5 Reasons Why eCommerce Businesses Are Falling in Love With TikTok

Natalia Chronowiat, 
Social Account Strategist, 

The short form video app is known for its popularity with Gen-Z, boasting a vibrant community and an impressive 1 billion monthly active users.

Combined with multiple advertising features through “TikTok for Business”, this makes it a fantastic advertising platform for customer acquisition.

Here are five reasons why other businesses have fallen in love with TikTok — and why you should too.

1. A Large, Highly-Engaged, and Passionate User Base

Mans holding phone

TikTok’s billion-strong user base is highly-engaged and passionate about interacting with entertaining content. Time spent on the app is regarded as “time well spent” by users, 92% of whom engage with videos by liking, commenting or sharing. This means that advertising content is received by a sizable and interactive audience that is always hungry for more.

A TikTok marketing campaign launched by Costa Coffee to showcase their menu with non-interruptive ads resulted in 42.9 million impressions and a 159% increase in followers through the use of CTA buttons, at a cost of £1.39 CPM (cost per 1,000 views).

2. Genuine Connections With Customers

In today’s digital age, interactions can feel impersonal when both parties are behind a screen. However, TikTok’s short video format allows users to see the person behind a username, and to build more genuine connections. Brand loyalty and reputation thrive through these connections, with TikTok letting you showcase the personality of your brand in a way that feels authentic.

With TikTok Creator Marketplace (TCM), businesses can work with influencers and creators that match their values. This was the case for BiGDUG, the U.K.’s leading shelving, racking and storage specialist, who partnered with popular creator @TheP00lGuy  by sending shelves and boxes to use in his day-to-day job, which helped weave their ad seamlessly into his usual content. The authenticity was well-received, with 1.5 million people watching the video, driving 152,900 likes and a 10.19% engagement rate.

3. Exponential and Organic Growth With TikTok Advertising Campaigns

Blue mushrooms

Short videos easily grab attention and portray information, and TikTok users consume thousands of videos every day. With an intelligent content discovery process built into the app, users are continuously provided with new videos based on their previous engagement and viewing preferences. Users share the videos they like, and when these videos go viral, they often appear on other social media platforms as well, meaning that you penetrate more markets with your TikTok promos alone.

4. Unique Variety of Ad Formats

TikTok For Business provides businesses with unique ways to advertise on the app, all designed around user experience:

  • In-Feed Ads — TikTok’s standard ad format embeds videos in a user’s “For You” feed. These ads are efficient at a low cost, as seen in a campaign targeting prospective students for the University of Strathclyde, which garnered 1.47 million impressions and over 14,000 clicks, at £0.09 CPC (cost-per-click).
  • Top-View — A full-screen and attention-grabbing ad format that appears at the top of the “For You” page upon launch.*
  • Branded Hashtag Challenge — TikTok users love creative hashtag challenges, and this format allows brands to foster brand awareness.*
  • Branded Effects — The app’s video editor features stickers, filters and special effects. This format allows you to create tailor-made effects that users can have fun with.
  • Spark Ads – Grow through real connections with TikTok community by amplifying existing organic videos that fit your campaign objectives such as video view and conversion with great flexibility and efficiency.

5. Effective Community Commerce

3 girls on their phone

TikTok has digitised word-of-mouth advertising through its ‘#TikTokMadeMeBuyIt’ trend: community commerce. This encourages consumers to create their own content featuring the brands that they are currently using. This marketing process is personal to the community of creators and their followers, and is perceived as trustworthy communication. In fact, 25% of TikTok users researched or purchased a product after watching a TikTok about it.

TikTok has made it easier than ever for users to progress through the marketing funnel. Last year, it added a Shopify integration that let TikTok For Business profiles create a shop within the app. This allowed the entire purchasing process to happen within the app, from product discovery, to consideration, to conversion. It even allows users to seamlessly return to their “For You” page, creating a continuous loop of business.

 

Conclusion: Start Using TikTok For Business Today

TikTok is now the biggest platform for eCommerce marketing. Armed with a variety of ad formats on TikTok For Business, you can easily create TikTok advertising campaigns that captivate the attention of your target audience and prompt them to take action.

TikTok brings you closer to your customers than ever before and helps you to maintain their engagement. Start filming your TikTok content now, and discover how TikTok can help your business reach new heights.

 

* Top-View and Branded Hashtag Challenge are not currently available to self-serve advertisers. They have to be done in collaboration with TikTok representatives.

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