In four years, TikTok has secured more than one billion downloads worldwide. It was also the second most downloaded application of 2019, beating both Instagram and Facebook while only losing out to WhatsApp. Marketers have started targeting TikTok ads to boost their sales because of TikTok’s massive user base. But being in so many controversies, some marketers have a question in mind-Are TikTok ads good for business? We will answer your questions in this article.
Are TikTok Ads Good for Your Business
TikTok launched a beta version of its ads offering in early 2019. Since then, big names like Nike, Fenty Beauty, Grubhub, and Apple Music have used TikTok ads campaigns to boost sales and promote products in unique and visually compelling styles. With advanced audience targeting features and unique ad creation styles, TikTok ad campaigns are unlike many of its predecessors. If used effectively, TikTok can help you promote into most lucrative pools of users. However, TikTok is in talks to be banned in the U.S., but companies like- Microsoft, Walmart, and Oracle are currently trying to buy TikTok’s U.S. operations. You can still target other democratic regions if you want to target multiple countries.
Advertising options available on TikTok
There are mainly four types of ad formats available on TikTok:
In-feed native video ads: Vertical 9-15 second video ads that pop up on the “For You” page.
Brand takeover: GIF, Image, or video ads that allow one brand to run a specific topic for the day.
Branded lenses: Promotion via 2D or 3D lenses that users can try out for themselves.
Hashtag challenge: Sponsored hashtags to encourage users to generate content, engage users, and attract influencers.
This gives you a vision of what advertising on TikTok looks like. But getting results from this platform is going to be challenging. The application may look a lot like the new Instagram, but it seems like YouTube in terms of how people use it. TikTok is not a platform for engaging with friends like Instagram and Facebook, and it is a platform where people go to be entertained. TikTok is designed for the world of content creators, influencer marketing, and seven-year-old millionaires. But companies are utilizing the features of TikTok from a different angle. By following the right strategies, you can also boost your brand’s reach.
Pro Tip: Your Instagram campaigns are not going to work on TikTok.
How Much do TikTok Ads Cost?
Brands and companies are still experimenting with the platform. So providing the average spend or return on investment (ROI) is quite tricky. But if you are a small business and want to try TikTok ad services, this can be the right time for you. You can create a free TikTok Ads account and try In-Feed ads with your budget. Currently, TikTok’s minimum ad group budget is $50, and the minimum campaign budget is $500. However, according to some websites, the cost of advertising on TikTok can range from $50,000 to $120,000, depending upon the duration and ad service type.