Heidi, Mark, Charlie and Dixie D'Amelio at D'Amelio Shoes' Shopify pop-up in New York City
Shopify
Charli D'Amelio is the second most followed creator on TikTok, with the 19-year-old former competitive dancer and her sister Dixie earning tens of millions of dollars.
But D'Amelio can't be sure how long she'll be able to provide short, viral videos to her 152 million followers. That's because a bill supporting a possible ban on TikTok, which is owned by Chinese company ByteDance, is headed to the House floor and already has the support of President Joe Biden.
Unsure which way the political winds will blow, D'Amelio is looking to consolidate her presence elsewhere. Its latest endeavor is a partnership with Shopify To bring her family's online shoe brand to brick-and-mortar stores.
“You have to remember that social media comes and goes,” D'Amelio said in an interview at Shopify's D'Amelio Footwear Pop-Up in New York on Friday. “There are new apps, there are new people, there are new and exciting trends. You don't always have to be first in line for everything.”
D'Amelio and other family members spoke to CNBC at the store's opening. Given the political and security concerns surrounding TikTok, creators are focusing on other ways they can sell their brand.
“Creating a brand… gets you out of that problem,” said Mark D'Amelio, Charlie's father and CEO of D'Amelio Brands. “It's a hamster wheel, and it will get you out of that. You'll be less dependent on the platform.”
Members of the House Committee on the Chinese Communist Party introduced a bill last week that would require ByteDance to divest TikTok or face a US ban. The committee voted 50-0 on Thursday to send the bill to the House floor. Biden said on Friday that he would sign the legislation if Congress passes it.
While TikTok CEO Shou Zi Chew has denied any ties between the app and the Chinese Communist Party, US regulators and lawmakers have expressed concerns about Chinese ownership of the company and the possibility of sharing user data 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,” Charlie D'Amelio said.
D'Amelio gained popularity on TikTok in 2019, and two years later was named the highest paid creator on the platform by Forbes. The magazine said that her and her sister's revenues amounted to $27.5 million that year.
On TikTok, users can earn money through the app's creativity program, which are reward systems targeting popular videos longer than a minute. Creators can also generate revenue from brand partnerships, affiliate sales on the TikTok Store, and followers can send “gifts” to users during a live stream.
Since the family's rise to fame, its members have appeared on the Hulu reality show “The D'Amelio Show,” which just completed its third season. The sisters have also worked with several fashion brands including Prada, Burberry and Puma.
The Shopify logo is photographed outside The Well building on Spadina Street in Toronto.
Lance McMillan | toronto star | Getty Images
In September 2022, the family launched D'Amelio Brands, with products including D'Amelio shoes and the Be Happy Snacks popcorn line. The venture raised a $6 million seed round in 2022 from notable figures such as Fanatics CEO Michael Rubin, entrepreneur Richard Rosenblatt and Eddie Cue. apples Senior Vice President of Services. Last year, it raised $5 million from the Fifth Growth Fund.
With Shopify, the D'Amelio family has partnered to bring their shoes to pop-up events in Los Angeles and New York. Shopify operates stores through the company's point-of-sale system.
Shopify said D'Amelio Brands next aims to open a permanent brick-and-mortar store, bridging the gap between the digital creator economy and the physical retail world.
Shopify has reported a five-fold increase in offline sales since 2019, indicating a notable shift in consumer behavior.
“Fans really want to come in and feel the brand and meet the creators and touch and feel the products,” Jessica Williams, director of brand partnerships at Shopify, said in an interview.
In 2023, offline sales accounted for $441 million of Shopify's $7.1 billion revenue, or just over 6% of the total. This includes revenue from payments, subscriptions and point-of-sale devices.
Watch: TikTok crackdown gains momentum
