TikTok‘s next expansion of its U.S. business sounds a lot like Groupon. The app is reportedly hiring staffers in Seattle, Los Angeles, and New York to build out a “local services” team that will work with small businesses and creators to facilitate promotional opportunities.
Axios first reported on TikTok’s planned expansion, citing a plethora of relevant job listings as well as “sources familiar with [TikTok’s] plans.” The arrival of the app’s local services operation in the United States would expand an initiative that began last year in Southeast Asia. Working alongside creators in countries like Indonesia and Thailand, TikTok offered vouchers for restaurants, hotels, and flights.
Bringing similar deals to America would help TikTok solidify its reputation as a company that supports small businesses. That bit of positive PR has been pivotal for TikTok as the app looks to demonstrate its value and stave off federal regulatory efforts. At the start of 2025, TikTok suggested that U.S. small business owners would lose $1 billion if the app was subjected to a nationwide ban.
Subscribe for daily Tubefilter Top Stories
Beyond its benefits for businesses, TikTok’s push into local services would also introduce new partnership opportunities for creators, who would be able to dole out discounts for their favorite businesses. The move would also reduce TikTok’s reliance on its namesake app, which received significant scrutiny from global authorities.
This is not the first time TikTok has looked to introduce a new unit based around brick-and-mortar shopping. In 2023, the app began operating as a fulfillment service by selling and shipping products. A grocery delivery service that resembles Instacart started receiving attention later that year.
Can TikTok evolve into a “do everything” company that competes with U.S. retail giants like Amazon? The app’s controversial ownership could hold that plan back, but there are plenty of small businesses that would jump at the chance to dispense deals on the For You Page.
