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Are TikTok Ads Right for Your Business?

Some thoughts around TikTok that I gave during my class at the ECI - European Communication Institute Most of the info is based on the TikTok's leaked-pitch-deck found in an adage article. Most examples belong to the wonderful work of Julian Cole and Savannah Simms from You can find all references at the end. As you know I am dyslexic so pls don't start sending me messages about spelling mistakes and missing words. If you want a copy drop me a message here

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Are TikTok Ads Right for Your Business?

  1. 1. Are TikTok Ads Right for Your Business?
  2. 2. TikTok is the new hyped destination for short- form mobile videos—where audiences make every second count. Their mission is to capture and present the world's creativity, knowledge, and moments that matter— directly from the mobile phone. TikTok enables everyone to be a creator, and encourages users to share their passion and personal creative expression through their videos.
  3. 3. TikTok creates a video experience unique to you Powered by ByteDance’s Machine Learning technology, TikTok provides personalized video recommendation, all fed by key 1st-party behavioral cues on platform:
  4. 4. User Interface Snapshot Homepage Video Shooting Discovery Page Profile TikTok is a fast-paced app. The second you log in, you see a video at the top of a feed that's algorithmically curated around your interests. If you enjoy the video you're watching, you can follow, comment, and like the content directly from the video post. If you're not loving what you see, you can keep swiping in an upward motion to immediately see more odd videos. From my own experience, I've found that TikTok can easily cause you to spend more time than expected watching an endless stream of videos. Notification
  5. 5. TikTok Audience Global Audience End Of 2019 And, although it might feel like TikTok is huge in the U.S., the app's biggest audience actually comes from China, where the platform is called Douyin. Everyone seems to be in this app. The celebrities are there, the weirdos are there, the haters are there, the little kids are there, even the normal people are there and because everyone wants to be an influencer the app is probably going to continue to grow rapidly!
  6. 6. By February 2019, TikTok hit 1 billion downloads, beating Instagram and Facebook in app stores. (Business Insider) Most Downloaded App In The World In 2018
  7. 7. Generation Z Focused (1997-2010) The average user spends 52 minutes per day on TikTok. (BusinessOfApps) 90% of TIkTok users visit the app more than once per day. (GlobalWebIndex) Users open the app eight times per day on average. (Digiday) TikTok claims that the average session is nearly 5 minutes, which is longer than Snapchat or Instagram's. (Digiday)
  8. 8. Age Breakdown
  9. 9. Meanwhile In Greece There Are No specific Data As Now The Greek language is available for use in Greece on the Tik Tok app, which allows for ease of use, especially as an app that offers in-app purchases. In Greece, Tik Tok during Dec 2019 was ranked as the 18th most popular app being used according to web traffic. There are more that 860.6 million videos with #greece on TiktokGram, which suggests that these are done by active users in Greece and/or persons who like to post about Greece. Although Greece was not listed as a top country in terms of web traffic, from a global perspective and with the number of #greece videos, it seems that Tik Tok users from Greece also enjoy listening or watching videos/music or dub. Users seem to be interested in sports, vacations, swimming, parties, challenges and more based on their posts.
  10. 10. Ad Offerings Five Core Ad Products Hashtag Challenge In-Feed VideoBrand Takeover Branded Lenses Top View
  11. 11. BRAND TAKE OVER:What is it? A Brand Takeover ad appears upon opening TikTok and it’s the first interaction users will have (pre-stitial) It can 3-5-second long GIF, JPG or Video! Why this ad format? Can drive users to click through to an external or internal destination Category exclusivity – TikTOK allows one advertiser per day Guaranteed 5,000,000 impressions per day
  12. 12. IN FEED VIDEO: What is it? 5-15 seconds long, full-screen, auto-play, audio-on immersive video experiences Tiktok will make these ads appear as native as possible (profile pic, user name, all functions that organic content has, like, share, comments). Why this ad format? Can drive users to click through to an external or internal destination Opportunities for amplification and earned impressions via sharing functions Available in auction ad format
  13. 13. Hashtag challenge: What is it? Hashtag challenges capitalize on TikTok audience’s natural tendency to create and share content They encourage UGC by asking users to record themselves completing a specific action or following a set of directions to participate in the “challenge” Why this ad format? High potential for the baked-in virality features to increase brand awareness and engagement 35% of users participate in challenges 16% of all videos on the platform are tied to challenges
  14. 14. BRANDED LENCE: What is it? Produced by TIkTOK in-house, they can create 2D & 3D lenses, to radically transform the audience’s environment Granting brands a top spot in Tiktok ‘Trending’ tab for 10 days Why this ad format? 64% of TikTOK users have used face filters or lenses Encourages deeper engagement, with longer time spent, sampling and product discovery. Pair with a Challenge, to encourage continued use and exposure.
  15. 15. TOP VIEW: What is it? A Brand Takeover ad naturally fades into an In-Feed video ad Overall length is within 15 seconds Direct traffic to a desired destination Why this ad format? High impact video ad unit, the first thing that users see Category exclusivity – only allow one advertiser per day First-to-market opportunity – will come out on TikTok US in May
  16. 16. TikTok Targeting
  17. 17. Branded Examples/Experiences
  18. 18. Chipotle is quite new to TikTok, but has been doing very well so far. They’re consistent, which is also very important on the platform.
  19. 19. Guess has only posted 10 videos so far, but they are off to a solid start. They already have 38,000 followers. They are also one of the only fashion brands currently on the platform. A big miss by their competitors. Guess’ content is good. They did partner with TikTok to run a challenge on the platform using the #InMyDenim hashtag, with good success.
  20. 20. The NBA was one of TikTok’s early adopters. They consistently put out great content on the platform, also on trend. They’ve racked up a whopping 5.5 million fans on the app, by far the most we’ve seen from any brand
  21. 21. E.L.F. cosmetics makes luxurious beauty accessible for everyone to explore. However, as a drugstore brand, their products are sometimes cast aside by members of the online beauty community for larger indie brands like Fenty, Jeffree Star, and Anastasia Beverly Hills. #EyesLipsFace encourages users to show how transformative makeup can be for anyone, with only one video chosen to win $250 worth of E.L.F. products. It quickly became an anthem for feeling yourself, and videos using #EyesLipsFace. hashtag received over 3.7 billion views. The original audio was used 1.5M times
  22. 22. Redbull seems to also dominate thjs platform with this video that now has 1.1M likes · 5738 comments While it keep posting the same extreme sports videos we have seen before but usually with a tiktok twist. The brand now has 3.7MFollowers 52.7MLikes
  23. 23. Crocs has been doing great things on TikTok. From challenges to viral videos to ads – they’re doing it all (and that’s the way to do it!). They recently did a challenge with Post Malone called the #ThousandDollarCrocs challenge and it currently has 2.8 Billion views.
  24. 24. Fortnite just joined TikTok and came out strong. They’ve posted only 7 videos so far but already have over 1 million followers. Their launch campaign was genius – they invited TikTok users to their #EmoteRoyaleContest which challenged people to create dances that could then be turned in to official emotes on Fortnite game characters. That hashtag has been used over 250 million times
  25. 25. Choosing to bring in a group not usually associated with creativity, Microsoft Surface teamed up with professional athletes with backgrounds in design and art for the #NotSoOrdinary challenge. Videos using the hashtag received a combined total of 515.5M views
  26. 26. So Are TikTok Ads Right for Your Business? TikTok presents an enormous opportunity to advertisers. Not only has TikTok surpassed Twitter and Snapchat in popularity but it’s also less saturated with ads than its older counterparts. The visual app—which allows users to edit and share 15- second videos with built-in filters, effects, and music—has truly shaken up the marketing world with its unprecedented virality. However, not every business is positioned to benefit from TikTok’s unique offering . Before investing your time and efforts into TikTok advertising, here are 3 questions you need to ask yourself to determine if this ad platform is right for your business.
  27. 27. 1. What Is the Target Demographic for Your Business? If young people is the primary audiences for your business, TikTok ads could be a worthwhile investment for you! Its virality as now is truly phenomenal . So in the case you are a brand such as the ones that have sweatshops around the world, pushing caffeine, energy or sugar, a fast food joint or some big tobacco company promising a smokeless future to young audiences TikTok should be your new playground!
  28. 28. 2. Are you positioned as an ethical brand??? Then you should stay away! On the surface, the world's fastest growing social media platform shows short clips of lip-syncing to songs or showing off dance moves but there’s a far more sinister side. TikToK has become a magnet for paedophiles as well as a hotbed for violent and extremist content. The app has already been blamed for many deaths around the world. To me TikTok seems to be like a new improved version of chatroulette! Most content there is horrible and highly sexualized! Do we really want 13 year old girls regularly immersing themselves in an environment where being sexy is valued above everything else? Where boys are encouraged to think being macho around girls is the best way to capture their attention?Where being cruel to animals or other people is just treated as hilarious, everyday behaviour? I don’t think so. So if you are an ethical brand ask your self whether you want your content to appear among this horrible mess and maybe force with your future investments the app to clean up its act and change for the better!
  29. 29. 3. Do You Have the Budget to Advertise on TikTok? While larger businesses like Nike, Disney, and Grubhub have swiftly taken to advertising on TikTok to drive huge impressions, TikTok ads might be less affordable for smaller businesses, ads on the platform are new and rare, they come at premium costs that start at an average of $10 per CPM and can go up to $300,000 total budget for larger campaigns. Moreover, TikTok campaigns require a minimum investment of $500 so they might not be a great fit for your business if you’re looking for more affordable and predictable advertising and wait a bit more to see how Facebook will react. It might buy the app or copy its features as we all have seen before with some popular apps
  30. 30. Further Reading
  31. 31. Always Stay Curious