In recent years, TikTok has exploded in popularity, becoming one of the most popular social media platforms in the world. TikTok currently has over 1 billion monthly active users, with over 100 million active users just in the United States. With its short form video format, TikTok has become a place where creators can quickly gain large followings by creating entertaining and engaging content.
For top creators, TikTok has also become a major source of income. There are now multiple ways for TikTok creators to leverage their large audiences on the platform and generate revenue. This guide will outline some of the main ways creators are making money through TikTok and provide tips to maximize your earnings.
Build a Large Following
Having a large audience is crucial for earning money as a TikTok creator. The more followers you have, the more views your videos will get. This increases your eligibility for TikTok’s monetization programs and sponsorships.
Here are some tips for growing your TikTok following:
- Make high-quality, engaging videos. Good content will make people want to follow you.
- Use relevant hashtags so your videos appear in searches.
- Collaborate with other creators to cross-promote.
- Engage with your audience by responding to comments.
- Post consistently and stay active on the platform.
- Promote your account on other social media platforms.
- Run TikTok contests and giveaways to attract new followers.
- Use viral trends, sounds, effects to increase video views.
- Analyze your best performing videos and make more like them.
Growing a large, engaged TikTok following takes time and effort but is essential for monetizing your account. Consistently producing quality content optimized for discovery is key.
Leverage the TikTok Creator Fund
The TikTok Creator Fund is a program that pays TikTok creators for videos that perform well and adhere to content guidelines. The fund currently totals over $1 billion and is distributed each month among qualifying creators.
To join the Creator Fund, your account must meet these requirements:
- At least 10,000 authentic followers
- At least 10,000 video views in the last 30 days
- You must be 18 years or older
- Have no community violations in the last 30 days
- Have original content that follows TikTok’s recommended content guidelines
Payments are calculated based on the number of video views and level of engagement. TikTok does not disclose the exact payment formula. To maximize payouts, aim for high viewer retention, comments, shares, and traffic driven to your profile. Posting daily quality content is key. You can withdraw earnings monthly when your balance reaches a $10 minimum.
Generate Sponsorships
Partnering with brands as an influencer is a great way to monetize your TikTok account. Generally speaking, you need at least 10,000 followers for sponsors to take you seriously. Ten thousand followers will give you access to the TikTok Creator Marketplace where brands can discover you.
The key is finding brands that are a good match for your audience and content style. Make sure to fill out your TikTok Creator profile completely to give potential sponsors a sense of your niche and engagement levels. You can also reach out to brands directly through email or social media to pitch sponsorship opportunities.
According to sources, the average TikTok sponsorship rate is around $100-200 per 100,000 views. However, your rate will depend on factors like followers, average views, engagement levels, and brand category. Be sure to research typical influencer rates for your niche before setting your own prices.
Start on the lower end when you’re first starting out securing sponsorships, and increase your rates as your following and notoriety on the platform grows. Some brands also pay TikTokers on a fixed sponsorship fee instead of by views.
Livestreaming
One way TikTok creators can make money is through livestreaming. Fans can send virtual gifts during a livestream, and TikTok shares a portion of the proceeds with the creator. According to TikTok, the platform currently shares 50% of revenue from virtual gifts with creators.
To maximize earnings from livestreams, creators should focus on engaging their audience in real-time. Give shoutouts, answer questions in the chat, and respond to commenters to make them feel valued. Also try interactive elements like polls, challenges, and games to keep the audience entertained. Maintaining an energetic and lively broadcast style will encourage more gifting.
Selling Merchandise
One popular way for TikTok creators to monetize their audience is by creating and selling custom merchandise like t-shirts, hoodies, mugs, and phone cases. Platforms like Sellfy and Teespring allow you to easily design your own merch, set up an online store, and fulfill orders on-demand when users purchase your products. These services handle printing, shipping, and customer service – you simply promote your merch to your TikTok followers.
When getting started with merchandise, it’s best to offer just a few initial products like a signature t-shirt or hoodie featuring your brand name or popular catchphrase from your videos. This allows you to gauge demand and see which designs resonate most with your audience before investing in a full merchandise line. Once you build an engaged following who actively wears and promotes your merch, you can expand into additional products. Successful TikTok creators make anywhere from a few hundred to tens of thousands of dollars per month through merchandise sales alone.
Affiliate Marketing
Affiliate marketing on TikTok involves promoting another company’s products or services for a sales commission, using a custom link or promo code [1]. As a TikTok creator, you can participate in affiliate programs like Amazon Associates, ShareASale, CJ Affiliate, etc. When viewers click your affiliate link and make a purchase, you earn a percentage of the sale as commission. The key is to seamlessly promote relevant products within your content without being overly promotional.
For example, a cooking creator could link to kitchen gadgets used in their recipes, a fashion creator could link to clothing and accessories they feature in haul videos, and a tech creator could link to electronics they review. Be sure to disclose affiliate relationships transparently. With a sizable engaged following on TikTok, affiliate links can become a significant revenue stream.
Promoting Your Other Channels
An effective way for TikTok creators to make money is by driving traffic from TikTok to their other monetized social media channels, like YouTube or Instagram. According to this source, creators can promote their other channels in their TikTok bio and include links to those profiles in their videos’ captions. Directing viewers to a YouTube channel with lots of subscribers and watch time or an Instagram account with brand partnerships allows creators to earn ad revenue or sponsorship deals.
TikTok’s algorithm favors accounts that encourage cross-platform discovery, so promoting other channels can actually help creators gain more followers on TikTok as well. Creators should focus on driving viewers to their most monetized accounts, produce videos tailored to each platform’s audience, and incentivize checking out their other channels through contests, giveaways, and exclusive content.
Paid Brand Partnerships
One of the most lucrative ways for TikTok creators to make money is through paid brand partnerships, where brands hire you to create sponsored content. According to TikTok’s Creator Portal, brands can find and connect with creators through TikTok’s Creator Marketplace. When creating branded content, be sure to enable the “Paid Partnership” label in your content disclosure settings.
The rates you can charge for branded content partnerships vary based on your follower count and typical engagement. Micro-influencers with 5,000 to 20,000 followers can charge around $75 per sponsored video. For 100,000 to 500,000 followers you may charge $200 to $500 and those with 500,000 to 1 million followers can charge $1,000 to $3,000. Rates are even higher for creators with over 1 million followers.
Make sure to negotiate rates per post/video instead of accepting one lump sum. Also keep in mind that longer videos, videos with higher production value, or custom concepts may warrant higher rates.
Conclusion
In summary, there are several strategies TikTok creators can leverage to start making money on the platform, with the potential to turn it into a full-time business. The main methods covered in this article include joining the TikTok Creator Fund, generating sponsorships and brand partnerships, live streaming, selling merchandise, affiliate marketing, and promoting other channels.
By building a large, engaged following and consistently creating high-quality content, TikTok creators can unlock multiple income streams. Top creators are earning anywhere from $15,000 to over $100,000 per year, with some of the biggest TikTok stars making millions. With persistence and creativity, TikTok does provide the opportunity to generate a livable income and even build a media business.
