Benefits and Limitations of Advertising on TikTok

In the fast-paced realm of digital marketing, staying ahead of trends is paramount, and TikTok has emerged as a cultural phenomenon and a powerful advertising platform. With its skyrocketing user base and unparalleled engagement rates, businesses are keen to harness the potential of TikTok to promote their products and services. However, like any advertising channel, TikTok comes with its own set of advantages and challenges.

In this blog post, we delve into the dynamic world of TikTok advertising, uncovering the myriad benefits that brands can reap and the limitations they must navigate. From capturing the attention of a younger demographic to the intricacies of crafting content that resonates with the platform's unique culture, we explore how TikTok can be a game-changer for your marketing strategy.

Join us on this insightful journey as we analyze the opportunities and hurdles associated with TikTok advertising, providing you with the knowledge to make informed decisions and maximise the impact of your campaigns in this ever-evolving digital landscape.

TikTok Statistics for Marketers

TikTok’s Demographics

It’s well known that TikTok is particularly popular with younger generations, not least of all Gen Z, who are currently aged between 12 and 27. And we’ve got the stats to back this up: two thirds of all TikTok users are aged 34 or under, with those aged 18-24 making up the largest demographic.

There are more female users on TikTok than male, though not by much - the gap is smaller than that of X (Twitter), for example. 53.4% of TikTok users are female, and 46.6% are male.

Certain industries perform far better than others on TikTok due to factors such as the relatively young age of its users, the short video format, and the main reason people use TikTok. Whilst Facebook is popular with those looking to connect with friends and family and LinkedIn is often used for discussion and networking, many people open TikTok to kill time and be entertained in the process.

This could be why the Entertainment category performs better on TikTok than any other, with a total of 535 billion views. This is over 350 billion more views than the second most popular category, Dance, and this drops to below 100 billion for all other categories. Despite being dwarfed by Entertainment, other popular categories include Fitness, Beauty, DIY, Cooking, Pets and Outdoors.


TikTok’s Key Marketing Features

Varying Types of TikTok Ads

Whilst TikTok’s main feature is video-based content, they still offer plenty of advertising options for brands to choose from. The most effective type of TikTok ad for your brand depends on your target market plus your advertising objective: are you selling a specific product, increasing brand awareness, or spreading the word about a free service?

  • In-Feed video ads appear on a users For You page, sprinkled amongst non-sponsored videos

  • Sponsored influencers can create content to get your message across

  • Brand Takeovers take up the entire screen when a user first opens the app, containing a link to a website or product

  • Branded Effects and AR content can be used by TikTok users in their videos, for example as a pair of virtual glasses, makeup effects, or stickers

  • Branded Hashtag challenges show up in the Discovery section of the app, and encourage users to join in and create their own videos with the hashtags, increasing reach

  • Spark Ads give brands the option to sponsor existing popular content that relates to their products

TikTok Ads Manager

The TikTok Ads Manager provides marketers with extensive and user-friendly tools to create, customise, and optimise ad content. It allows advertisers to clearly define their target audience based on demographics, location, interest, behaviours, and even the device they use to access the app. Advertisers can select where their ads will be displayed on the TikTok platform, whether in the For You feed, on the Discover page, or within TikTok's other ad formats.

Advertisers can set budgets for their campaigns and choose from various bidding options to control how they want to optimise their ad delivery. The TikTok Ads Manager then provides analytics and reporting tools, allowing advertisers to track the performance of their campaigns. This includes metrics like impressions, clicks, engagement, and conversion data.

For You Page

The TikTok For You page is what most people tend to scroll through when spending time on the app. Unlike the main feeds of other social media platforms, the For You page shows users videos outside of their following, allowing businesses to reach a wider audience. This can be an effective way of increasing your ad reach because on average, TikTok users spend around an hour on the app each day.

TikTok Creator Partnership

TikTok's Creator Partnership is a program designed by TikTok to collaborate with and support content creators on the platform. TikTok has been known to establish partnerships with popular and influential creators to enhance the platform's content diversity and engagement. Through the Creator Partnership program, TikTok often provides creators with various resources, support, and opportunities including access to advanced features, promotional support, and even financial incentives.

TikTok Shop

The TIkTok shop is a feature on the TikTok platform that allows users to discover and shop for products directly within the app, providing users with a seamless shopping experience. Brands can leverage TikTok Ads to promote their products, and users can then click on these ads to make purchases through the TikTok Shop.

Limitations of Marketing on TikTok

TikTok’s content format limitations

As TikTok is a video platform, it makes sense that it is somewhat limited in what types of content you can actually upload. If you’re hoping to create text posts, upload static images, or post blogs, you should probably look elsewhere. It’s also important to consider other format limitations within TikTok videos. You can’t just reuse a landscape advertising video from a campaign on another platform, as TikTok videos require an aspect ratio of 9:16 for the best visual experience.

Video production challenges on TikTok

TikTok users crave quality in the videos they watch, especially when they’re from brands. Production costs can quickly add up when you consider factors such as a high-quality camera, lighting, studio space, videographers, models, marketing specialists, sound equipment, and more. If your video contains poor audio quality or no audio at all or is low resolution, blurry or pixelated, it likely won’t be successful.

TikTok ads can be easy to ignore

It’s no secret that people generally try to avoid ads. YouTube, for example, shows users unskippable ads every few videos. On TikTok, you can simply scroll past them as you would any other video you’re not interested in on the app - no need to wait for a countdown. This means that you have to get creative to try and come up with ways to get users to stop and watch your video.

Expensive minimum spends on TikTok

TikTok ads start at $10 per 1000 views with a $500 minimum per campaign, and brands are currently buying TikTok’s in-feed ads for $10 per impression with a $6,000 minimum campaign spend. Whilst the cost-per-impression may be more affordable than other platforms, the minimum spends can make TikTok ads too expensive for small brands.

UNBXD is a Creative Digital Agency which specialises in social media marketing to create exciting, innovative solutions for breakthrough brands. We are experts in supporting brands to outline clear objectives, develop strong communication strategies and create unique content which truly engages their audience. Come and see what we can do for you!

Marketing, Social Media, UNBXDWilliam Nivenunbxd, Marketing, Social MediaComment