TikTok—is it worth the investment for a brand?

Advertising opportunities for brands

The app developers have created dedicated paid advertising tools for brands that want to reach their target audience more effectively. While these tools are not yet available in all markets, soon, brands will be able to choose from the following:

• TopView—a video advertisement for a brand that appears as soon as the user opens the app;
• In-feed native videos—a branded video that appears when the user is browsing TikTok;
• Spark Ads—additional promotion of an already published video (your own, a third-party video, or one that mentions your brand);
• Promote—a tool to increase the organic spread of your content, which can help you generate more video views, website visits, or attract new followers;
• Branded filters—a special filter created by your brand – like those offered by Instagram or Snapchat platforms. Users can apply the filter to their own individual videos, thus creating organic content for the brand;
• Branded hashtag challenges—a campaign that encourages users to create brand-related content and tag it with a specially created hashtag.

However, TikTok promotional integrations do not have to be based on the platform’s own promotional tools. Content creators who are well-versed in the platform’s trends can also be used for this. Influencer advertising allows brands to be closer to consumers and less “promotional” than traditional advertising channels, and the right content creators can not only create high-quality and authentic advertising for your products or services but also reach new audiences of potential buyers.

Trends in Lithuanian TikTok

Although we are not yet able to test TikTok’s own advertising tools in Lithuania, some brands have already successfully exploited the potential of this social network to work with influencers.

Sportland brand has developed consistent communication on TikTok. Working with comedians and the younger generation, Sportland publishes content on its official account that reflects a variety of familiar life situations while organically integrating the retailer’s product range.

The mobile network Pildyk also uses influencers quite extensively on TikTok. On the brand’s account, content creators not only publish entertaining content but also participate in various challenges and viral trends.

The advertising integrations of influencers in TikTok have already been tested several times by brands such as Lidl Lietuva, Pieno žvaigždės, Taffel, and the virtual school Digiklasė. It is clear that TikTok can be a suitable channel not only for advertising clothing or cosmetics but also for brands in other categories.

What should you know before joining TikTok?

TikTok has already secured a strong position among other social networks, so it’s more than worth trying out the world’s most popular app for your business communications.

But it’s important to know the basic rule—consumers set the trends here. The TikTok platform is a great place for brands to use user-generated content to start talking about themselves, but it can be tricky to create trends yourself because it’s not the brands that decide what content is worthy of going viral but the users. So it’s up to brands to actively monitor the platform, look for the latest trends, find the best way to adapt them, and jump on the train in time.

We share our insights on what pros and cons a brand should weigh before planning its communication steps with influencers on TikTok.

Pros:

• Low cost. TikTok is still a relatively new social network, so influencers are still building their audience and trying to understand the rules of the emerging market. It is likely that TikTok advertising will be available to a brand at a lower price than influencer advertising on Instagram. Also, TikTok offers many free tools to create creative content, so the brand and the influencer do not have to spend extra costs on content design and editing.
• Using content on other channels. You can use the content you create on TikTok on other media, such as Instagram Reels or Instagram Stories. This will increase your chances of reaching a wider audience. However, before you plan to publicize TikTok content on other platforms, you should discuss with the influencer the soundtracks used to create the content. For example, a free Dua Lipa song on TikTok may be removed on Instagram along with your entire video for copyright infringement.
• Access to a large audience. This platform is different from other social networks because the reach of created content does not directly correlate with the number of followers the creator has. The TikTok algorithm first displays a post to a small group of users, and then, if they react positively to the content, the post continues to be displayed to a wider audience. Otherwise, if the video does not attract users’ attention, the content will reach a relatively small group of people. So if you have a good idea and a creative solution to realize it, this kind of promotional integration can go viral.
• Easy to reach young people. It’s no secret that the majority of TikTok’s audience is under 18, so if the product or service you have created is aimed at the younger generation, TikTok is the main social network used by your customers.

Cons:

• Preliminary results are difficult to assess. When we plan Instagram campaigns, we always calculate for our clients the preliminary results we will achieve by working with influencers. Although TikTok allows you to see metrics such as the number of views and users reached, the geography of the audience by country, and the average viewing of the post, you will not be able to calculate the results of a campaign that is still in the planning stages. This is due to the same TikTok algorithm that shows each new post to a different audience, and only users decide the fate of the content created.
• Limited text. The number of characters in a video description is extremely limited—just 150 characters, including hashtags. So the main message of your ad, or the call to action, needs to be short and to the point. It is also worth noting that TikTok does not allow you to share active links in the video content, which makes it extremely difficult to drive your target audience to your website.
• Young audience. For some, this is an advantage, and for some, a disadvantage. According to August 2022 Wallaroo statistics, 60% of TikTok users belong to Generation Z. The youngest members of this generation are currently 10 years old, so you’ll have to wait for these users to gain purchasing power.
• Chances of not reaching the desired market. TikTok’s unique algorithm works based on users’ location, so if you are in Lithuania, you are likely to see Lithuanian content in your stream. However, the same algorithm may not only show the video created to Lithuanians. If the Lithuanian audience is slow to react to the content but foreigners like the video for some reason, there is a good chance that the content will become popular in a non-local market.

If you have assessed the pros and cons and decided to implement an influencer campaign for TikTok, please contact us at hello@influenceriai.lt.