Name: Brands are embracing TikTok and making millions
Uploaded: 2021-10-06
Duration: 6 min 4 s
Description: Marketing on TikTok has proved to be more successful than advertising on other social platforms.

Marketing on TikTok has proved to be more successful than advertising on other social platforms.

Brands are embracing TikTok and making millions

Features

cost interviewing an influencer for Fortune magazine money son eric here. Hello, Fortune already. Hello, fortunately if you haven't heard lately, there's an app that's taken over the social media space. Tick Tocks growth has been explosive, jumping from about 55 million global users in 2018 to a billion monthly active users now and brands are cashing in on it. I'm jelly pop a Tic Tac is not the first social platform that companies have thrown ad dollars at. So what's the attraction? The first thing that we're talking to them about is the unmatched engagement that Tiktok has to offer and that's because people are spending over movies worth of time consuming content on Tiktok every single day. Tick tock has been downloaded over three billion times and when it comes down to the money, the return on ad spend is 14% better than the rest of digital media. Well what keeps users eye balls glued is the mostly positive and entertaining content on the platform, which is then amplified through tick tocks closely guarded algorithm. So where Tiktok differs with our content graft based off of our algorithm and discovering content that's interested to you when you look at other platforms, they're based on a social graph. And what that means is that sharing content that your friends and your family might be engaging with. I mean, I think that's one reason Tiktok is so unique and other social platforms, you're very focused on building a community. But on Tiktok anyone can be Ticktock famous including a brand enter Tiktok made me buy It Got Me Again a phenomenon where users see a creator user product and immediately try to purchase it. A recent example that we saw is with peter thomas Roth eye cream. A creator on our platform, she put a tick tock off just demonstrating How to use their eye cream within 24 hours. The Peter Thomas Roth Eye Cream sold out everywhere. You couldn't find it. There's over six billion views on the Tiktok made me buy a hashtag. So when you think about the purchase funnel, it's being shortened from, I'm seeing it, I'm buying it. So there's, there's the consideration portion of the funnel is being removed because they're seeing it being used in real time. One of the first large companies and the first restaurant chain to join tick to is Chipotle. And they made their debut using a hashtag challenge, which is a gamified way to get massive participation on the platform, which increases the chances for a campaign to land on the for you page. The main feed where users find content from creators they might not follow yet. It was the lip lip challenge. We created this challenge based off something that we have seen a team member do and we thought, Okay, this is something that people could get in on at home. It has over 330 million views now, which is mind blowing to think about and definitely knew Tiktok with a special place and really started to double down on our marketing efforts there, Teaming up with influencers and celebrities isn't a new type of marketing but on Tiktok the greatest success has proven to be better for every million dollars spent on influencer marketing on Tiktok Brands are seeing $7.2 million 90 days, That's 24% better than a combination of other social media platforms. The next best performer is Instagram that drives $6.6 million dollars for every million spent when Chipotle joined the platform with the lid flip challenge, they used a popular Tiktoker to help it gain steam and realized that's how you go viral. Now Chipotle and I want to select three completely then did another campaign which they used to cultivate a team of creators that are obsessed with its brand. Uh we've done a challenge for example, um called Chipotle sponsor me and you get a chance to get free Chipotle for a year. I won this card eric is one of many who have accidentally fallen into the creator economy, money sign eric here only signed eric here money sign eric. Making money by creating content on social media many times by making campaigns for brands. He got his start when this video of him went viral. Yeah. Mhm Oh I think to this date it has 9.7 million views which is so stupid and I actually hated that video helped him get hundreds of thousands of followers and that got the attraction of some brands. I got my very first ticked off brand new, it was a social media platform called You Bow and he said, hey, if you post a Tiktok for us We'll pay you $3,000. And they reached out to me for a paid opportunity and they gave me 6000 for that. And after that I was like, Oh wow, this is really, really lucrative, I can actually make a living office. And since then on Tiktok I've worked with Tasha Sh Urology and then on Youtube. I have also worked with France like Graham early hello, Fresh and margie. So what's the formula for brands to make its mark on Tiktok? I think a large part of that has to do with the pair of social relationships that a lot of viewers and the audience forms with specific creators because it really just feels like a friend recommended me, a product brands should be looking to build their own in house kick talkers and then it's a sound on environment. Tiktok er say that they now associate sounds with Tic Tac. The way I try to think about it is there is no playbook, we are vying for attention. We're not buying ad space and hoping that people are going to pay attention. So you have to be very clever in the type of content that you're creating to give it that chance to take off. Yeah, so