TikTok has seen meteoric growth since launching in 2017, becoming one of the most popular social media platforms in the world. As of 2022, TikTok had over 1 billion monthly active users globally. The Incredible Rise of TikTok – [TikTok Growth Visualization].
Influencer marketing has also grown exponentially in recent years. Brands partner with influencers on social media to promote products and services to their engaged follower base. TikTok’s short-form video format is well-suited for influencer marketing campaigns.
TikTok’s Rising Popularity
TikTok has seen explosive growth in monthly active users over the past few years. According to one report, TikTok had 78.7 million monthly active users in the US alone in 2021, up substantially from 19.6 million in 2020. This makes TikTok one of the fastest growing social media platforms. Globally, TikTok hit 1 billion monthly active users in September 2021, cementing its status as a leading social network.
Much of TikTok’s success comes from its ability to capture younger audiences. As of August 2020, 52% of TikTok’s global audience was between the ages of 10 and 19. The app has become a platform not just for entertainment, but for trends, challenges, and viral memes. This high level of engagement is what has fueled TikTok’s meteoric rise.
Looking ahead, analysts expect TikTok’s user growth to continue expanding rapidly. The platform’s hold over Gen Z audiences will make it an increasingly important channel for brands looking to reach this demographic. Though relatively new, TikTok has already disrupted the social media landscape and emerged as a top player.
Influencer Marketing on TikTok
There are several categories of influencers that brands can partner with on TikTok to drive awareness and sales, including:
Mega influencer — Over 1 million followers with celebrity-level reach and exclusive brand deals.
Macro influencer — 100,000-1 million followers. They are micro-celebrities with proven ability to drive traffic and engagement. Some brands will pay $5,000+ for collaborations or sponsored posts. [1]
Mid-tier influencer — 10,000 to 100,000 followers. They are established in a niche and can get big reach for affordable rates. They may cost around $100-$2,500 per video. [2]
Micro influencer — 1,000-10,000 followers. They have a hyper-targeted audience in a niche. Micro-influencer content comes across as genuine and they typically charge $100 or less.
Nano influencer — Less than 1,000 followers. They have a small but very engaged following. Brands can access authentic seeming content at low cost.
Selecting the right influencer tier for your goals and budget is key for effective TikTok marketing campaigns.
TikTok Ad Formats
TikTok offers several compelling ad formats for brands looking to connect with its large and engaged user base. Some of the key formats include:
In-Feed Video Ads
In-feed video ads (source) appear in a user’s For You feed, seamlessly mixed in with regular user content. They grab attention with movement and sound. Brands can showcase products, introduce their brand story and personality, or drive traffic to their website or app.
Brand Takeovers
Brand takeovers (source) display a brand’s ad when the app is launched. They offer high visibility and impact by being the first thing a user sees. Takeovers allow up to 5 seconds for video or images.
Hashtag Challenges
Hashtag challenges prompt users to create and share content related to a brand campaign hashtag. Brands can tap into user creativity and generate significant engagement. Hashtag challenges showcase user content on a branded landing page.
Measuring Effectiveness
There are several metrics that can help measure the effectiveness of TikTok influencer marketing campaigns, including engagements, conversions, and sales.
Engagements refer to the number of likes, comments, shares, views, and other interactions a sponsored post generates. According to Tribe Group, engagements are a key metric as they show how well an influencer’s audience is responding to branded content [1]. Higher engagement rates signal an influencer’s audience finds the content relevant.
Tracking conversions involves measuring how many people took a desired action after viewing a sponsored post, like visiting a website, signing up for a newsletter, or making a purchase. Influencity recommends using trackable links or promo codes to quantify conversions driven by influencer campaigns [2].
Sales refer to the revenue directly generated from an influencer partnership. Sales data reveals how much ROI a brand received from its influencer investment. Grin notes sales figures offer the clearest picture of campaign profitability [3].
Influencer Marketing Challenges
While TikTok influencer marketing can provide great results, there are some challenges brands should be aware of. One major issue is fake followers. According to Vox, some TikTok influencers use bot accounts or purchase fake followers to artificially inflate their numbers[1]. This makes it difficult to gauge the true reach and engagement of an influencer. Brands should thoroughly vet potential partners to ensure their followings are authentic.
Another challenge with TikTok influencer marketing is unclear metrics. As discussed on Reddit, it can be difficult to measure the concrete impact of a campaign in terms of leads, sales, or other KPIs[2]. Views and likes are vanity metrics that don’t always correlate to business results. Brands should work with influencer partners to accurately track campaign performance and optimize efforts over time.
TikTok Ad Regulations
TikTok influencer marketing campaigns must follow regulations set by the Federal Trade Commission (FTC) regarding disclosure of paid partnerships. Under FTC guidelines, influencers must clearly disclose if they have a material connection to a brand, such as receiving compensation or free products (Branded Content Policy, n.d.). This means influencers must include #ad or #sponsored in their captions on branded content posts. Failure to properly disclose sponsored content can result in legal penalties.
There are also concerns around data privacy and TikTok’s handling of user data. TikTok has faced scrutiny over whether user data is being shared with the Chinese government, as the app is owned by Chinese company ByteDance. This has led some brands to be cautious about investing in influencer marketing on the platform. TikTok claims user data is stored outside of China and not subject to Chinese law (Promoting a brand, product or service, n.d.). However, perceptions around potential data privacy issues persist.
Notable Campaign Examples
Chipotle is one of the most popular brands on TikTok, with over 2 million followers and 48 million likes. They partnered with top creators like Bella Poarch and Tabitha Brown to promote new menu items in an authentic way. These TikTok campaigns generated high engagement rates and successfully showcased Chipotle’s food to a younger demographic (https://www.modash.io/blog/tiktok-influencer-marketing-examples).
Calvin Klein ran a campaign with TikTok mega-influencer Charli D’Amelio, who created a dance challenge for CK’s #MyCalvins hashtag. The hashtag received over 11 billion views and the campaign achieved a 2.5x increase in TikTok followers for Calvin Klein (https://influencermarketinghub.com/influencer-marketing-tiktok-examples/).
Red Bull partnered with daredevil influencers like stunt biker Aaron Colton to create engaging first-person point-of-view content. These adrenaline-filled videos aligned perfectly with Red Bull’s extreme sports branding and helped them gain over 5 million TikTok followers (https://insense.pro/blog/tiktok-influencer-marketing-examples).
Best Practices
Running an effective TikTok influencer marketing campaign requires careful planning and execution. Here are some best practices to keep in mind:
Focus on micro-influencers. Large influencers can be very expensive and may not resonate as well with your target audience. Micro-influencers with 1,000 – 100,000 followers often have higher engagement rates and can deliver better ROI.
Set clear goals and KPIs. Decide what you want to achieve from the campaign, such as brand awareness, video views, or sales. Track campaign results against these goals.
Find influencers who genuinely like your brand. Don’t just look at follower count – make sure the influencer is an authentic fan and understands your brand messaging.
Give influencers creative freedom. The content will seem more natural if creators have flexibility with their posts.
Use both organic and paid partnerships. Organic partnerships build credibility gradually, while paid ones deliver results faster.
Utilize influencer promo codes. Provide influencers with custom codes or links so you can track sales driven specifically by them.
Compensate influencers appropriately. Consider paying a fixed fee plus a percentage of tracked sales to incentivize performance.
Analyze and optimize as you go. Continuously review performance data and make tweaks to improve results.
Follow FTC guidelines. Disclose paid partnerships clearly and comply with relevant regulations.
The Future of TikTok Marketing
TikTok is poised to continue its upward trajectory in the influencer marketing world. Predictions indicate the platform will keep growing, both in terms of users and revenue. Some analysts forecast the app may hit 1.5 billion monthly active users in 2023, up from over 1 billion at the end of 2021.
As the user base expands, brands will likely devote more of their marketing dollars to TikTok campaigns. Already major brands like Chipotle, Kroger, Ralph Lauren and many others have launched successful efforts there. Marketers may shift budgets away from other platforms if TikTok provides better ROI.
Strategically, influencer marketing on TikTok will evolve as brands get savvier. Long-term partnerships will become more common versus one-off sponsorships. There will be a bigger focus on content quality versus follower count. And brands will aim to blend ads with organic influencer content for maximum impact.
TikTok itself is also adding new features to strengthen its positioning as an influencer marketing platform. This includes ecommerce integrations, digital gifts, tipping and more. The future looks very bright for marketers who leverage TikTok effectively.