How has TikTok changed Digital Marketing?

March 14, 2024

TikTok started in September of 2016 as a replacement for the short clip app called musically. This app has since then reached a monthly visiting of over 1 billion people with 3 billion already having the app downloaded. Many younger people started using tiktok to post comedic sketches or dance videos, but with the number of people that it gained has made it transform into the best and newest way to do digitally marketing. This is because there is many commerce features, and brands of all sizes are able to purchase ads as well as track performance and scale revenue. One of the features that TikTok has is called a For-you page, where TikTok’s algorithm takes your preferences and history to make a feed that has been curated to you. Your feed isn’t shaped by engagement, but by new follows, hashtags, and many more factors. This is unlike many entertainment app out there because every next video you swipe to have been carefully selected for you, and this goes with advertisements as well. You will be shown ads that are targeted towards you or your interests on the app. This ultimately means that unlike Instagram or Twitter, which is making people that you follow, TikTok will prioritize someone you’ve never seen before. This is to keep people on the app for as long as possible.

Knowing that TikTok is set up so that you stay on for hours on end, then why wouldn’t businesses take advantage of this time and implement ads. TikTok is personally aiding brands on their platform to help them better advertise and what us working for other creators. They also aid in current trends, and showcase top performing ads to help inspire their creativity. This has caused many other social media apps to change to be more like TikTok.

One specific way that brands get recognition is by partnering with an influencer or influencers to have them feature or shout out your product or brand. This apparently leaves a longer-lasting customer touch-point. In 2021 alone 42% of marketers used TikTok influencers marketing. The app wants to keep you watching for as long as possible, so hiding ads in influencer videos instead of playing an actual ad before a YouTube video makes it seem like there are no ads. This makes people stay on even longer. One of the first brands to collaborate with an influencer was Dunkin with the TikToker Charli D’Amelio, where she made videos with them and featured a new menu item. Dunkin saw 55+% spike in downloads of Dunkin app as well as 20% sales boost for cold brews. This is just one example of many, and the numbers for all of marketing on TikTok is pretty mind-blowing. There is an estimate that by 2025 social commerce is going to become a $1.2 trillion global market. In 2021 advertising revenue was around $14 billion for TikTok and they are only growing. Although the app’s intentions may not be the best it is hard to deny its influence on commerce and what is has done for people. It is said that around 50% of users on the app have reported buying a product they saw on TikTok. If brands implemented a social commerce plan in their business, brands can make content that people can interact with, which gives you brand awareness.

The best thing to do as a business trying to have social commerce would be to join as soon as possible and research what other people are doing. Take the time to understand what a creator is and how you can make exciting content. This will give your brand an audience and spread the word about your through videos. All in all, TikTok has drastically changed the way we market and how we think about business.

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