Charli D’Amelio is TikTok’s second-most popular creator, and the 19-year-old former competitive dancer and her sister Dixie have earned tens of millions of dollars.
However, D’Amelio is unsure how long she will be able to share small viral films with her 152 million fans. That’s because a bill supporting a potential ban on TikTok, which is owned by China’s ByteDance, is coming to the House floor and has already received backing from President Joe Biden.
Unsure of which way the political winds may blow, D’Amelio is eager to expand her influence overseas. Her latest attempt is a partnership with Shopify to expand her family’s online shoe firm into physical storefronts.
“You have to remember that social media comes and goes,” D’Amelio remarked during an interview at Shopify’s D’Amelio Footwear Pop-Up in New York on Friday. “There are new apps, new users, and intriguing new trends. “You do not always get to be first in line for everything.”
D’Amelio and other family members spoke with CNBC during the store’s opening. Given the political and national security worries surrounding TikTok, creators are focused on alternative ways to monetize their brand.
Marc D’Amelio, Charli’s father and CEO of D’Amelio Brands, believes that starting a brand helps you break out of your comfort zone. “It’s a hamster wheel, and it takes you out of it. And you are less reliant on the platform.
Members of the House Select Committee on the Chinese Communist Party filed a bill last week requiring ByteDance to sell TikTok or face a US ban. On Thursday, the committee voted 50-0 to advance the bill to the House floor. Biden stated on Friday that he will sign legislation if Congress adopts it.
While TikTok CEO Shou Zi Chew has denied that the app has any ties to the CCP, US regulators and lawmakers have expressed concerns about the company’s Chinese ownership and the prospect that user data could be provided with the government upon request.
“There’s definitely a little bit of fear when it comes to social media, just because you never know what’s coming next,” she added.
D’Amelio became successful on TikTok in 2019, and Forbes dubbed him the platform’s highest-paid creator two years later. The magazine reported that she and her sister made a total of $27.5 million that year.
TikTok users can earn money through the app’s Creativity Program, a rewards system for popular films that last more than a minute. Creators may also make money through brand collaborations and affiliate sales on TikTok Shop, and followers can send users “gifts” during livestreams.
Since the family’s ascent to prominence, its members have been on the Hulu reality show “The D’Amelio Show,” which recently finished its third season. The sisters have also collaborated with other fashion firms, including Prada, Burberry, and Puma.
In September 2022, the family created D’Amelio Brands, which includes D’Amelio Footwear and the popcorn label Be Happy Snacks. In 2022, the firm secured a $6 million seed round from notable investors including Fanatics CEO Michael Rubin, entrepreneur Richard Rosenblatt, and Apple’s Senior Vice President of Services, Eddy Cue. Last year, it raised $5 million from the Fifth Growth Fund.
Shopify helped the D’Amelio family bring its shoes to pop-up events in Los Angeles and New York. Shopify powers the stores with its point-of-sale system.
Shopify stated that D’Amelio Brands’ next goal is to create a permanent brick-and-mortar store, bridging the gap between the digital creator economy and the actual retail world.
Shopify has recorded a fivefold growth in offline sales since 2019, showing a significant shift in consumer behavior.
“Fans really want to come and feel the brand, meet the creators, and touch and feel the products,” says Jessica Williams, Shopify’s Director of Brand Partnerships, in an interview.
In 2023, offline sales accounted for $441 million of Shopify’s $7.1 billion revenue, or slightly more than 6% of the whole. This includes revenue from payments, subscriptions, and POS hardware.
