#tiktokmademebuyit

GWI released their report on Social trends in 2022 which inspired me to take a deeper look into TikTok. My perception of the social media platform to date was that it was a place for dance challenges and make-up tutorials for teenagers, rather than a destination for brand marketing.

TikTok was established in 2016 as “the leading destination for short-form mobile video". It’s mission, “to inspire creativity and bring joy” which they have done for billions of users (3 billion to be exact and counting). Its popularity has been growing at an exponential rate, with it being the most downloaded app in both 2019 and 2020. The number of consumers monthly has grown by 32% since 2020, much of whom have come from Gen X and baby boomers who are looking for new content and inspiration to enable them to ‘live their best lives’. 

So how can brand marketers best utilise this platform? One of the most successful strategies is to collaborate with influencers. To help brands with this, TikTok has its own creator marketplace that enables brands to connect with influencers. These pre-approved influencers understand what resonates with audiences and brands can leverage their huge followings. Another popular strategy is to start a hashtag challenge. A great example of this is E.L.F Cosmetics’ #eyelipsface campaign which generated over 7 billion views and 5 million video contributions and spread to other social platforms, becoming a cultural phenomenon.

One of the reasons that TikTok is so valuable to the brand is that the content is creative, engaging but more importantly, authentic and will often offer a unique perspective. The NBA, for example, utilises TikTok to show a different side to the game’s stars, whether they are working out, dancing or revealing information about themselves, not just discussing the latest games or statistics .

Another successful campaign came from Nike Football which created the #magicboots challenge. Fans were urged to showcase a football trick using their Nike Boots. Nike engaged a popular football TikToker to lead the campaign (who had over 2M followers) with Nike Football stars. Whoever impressed the influencer the most won a pair of their own magic boots.

 TikTok advertising is also growing in popularity with its global ad revenue projected to triple from US$3.9 billion in 2021 to US$11.6 billion this year, a growth of over 200% and larger than Twitter and Snapchat combined. By 2024, it’s expected to double again to $23.6 billion which is on-par with YouTube.

So what’s next for TikTok? Social commerce appears to be the next big thing in Australia having already been established in select global markets. Not only will consumers be able to buy products from within the app but you can tag products in videos. According to Accenture, the global social commerce opportunity is expected to reach $1.2T by 2025, growing at least three times faster than traditional mediums. This growth will be driven predominantly by Millennial and Gen Z consumers, who will account for 62% of all spending. Given their high engagement on TikTok, the creative and authentic nature of content, I would expect TikTok’s share of this social commerce growth to be significant.

I’m ready to explore the world of TikTok. Are you?

Team Contributor: Michaela Scott
Get in touch: michaela.scott@arrowvane.com | LinkedIn
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