On the TikTok platform, the acronym GMV represents Gross Merchandise Value. This term signifies the total value of merchandise sold through the platform’s e-commerce features over a specific period. For example, if multiple creators collectively sold \$10,000 worth of products via TikTok Shop in a month, the GMV for that period would be \$10,000.
Gross Merchandise Value serves as a crucial metric for evaluating the overall success and growth of e-commerce activity on TikTok. It provides insights into sales performance, trend identification, and the effectiveness of marketing strategies employed by creators and brands. While it reflects the total sales value, it’s important to note that GMV does not account for deductions such as discounts, returns, or associated costs. Its historical importance arises from its use in traditional e-commerce settings to gauge overall sales volume.