AIP-571: Ape 2025 TikTok Shop Takeover

PROPOSAL DESCRIPTION

We are on a mission to bring Apes to new audiences via the growing opportunity in Social Commerce (particularly TikTok Shop)! If you’re not too familiar with TikTok Shop - no worries…. Read background below.

TikTok Shop Background:

Launched in Asia in 2022, TikTok Shop has grown rapidly, becoming a major force in e-commerce, especially in Southeast Asia. TikTok’s short-form videos and social commerce model have helped it capture a large share of the market, challenging traditional e-commerce giants.

TikTok Shop launched in the U.S. in late September 2023. With historically low cost-per-acquisition, It is now the fastest growing platform for small business in the U.S. In August 2024 - TikTok Shop did more than $600M in monthly sales. TikTok is taking significant market share from Amazon and Google on product searches, similar to the change from Google search to Amazon in 2012.

• In 2024 - 74% of GenZ uses TikTok as their first and primary source for product searches.
• Beyond attributable sales on TikTok Shop, product brands are seeing a significant ‘halo effect’ for sales that occur on Amazon and Shopify, but start through first search or exposure on TikTok Shop.
• Many small businesses are reporting an increase in sales up to 30% using the TikTok Shop platform (attributable revenue) + unattributed "halo effect"increased sales on Amazon storefront and Shopify from brand visibility gained from TikTok.
• There is a strong interest in health products on TikTok (#2 product category on TikTok Shop) and a strong overlap between the key demographics for TikTok users and Web3.

Proposal Objectives:

Proof of Concept Product: As a proof of concept - We will leverage the strong opportunity that exists in the Health and Wellness space on TikTok Shop for a new premium protein powder product: APE Fuel (Alpha + Protein + Energy)* A product brand inspired by the Ape Community. A clear protein + all natural adaptagen to boost energy. Product packaging will feature an Ape. And the Brand ethos will reflect the spirit of the Ape Community - bold, strong, high energy, and hell yes, Ape-like audaciousness.

Target demographic: males (and females too!) ages 20-45 (Web3 enthusiasts and normies), fitness-focused individuals (both beginners and gym rats) who are keen on improving their health, energy, and lean muscle mass. The target demographic values high-quality products that deliver actual results. They want a convenient protein powder product that helps them meet their protein needs, to fuel that (healthier, but non-stop) Ape lifestyle.

Launch on TikTok Shop: We will use TikTok and TikTok Shop as our primary sales, marketing, and distribution channel for this brand. For Marketing and Sales - we will leverage TikTok Shop’s incredibly strong creator (affiliate) program that allows for low cost; high reach product marketing and sales conversion. Trained Affiliates create content, but are paid only on actual sales conversion (as opposed to influencer marketing model).

For Fulfillment and Distribution - we will leverage TikTok Shop’s built-in fulfillment and distribution platform. Fulfillment and distribution is often a friction point for MBA businesses, but through TikTok’s platform, our product will ship within 3-5 days.

The TikTok Shop model is infinitely scalable through deeper marketing and building out adjacent product offerings in the health/wellness space. The model and our learnings could be leveraged to help numerous other MBA businesses get onto the TikTok Shop platform.

• Estimated $50-$65 per unit, shipping only available within the United States.

Develop Affiliate Marketing Program for Apes to Earn $$: Leveraging relationships with top TikTok Shop creator trainers - we want to build a community-focused affiliate program that incentivize BAYC members (and non-member creators) to promote the APE Fuel Product (and other MBA products) to earn commissions and drive viral marketing and sales. This could create a nice ‘side hustle’ revenue stream for interested Apes while helping to expand Ape brands and the Ape ecosystem.

Thank you Program to drive traffic to Apechain: In addition to developing an MBA Creator Community, we would like to create a “Thank You” Rewards program to drive traffic to Apechain and Apecoin. Here is the idea: We will create a "thank you for supporting Ape Fuel messaging to include in each product package or to be delivered by email (post-sale). This messaging would include a small reward (Spotlight points) with instructions on how to participate in Apechain and claim the reward.

Rev Share to the ApeCoin DAO: To support the DAO, we would dedicate 50% of the gross revenue from TikTok Shop back to the DAO to create a strong revenue stream to help fund future AIP projects.

We are deeply passionate about creating and launching this new product that reflects the best (and healthiest) vibes of the Ape Community - and gives back to Apes and the ApeCoin DAO at the same time. #ApeFuel #ApeTogetherStrong

BENEFIT TO APECOIN ECOSYSTEM

1. New revenue stream for the DAO / 50% rev share.
2. Increases visibility for Apes, Apechain and Apecoin within the TikTok Shop/Web2 community – and with larger demographic reach (could help grow younger and different demographic onto Apechain).
3. Opens a new low risk, sales, marketing, and distribution channel for MBA businesses to leverage to expand their sales.
4. Creates Affiliate Marketing program for Apes. Apes can earn extra $$
5. Drives new traffic to Apechain through new rewards program codes.
6. Will introduce 3rd party TikTok creators/affiliates (average age 18-30) to the Ape ecosystem creating brand evangelists for Ape/MBA Brands.

OVERALL COST

Total amount requested from the Apecoin Ecosystem Fund = $248k

Breakdown of Funding and Timing:

Tranche 1 - Upon approval: $96,000

• Product Development and Market Testing $34k
• Market Testing and Product Final $16k
• Packaging and Labeling Development $18k
• TikTok creator community manager/trainer $22k
• Create rewards program (Apechain) $3k
• Contingency for misc. fees $3k

Tranche 2 - Upon completion of Milestone 1: $152,000

• Product Manufacturing and Inventory $67k
• Create Samples for affiliates. Shipping $19k
• Content Creation. Affiliate Marketing
• Promotions for Affiliates/Apes. Cross promotion $44k
• 3PL - Logistics and Distribution. Platform Fees $22k

PROPOSAL

Link to the full proposal: (https://forum.apecoin.com/t/aip-571-ape-2025-tiktok-shop-takeover/26981)

The AIP implementation is administered by the Ape Foundation. Implementation may be immaterially or materially altered to optimise for security, usability, to protect APE holders, and otherwise to effect the intent of the AIP. Any material deviations from an AIP, as initially approved, will be disclosed to the APE holder community.