How to maximize ROI and make GMV Max work for you

Last July, I talked about how GMV Max is changing the game on how brands run ads on TikTok Shop.

But today, we’re diving deeper into how it actually works, and most importantly, how you can make the algorithm work for you.

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GMV Max isn't simply AI-automated ad buying; it learns. The brands getting the best ROAS right now are the ones feeding TikTok’s AI with enough content variety and volume to teach it what converts best. In this edition, we’ll break down what that looks like in practice and how your affiliate strategy fits right in.

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What is GMV Max, again?

TikTok Shop’s GMV Max is an AI-driven shop ads campaign format that automatically optimizes for the highest GMV and ROI. It replaces all older manual ad types for TikTok Shop, and pulls your entire content mix (paid, organic, and affiliate videos) into one automated strategy.

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Once active, TikTok Shop’s ad AI algorithm continuously tests your videos and reallocates budget to the best performers in real time, to hit the ROI target you set. High-performing videos automatically get more budget while weak ones are down-weighted, effectively automating creative testing and optimization.

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In practice, this means the campaign “self-optimizes”, you don’t need to manually A/B test creatives or fiddle with bids. TikTok essentially takes the guesswork out of ad management, allowing teams to focus on big-picture strategy instead of daily tweaks.

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Because of this, affiliates and brands alike will see a squeeze with GMV Max, so only the best content wins. Watch my ​episode with Mike Rama​ on how TikTok squeezes profit on the platform.

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Results can be dramatic

TikTok reports that initial GMV Max campaigns drive an average 30% increase in shop sales. (See: article)

Example: One SMB case study showed a GMV Max campaign turning a $6K ad spend into $45K in sales (7.5× ROAS) simply by feeding the platform a mix of creatives and budgets. (See: case study by signalytics)

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How to make it work for your brand:

1. Feed the AI plenty of content. TikTok emphasizes that creative volume is the most critical factor for GMV Max success. The algorithm is data-hungry: it needs lots of high-quality videos to learn what resonates.
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   In practice, you should continuously supply fresh videos from your brand account, Spark Ads or affiliates, with diverse hooks and formats. You should be “flooding the feed” with variety: test multiple creative angles and work with affiliate on feedback loop, since on TikTok it’s the algorithm that decides what content sticks.
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   The more distinct videos you give TikTok to analyze, the faster it will find winning ads. Indeed, when affiliates produce hundreds of videos for your SKU, you dramatically increase the odds that it will catch fire, generating large-scale sales. ​
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2. Set realistic ROI targets and trust the algorithm. When creating a GMV Max campaign, you set a budget and an ROI goal (e.g. aiming for 3× return). TikTok’s system will then allocate spend to try to hit that goal.
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   In addition, TikTok now offers ROI protection: if your campaign achieves less than ~90% of its target ROI, the platform automatically refunds the shortfall via ad credit. For instance, if you spend $100 aiming for $300 in sales but generate only $270, TikTok credits you $30 back. This guarantees performance and reduces risk. You can “set it and forget it” to some extent. If a campaign is underspending or stalling, TikTok recommends adjusting your targets (e.g. lowering the ROI goal by ~10%) to let the system bid more aggressively.
   ​In short: choose realistic targets, launch GMV Max, and then let it run “always-on” so the AI can fully optimize before making changes.
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3. Impact on affiliates and strategy. GMV Max shifts the game for creator affiliates. It rewards quality over quantity: brands favor affiliates who consistently produce high-converting videos, not just those who post the most. Top sellers treat affiliates as creative partners, offering training, feedback loops and gamified rewards to keep them engaged. ​​
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   For instance, companies may build private communities (e.g. WhatsApp group, Discord channels) to share winning content formula, track performance and run bonus contests (I talked about this in my previous edition too). Importantly, brands will “tag” their best affiliate posts as Spark Ads: once a creator video proves it converts, it gets included in GMV Max campaigns for extra scale. In practice, affiliates must focus on strong hooks and clear calls to action.

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Should I invest in ads for BFCM — a big YES!

In the webinar, we organized with Charm.io on how to maximize sales for BFCM, Alex Nisenzon's Charm.io CEO showed us that in 2024, October and November's ROAS were more important than during the rest of the year.

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Key Takeaways:
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• All-in-one automation: GMV Max is TikTok Shop’s default ad format.
• Feed it creative volume: TikTok advises that “creative volume is the most critical factor”. Produce a steady stream of diverse videos (brand and affiliate posts) so the AI has enough data to learn which content drives sales.
• Set ROI and trust the AI: Choose realistic ROI goals and let the system optimize.
• Quality (not quantity) for affiliates: Prioritize affiliates who drive sales. Build a creator community with clear briefs and incentives, and amplify only your best-performing videos in GMV Max campaigns

Following these principles will give TikTok’s algorithm the data it needs, and unlock the best ROI from GMV Max. Successful brands feed it lots of creative diversity, set smart targets, and treat affiliates as strategic content partners. When you do that, GMV Max can automatically scale your winning ads and free your team to focus on growth.

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