Four Reasons Businesses Should Use TikTok

TikTok shot to fame in early 2020 as a platform for Gen Z to participate in dance challenges and lip-syncing videos. Since then, the app has expanded to every kind of content and community with more than 700 million active users on a daily basis. It’s now the No. 1 downloaded app in more than 40 countries and is available in over 150 markets in more than 35 languages. The once juvenile lip-syncing and dancing platform has evolved beyond recognition and is only increasing in popularity. Here are four reasons businesses should use TikTok as a part of the marketing mix.

1. An expansive userbase with an advanced algorithm

TikTok is now home to a plethora of content and audiences, and it utilizes one of the most advanced custom algorithms in the world. While it launched to popularity amongst a young userbase, today TikTok users represent a broader demographic that continues to change and grow. For companies and brands sitting on the sidelines, it is important to take note and realize that as the app evolves the opportunity to connect with target audiences evolves as well.

Even more significant is understanding the power of TikTok’s advanced algorithm. If a business or brand content is a good fit for a user, they are highly likely to see it, thanks to the algorithm. Unlike most apps that are a popularity contest based on followers and likes, TikTok’s strongest feature is the “For You Page” where the algorithm feeds users content it thinks they will like based on what they are already interacting with. It is not focused on how many comments or likes a post has, to give it more visibility. It doesn’t matter if a user or brand has a lot of followers; the potential to be seen by a large audience through the For You Page is always possible.

2. A variety of advertising options

TikTok is a platform for users to be entertained and interact with peers, but it also hosts a variety of advertising capabilities for businesses. Different advertising options on TikTok include TopView ads, In-feed ads and Brand Takeover ads. TopView ads are ads placed at the top of a user’s feed immediately after opening the app. In-Feed Ads are full-screen, skippable ads that appear on the For You Page and are more comparable to Instagram and Snapchat story ads. Brand Takeover ads are full-screen ads that come up immediately after opening the app and are not skippable. These ads are only available for specific categories and each category advertisement is limited to only one brand per day.

In addition to traditional paid ads, there are branded effects and branded hashtag challenges. Effects are the games, stickers, filters or special effects within the app that users can incorporate in their videos and posts to connect with audiences in a unique way. Another popular option on TikTok is the branded hashtag challenge. Businesses and organizations can create unique branded hashtags to connect with different trends and challenges, to raise more awareness. An example of this approach is the L’Oreal #dreamlongchallenge that encouraged creators to show off their best dance moves. The challenge inspired 161 thousand user-generated videos.

3. In-App shopping capabilities

TikTok recently rolled out a new in-app shopping feature called TikTok Shop where users can purchase items without ever leaving the app. Much like Instagram’s Shop feature, brands can open TikTok Shops and sell their products directly to users in-app with a full checkout experience. This feature is still in the final testing stages for the U.S. market, but it’s projected to become a popular e-commerce destination soon. Currently, users can make purchases through ads on TikTok by following links opened in an in-app browser. TikTok Shops aims to make this process more seamless by allowing users to browse products and have the same checkout process every time when they purchase items found on TikTok.

4. Search engine replacement

Instead of going to Google for things like “best Italian food near me” or “how to format a resume,” TikTok users can search for information within the app instead of traditional search engines. Users like that the information found through TikTok is up-to-date and delivered in a quick video format from real people. It means no scrolling, no reading and no comparing answers. Users also like that the information found from a TikTok search is more personalized – again this is thanks to the algorithm.

The bottom line

TikTok is not a fad, and it’s not just a platform for kids to share entertaining videos. For businesses and brands looking to expand their reach and engage new customers, TikTok is a viable marketing communication tool that’s earned serious consideration. While it might seem daunting to add yet one more social media platform to an already full marketing mix, the benefits TikTok offers through its expansive userbase, combined with its authentic interface and advertising capabilities are too good to ignore.

If you are interested in learning what social media strategy will work best for your brand, the marketingworx team would love to meet and discuss. Feel free to contact us to schedule a complimentary consultation.