TikTok could move to the App Store to save money on commissions. According to new findings, the ByteDance-owned social video app presents some of its users with a link to a website to purchase the coins used to tip digital creators. Typically, these coins are purchased through an in-app purchase, which requires a 30% commission paid to Apple.
The feature may be hidden from most users, either by design or because it is only shown to users in a specific group, like testers or big spenders. Regardless, those who have access to the new option see a screen that encourages them to “reload” – that is, buy more coins – via tiktok.com. Although these screenshots were discovered in the iOS app by tipster TechCrunch David Teslerit is unclear how many TikTok users see them or when and how they are displayed.
Tesler says the option to buy via the web was displayed to an account that had previously purchased a large quantity of coins.
Image credits: Screenshot of the TikTok app
In some cases, users see a screen that includes a message such as “Try recharging on tiktok.com to avoid in-app service fees” followed by a “Try now” link. Other times, they may receive a pop-up saying “Try recharging on tiktok.com” with another message about potential savings. This says: “You can save service fees and access popular payment methods” and is followed by a big red “Try Now” button or a less visible option saying “Don’t show again.”
Image credits: Screenshot of the TikTok app
Users who follow the provided link are redirected to the website to purchase coins: tiktok.com/coin. From this web view, they can pay using a variety of methods, including Apple Pay or debit or credit cards. The website reminds users that purchases made directly with TikTok will save them around 25% “with lower third-party service fees.”
On the web, users can purchase coin packs ranging from 70 coins to 17,500 coins, or even enter a custom (higher) amount. However, in the app, coin packs are available starting from 20 coins up to 16,500, with no custom amount option.
Image credits: Screenshot of the TikTok app
This could suggest that TikTok only shows web links to users who typically purchase larger bundles of coins at once.
Although Apple began allowing developers of certain apps to add links to their websites from within the app as early as 2022, the use case was limited. The only apps eligible to offer these “account management” lines are what Apple calls “reader” apps – or apps that provide access to paid digital content as a primary feature. (Think: Netflix, not Facebook.) Additionally, apps that choose to use external link entitlement also can’t offer in-app purchases through the App Store. It’s an either/or situation.
Typical IAP flow. Image credits: Screenshot of the TikTok iOS app
Since TikTok also offers most of its users the ability to purchase via in-app purchases, it appears that it does not comply with the external link rights rules, even if it had been granted the exception (which would be surprising).
TikTok and Apple have not responded to requests for comment at this time. TikTok’s help documentation on Coins states that they are available for purchase and recharge through the App Store and Google Play on mobile devices.
Tester note that when Fortnite inserted an option that redirected users to Apple’s in-app purchases, Apple banned the app from the App Store. It’s unclear what action, if any, Apple will take against TikTok now, given the current politics around the Beijing-based app.
TikTok’s current fate in the United States is uncertain, as a bill to ban the app has now been signed into law by President Biden. However, the company said it plans to fight the ban in court, as it previously did under President Trump. Biden had initially paused efforts to ban the app until a new bipartisan bill passed both the House and Senate.
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