charged as normal.
4. For orders placed after you leave, the service fee will not be charged.

TikTok Shop reserves the right to update the Shipping Fee program, the program, and the eligibility for participating in the program. TikTok Shop reserves the right to suspend or terminate a seller's participation in the Shipping Fee Program for any reason, including but not limited to, repeated or significant violations of program guidelines, such as excessive delivery delays, consistently negative reviews, or failure to comply with packaging and labeling requirements. If you have any questions, please submit a ticket via Seller Center.

FAQs

1. Can all sellers enroll in the Shipping Fee Program?

Yes, all sellers in Brazil will qualify for the Shipping Fee Program.

2. How do I join the Shipping Fee Program?

You need not join the Shipping Fee Program unless you have opt-out. All TikTok Shop sellers will be automatically enrolled into the program. Check your Registration Record on the Campaign Details page to check on your enrollment

3. How does the SFP shipping subsidy work with the seller self-setup shipping fee discount?

If the seller sets up his own free shipping discount, the SFP subsidy will be deducted first when the minimum spending threshold is reached. The seller provided shipping subsidies will take effect after the SFP. But if the grand total order amount doesn't meet the threshold of SFP policy, the whole shipping fee will be covered by seller shipping fee discount.
You can go to this Link to get more details of seller self-setup shipping fee discount.
Please check the table below to understand how shipping fee is paid by users, TikTok Shop and the seller.

4. What options do sellers have besides joining the Shipping Fee Program, and what are the pros and cons of each?

• Staying in the Shipping Fee Program (Recommended)
  • Pros: Shoppers receive free shipping when they apply their low or free shipping coupons, which can lead to increased sales. Qualified sellers will also notice a boost in their Ad traffic.
• Opting out of Shipping Fee Program
  • Pros: Seller can set higher thresholds for free shipping.
  • Cons: Sellers will pay for all of their low or free shipping options to buyers. TikTok Shop will not subsidize their shipping offers nor provide additional ad traffic.

5. How does the free shipping threshold from Shipping Fee Program impact coupons and discounts?

Sellers should note that coupons and discounts will impact the free shipping threshold¹ differently. Buyers are given a variety of low to free shipping fee coupons.

• Discounts, coupons and Flash Deal: Discounts, coupons and Flash Deal provided through a direct subsidy or a direct reduction in the item price will influence the calculation of the free shipping if there is a threshold listed. For example, if you sell a product for 5R$ and offer a direct discount of 3R$, the total listing price would be reduced to 2R$. As a result, this specific product may not qualify for the Shipping Fee Program, it falls below the Shipping coupon threshold indicated on the coupon. Not all free or low shipping coupons have a threshold to be met.

¹ Free Shipping threshold is an amount that that buyer must reach in order to be eligible for the coupon. An example would be " Free Shipping on orders over 30R$.

6. Are there any exceptions where shoppers will not receive a free shipping coupon?

• Yes, some buyers may receive a low shipping fee coupon.
• Products with poor customer experience may be removed from the TikTok Shop free shipping product list. In these cases, shoppers will need to pay the shipping fees.

7. Is the Shipping Fee Program subsidization provided at the order level or package level?

Shipping Fee Program subsidization is provided at the order level.

8. Does Shipping Fee Program apply for Free sample shipping?

• No, Please note that the Shipping Cost for offering free samples is 100% on seller, SFP is not applicable

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