Advertising on Tiktok: How it works and is it worth it?

posted bydopweb02/12/2020

TikTok has taken the world by storm, quickly increasing in popularity around the globe. This video-dominated social media platform has become a part of online culture, giving creators an outlet to make short, creative videos.

As the number of TikTok users continues to grow, marketers are given the opportunity to tap into a new market and to create a new wave of advertisements that appeal to the platform’s users.

In this article, we will be discussing:

An Overview of TikTok

If you are not a part of Gen-Z, you might still be wondering, “What is TikTok?” and “Why is it so important?”

TikTok is an app available on iOS and Android that allows users to create short videos with original or pre-recorded audio. With endless amounts of creative freedom, TikTok users can create videos anywhere from comedic to informative.

Unlike other social media platforms, TikTok is more about creating content than social interaction, giving the platform a unique angle.

Additionally, TikTok allows users to fully produce content through the app. Unlike other platforms that require users to edit their videos on external software, TikTok provides all the tools users would need to create their videos.

According to DataReportal , TikTok has 800 million users around the world! This places TikTok in a central, very lucrative position for advertising.

TikTok Demographics

What makes TikTok especially unique is its demographic makeup, consisting of 41% of users between the ages of 16 and 24 .

This presents the perfect opportunity for advertisers with this target market.

Rather than advertising on a platform with a much diverse user base, like Facebook and Instagram, marketers can directly engage with Gen-Z through TikTok.

However, as TikTok continues to rise in popularity, it’s user base is growing to include older users. Yet, the majority of users are still under 30.

While younger users continue to make up a large portion of the TikTok audience, statistics show that the number of adult users is steadily increasing.

This presents even more opportunities for advertisers as this social media platform comes into direct competition with giants such as Instagram and Facebook.

In general, if your target audience is under 30, TikTok could be a great advertising option for your brand.

How Advertising on TikTok Works

Now we are going to explain the steps necessary to get your TikTok advertising campaign up and running.

First, you need to create a TikTok Ads account, which can take up to 48 hours to be approved.

Next, you can create your advertising campaign by clicking the “Campaign” tab, where you will also choose your “advertising objective,” which can range from app installs to conversions.

At this point, you will also set your budget, which has to start at $500.

After this, you will choose where your advertisement is placed, which includes all other platforms owned by TikTok, like BuzzVideo. You can also choose to have TikTok place your ads for you based on their analytic measurements for where your ad is most likely to be successful.

At this stage, you can also choose a cover image and keyword to help match your advertisement to the best-suited audience.

Additionally, like other social media ads managers, TikTok allows you to define the demographics of your target audience, one of the most important steps when running a social media campaign.

Next, you will choose a schedule for your campaign. This includes what time of day and day of the week the ads will be displayed, the budget for the duration of the campaign, and how this budget should be paced.

Now that your campaign has been set up, it is time to create your advertisements! This can easily be done through TikTok’s “Video Creation Kit,” which also offers a variety of ad types, such as brand takeovers, in-feed ads, and hashtag challenges.

Providing its own Ads Manager, TikTok for Business provides analytics to track your campaign’s success.

Is Advertising on TikTok Worth it?

TikTok provides an incredible advertising opportunity and has many effective and highly intuitive built-in features.

For example, the TikTok ads manager offers an “Automated Creative Optimization Tool,” which combines your marketing assets to create a campaign that yields the best results by testing different combinations of assets.

However, advertising on TikTok is not as accessible for brands with smaller budgets as Instagram and Facebook advertising.

On average, a TikTok advertisement costs $10 per CPM (costs-per-impression), which is slightly higher than Facebook and Instagram.

Additionally, TikTok campaigns require all advertising budgets to start at $500. Therefore, if your business cannot make this investment up-front, then TikTok may not be the right platform for your campaign.

However, if you are running an advertising campaign on a budget, you can choose to make your TikTok content for free!

So, instead of buying advertising, you can hop on the TikTok trend and create entertaining videos that have the possibility of going viral, as many TikTok videos do.

Advertising on Tik Tok: Conclusion

Advertising on TikTok has many benefits, allowing advertisers to create targeted, highly-engaging advertising campaigns with clear goals.

With TikTok’s increasing popularity, you can reach your desired audience through strategic stratification and placement through the app’s interface.

By engaging with the growing market on TikTok, you can increase your brand’s online visibility and work towards your business goals, whether they are to drive traffic to your website or increase conversions.

If you are looking to dip your toe into TikTok advertising, get a free consultation with the advertising experts at dopweb today!

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