Are you considering advertising on TikTok?
You should be.
With over 500 million daily active users, TikTok is a great way to reach your target market.
In this blog, we are going to cover what you need to know about advertising on TikTok.
Since it was first introduced in September 2016, TikTok has become one of the most popular social media apps. In the last 2 years, TikTok has been downloaded over 1.5 billion times and is used by people in over 150 countries.
Every day, more and more people are joining the platform.
And this trend shows no signs of slowing down as the platform continues to grow in popularity.
With so many people using the platform, TikTok has become a powerful tool for marketing and advertising.
With TikTok’s popularity as the context, TikTok advertising has been top of mind for brands and marketers. Businesses want to know “how can we get our brand on TikTok?” and “What are the best strategies to do so?”
From what we have seen, it’s easier to advertise on TikTok than any other platform. You’re likely to see success from your ads almost immediately. TikTok provides a great way to reach a large audience quickly, easily, and inexpensively.
We still believe in other platforms like Facebook, YouTube and LinkedIn, but TikTok has a lot of untapped potential because there are so few advertisers which keeps costs low.
With the increase in costs on other platforms, now is a great time to advertise on TikTok because of the arbitrage opportunities – arbitrage being the difference between markets and in this case the markets are the auction-markets of YouTube, Google, Facebook, Instagram, LinkedIn, etc.
The influence of iOS14 has had a significant effect on many advertising platforms, but it’s really made an impact on Snapchat and Pinterest. Snapchat and Pinterest have both seen major drops since January 15th when Apple released their newest update to smartphones worldwide – AND this is another reason why TikTok should be high up on your list if you’re looking to expand your top of funnel marketing.
While Facebook is still the most powerful advertising platform invented in the history of Earth, we are seeing success on TikTok, too.
Not only can advertisers get creative on this platform – which is the secret to success – but they also see higher conversion rates, which means there is room to scale and potential for higher ROI.
For advertisers, there’s never been a better time to advertise on TikTok because there are over 700 million daily active users and only a fraction of advertisers compared to Meta and Alphabet.
BEST PRODUCTS & INDUSTRIES FOR TIKTOK
Now I want to tell you which types of products and industries that work best on TikTok.
The simple answer is – the best types of products to advertise on TikTok are “impulse purchases.”
Products priced $50 and less are more likely to get buyers taken by their emotions who will take action right there on-platform – that’s what we consider an impulse buy… someone who buys on emotion.
You can bet that if you are selling a product priced under $50 that you will have success on TikTok. It’s that simple.
THESE ARE SOME OF THE BEST PERFORMING INDUSTRIES ON TIKTOK
First, having a product priced $50 or less is the key to success on TikTok.
Here are the best performing industries on TikTok
- Fashion
- Apparel
- Beauty
- Lifestyle
- Home Accessories
- Sporting Equipment
- Events/Tickets
I get asked a lot “what if my product is targeted towards older women? Women over 50? Is TikTok the right platform for us?”
And the answer is YES!
A common misconception is that TikTok is just for teenagers. That is not-the-case anymore.
With TikTok, brands are able to reach people 40+ with ease. With easy access and wide adoption, brands are having huge success on TikTok across all demographics.
In fact, with our ads, we tend to exclude 13-17 year-olds from our targeting because the younger audiences tend to click on ads, but they don’t actually buy. We found that targeting 18+ generates better click-through rates and conversion rates.
A real quick word about ad creatives: we test different ad creatives with different groups of people. Ads for 18-24 year olds use one set of copy and creatives, while ads for 45+ use a different set of messages and creatives.
My point is this – TikTok isn’t just for one type of audience. It will be different depending on who your ideal audience is. The key to your success is more about your positioning and ad creative strategy then it is your demographics.
On TikTok, home goods, beauty, fashion, lifestyle, and fitness all work well.
The bottom line is this: TikTok is a great platform to advertise on. There are over 700M daily users and the number of advertisers is much lower than on Facebook or Google. The result of this is a lower cost per click and higher click-through rates and conversion rates.
If you’re not advertising on TikTok yet, you should be. The platform is experiencing high click-through rates and conversion rates for advertisers of all demographics.
If you’re not sure where to start or would like an audit of your TikTok ad account, reach out to us. We’d be happy to help!