TikTok has shown why it believes it’s the most valuable social media platform for brands. It’s not bragged about the over 1 billion monthly active users it claims to have, or the 142 per cent revenue increase in 2021. Instead, it has shown brands how it’s created a unique and satisfying customer experience which sees users scroll for more.
Many Australian businesses now spend more than half their advertising budget on social media to reach new audiences. But is it being spent in the right places? Despite Facebook (Meta) being the most populated social platform, engagement and user-growth has been in decline for some time. Australians now spend most of their social media time on TikTok and show no sign of stopping.
TikTok published a two-part report this year which outlined their ‘unique retail path to purchase’ and how ‘it drives action and satisfaction throughout the purchase journey’. The key claims from TikTok were:
TikTok believes the traditional marketing funnel continues to grow irrelevant. That today’s commerce experience is a combination of community, shopping and entertainment where shoppers can enter, exit and re-enter the purchase journey based on their needs and wants.
The model TikTok has developed is what they call the infinite loop:
The focus is putting the power in the hands of the user - delivering hyper-relevant content which is highly personalised based on a user’s interests. The loop is endorsed by the user community’s desire to constantly learn and discover something new. And they want it to feel good - 44 per cent of daily users want branded content to feel fun and entertaining, according to their study.
The report also revealed how brands who include TikTok as part of their online presence see enhanced customers. When consumers see brands authentically engage their customers on TikTok, they feel empowered to reward the brand with trust and loyalty.
So, how do brands get the most out of TikTok?
1. Start building a presence: develop regular content that entertains and educates potential customers. TikTok offers business accounts allowing you to create a solid business entity on the platform.
2. Integrate natively with user experiences: create content that aligns with the language and interests on TikTok. An example is making use of unique features such as stitching.
3. Partner with TikTok Creators: TikTok offers a Creator Marketplace where you can search for and collaborate with a Creator that fits best for you.
4. Don’t be afraid to utilise trends: TikTok trends have become so influential that they’ve had real-world impact. An example of this is #BookTok where some US bookstores now have a designated #BookTok section. TikTok trends can be powerful so keep an eye out for any your brand might be able to engage with.
5. Engage and collaborate with your audience: TikTok users really value brands that are seen to engage with them on a more personal level. Useful features to help this are Duets or replying to comments with a video message.
While TikTok may feel foreign, the underlying takeaway from their report is to give it a go. Unlike other social networks who are experiencing declines in engagement and growth, TikTok rewards brands that want to engage customers on their platform.
If you have a personal TikTok, you might find it interesting to see how well the app connects you with interests it believes you have.
- Go to your profile
- Click the menu icon (top right corner)
- Settings and privacy
- Privacy
- Ads personalisation
- How are your ads personalised
Here you’ll see each interest category TikTok has learned you’re interested in. Now think about what brands you’ve seen in your feed lately. How did you feel about that content? How relevant was it to you? Chances are you enjoyed the content and that’s something you could offer your customers too.