If you aren’t showcasing your business on TikTok, you are not maximising your digital marketing potential.

At the beginning of 2018, TikTok had 70 Million users; by August 2021, that number had exploded to over 1 Billion active users. How did this happen, and why is it becoming a dominant Social Media Platform? Let us break it down simply for you.

The History of TikTok

You might not know it, but TikTok isn’t new; in fact, the app’s origins go back to 2016 when parent company ByteDance created an App called Douyin to compete with Musical.ly. In 2017, ByteDance brought the rival app and merged its 200,000,000 users with its own app to create TikTok.

Rapid Growth

In 2020 ByteDance was estimated to be worth $140 billion, with TikTok alone estimated to be worth about $50 billion. That would make it the most valuable startup in the world.

TikTok’s popularity has exploded, while Facebook and Instagram begin to see their user bases not only slow, but in some countries in the West they are losing users faster than signing up new ones. The reason for Facebook’s (Parent company Meta) slowing growth across their apps is a complex one. Like the smartphone, we are seeing the market mature, and users have become tired of the same platform after many years of use. We have also seen Instagram and Facebook become bloated with too many features many users find useless, and of course, the continuing controversies and worrying statistics coming from these platforms. We won’t go into those today, but you can read more about it in our previous blog.

So, why is TikTok growing so fast?

Once again, there are many reasons for this growth, but it all starts with Gen Z. As they are aging up, they are becoming the trendsetters and taking market power away from Millennials. Traditional social platforms ask a lot of their users. They want them to share their lives and post intimate details to increase engagement, keeping people invested in the platform. 

TikTok doesn’t require this. You can easily be a passive user who enjoys TikToks unbeatable algorithm that intelligently and quickly learns what type of videos and comedy you like, or you can contribute in any way through stories, dancing, comedy, or just participating in trends. The platform isn’t reliant on you sharing personal information. In fact, this kind of ‘privacy’ has spilled over into Snapchat. In 2019 you wouldn’t be wrong in thinking Snapchat’s best years were behind it, but in 2021 user growth is once again increasing as people reject mass sharing for more individual connections and conversations with close friends and family.

This doesn’t stop with GenZ, as they are quickly taking over trends; millennials and even boomers are begging to flock to the app in large numbers and move their digital time away from Facebook and Instagram.

Is Meta’s dominance over?

Absolutely not. While TikTok has taken many users away from Facebook & Instagram over the last five years, we don’t have meaningful data to support the ‘end’ of a platform. However, we have leaked internal documents that show Instagram, in particular, is heading in the wrong direction. 

According to Meta’s own leaked internal documents, they estimate that Teen acquisition for Facebook is down 26%, and teens already on Facebook are using the platform less each month. This also translates to Teens sending 16% fewer messages through Messenger, and users aged 20 - 30 seeing no growth year over year.

This doesn't stop with Facebook; Instagram, which was once Meta's key driver of youth culture, also sees teens' posts drop 13% as users migrate to TikTok.

The Social Landscape is Changing

This kind of disruption isn't new. If you are in your early 30’s, it's likely you have already seen social networks rise and fall; the question is, what should your brand do?

Right now, we are at a crossroads. Facebook and Instagram’s hold on the market is still strong, but without a significant shift in their business, it is clear that other platforms will continue to grow and take dominance. If you haven't got a brand TikTok yet, don't worry, it's not too late. Many brands are just beginning to migrate to the platform, so sign up today, and don't forget; it's arguably the most creative platform available, so don't be scared to branch out and do something a little different!

You can learn more about how to use and understand Tiktok's Content barriers, Advertising policies, the Youth Culture movement and more by reading this blog from our Digital Marketing Manager Anna.

If you own a brand and aren’t sure how to create a digital marketing plan to grow your business, get in touch with a member of the team today.

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