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Thousands of Arizona businesses rely on TikTok: What happens if it's banned?

TikTok will be banned in the U.S. unless its owner, ByteDance, is sold to a company outside of China by Jan. 19
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TUCSON, Ariz. (KGUN) — Arizona’s small businesses could face major disruptions as the potential national ban of TikTok draws near.

TikTok, which has become a key marketing tool for many small businesses, allows owners to directly reach potential customers through short videos, trends, and creative content.

According to TikTok, about 120,000 businesses in Arizona use the platform to market their products and services, including Kimberly Burke, a content creator who goes by the username "With Love from Kimberly."

Kimberly Burke creates a TikTok about Lovlee Salon
Kimberly Burke creates a TikTok about Lovlee Salon

A ban on the app in the U.S. could negatively affect creators like Burke who rely on it.

“The ban was initiated based on concerns around national security, really emanating from the fact that TikTok, its parent company, is based in China,” said Jay Sampson, a senior lecturer at the University of Arizona.

Sampson added that critics worry that the Chinese government could use the app to influence U.S. users through its algorithm.

Sampson pointed out that many small businesses are heavily reliant on TikTok for marketing and sales. “Eighty percent of small-to medium-sized businesses that use TikTok to promote their products and services say they regularly sell out of products when they promote on TikTok,” Sampson said.

Impact of TikTok, according to 2024 TikTok and Oxford Economics study
Impact of TikTok, according to 2024 TikTok and Oxford Economics study

For creators like Burke, TikTok is more than just a platform for viral dancing videos.

"I support my family with my business, and so it will take away a huge portion of my income and my reach to my audience," Burke said.

Burke has been creating content on TikTok since 2020 and has since gained about 150,000 followers on the app.

"I like to do fashion, home decor, beauty, and hair, and I also like to showcase small businesses around Tucson, Scottsdale, and Phoenix," Burke said.

Her content includes collaborations with large brands as well as small boutiques and local businesses like Lovlee Salon in Tucson, where she has shared content of the salon for the last six months.

"We're able to use location tagging, and it funnels our videos into other people's feeds that have similar interests. We can market and put our content right in front of them, and we get a lot of business that way," said McKaela Van Der Lee, the salon’s founder.

Van Der Lee added that many new clients have found the business through Burke's TikToks. "We have had people coming here because of her, which makes a huge impact on a small business like ours," she said.

McKaela Van Der Lee, the founder of Lovlee Salon, does a client's hair
McKaela Van Der Lee, the founder of Lovlee Salon, does a client's hair

Though TikTok is not expected to disappear overnight, it would no longer be available for download in U.S. app stores unless ByteDance sells the app by January 19.

"If the law is enacted, TikTok will not be allowed to promote further downloads through these app stores, and they will not be able to update their app through these app stores," Sampson said.

In the meantime, businesses like Burke’s are seeking alternatives to maintain their online presence.

"I’m going to be working more on Instagram, YouTube, and Pinterest, and building my other communities and other apps," Burke said.

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Maria Staubs joined KGUN 9 as a multimedia journalist and producer in July of 2024. Her passion for writing and storytelling stems from anchoring her middle school’s news show and editing her high school’s yearbook. She holds a bachelor's degree in journalism and mass communication with a minor in film and media production, as well as a master's degree in mass communication. You can email Maria at maria.staubs@kgun9.com or reach out to her on X/Twitter or Instagram.