Why TikTok Marketing Matters for Your Bottom Line
TikTok is still young and its ad tools are unfinished, but the reach it offers for the cost is unlike anything else in 2019: the business case and the risks.
A year after merging with Musical.ly, TikTok has quietly become one of the most downloaded apps on the planet, and most marketing departments still don’t have a clear answer for what to do with it. Some of that hesitation is reasonable. TikTok’s ad platform is barely built out, its audience skews young and brand-safety tooling that advertisers take for granted on Facebook or Google largely doesn’t exist yet here. The case for paying attention anyway comes down to one structural fact: reach on TikTok is not gated by an existing following.
The math that makes this different
On Instagram or Facebook, a brand’s organic reach is capped by its follower count and by an algorithm that mostly shows posts to people already following you. TikTok’s For You feed works differently: every video is tested on a small slice of viewers regardless of the poster’s follower count, and if it holds attention, it gets pushed to more people. A brand with zero followers and no ad spend can, in principle, reach a large audience on the strength of one video. That doesn’t happen often, but the fact that it can happen at all changes the economics. You are not paying to build an audience from scratch before you can be seen; you can be seen while you build it.
What this is worth right now
Chipotle’s #ChipotleLidFlip challenge and Guess’s #InMyDenim campaign, both from the past two years, are early proof that a well-designed hashtag challenge can generate an enormous volume of user-made content for a fraction of what an equivalent reach buy would cost on a mature platform. That’s the current opportunity in a sentence: attention is cheap here because the ad market hasn’t caught up to the audience yet. It will not stay this cheap. Every platform’s early period, before formal ad products and agency playbooks mature, is when the best return on effort is available, and that window tends to close within a couple of years of an app hitting a critical mass of users.
The honest risks
TikTok’s audience is still concentrated among teenagers and young adults, so the fit is real for some brands and weak for others; a B2B software company has little business here yet. Measurement is also thin. There is no mature ads manager with the reporting depth marketers get elsewhere, so attribution to actual sales is difficult to prove to a finance team that wants a number. And because the platform rewards native, low-production content over polished commercials, a brand used to running the same video across every channel will need to make something different just for this one, which is a real cost even if the media itself is inexpensive.
What works here today
Content that looks like it was made by a person on their phone outperforms anything that looks like an ad. Brands testing hashtag challenges, behind-the-scenes clips and partnerships with creators who already have TikTok-native followings are seeing engagement levels that would be expensive to buy anywhere else. The mistake most brands make on arrival is repurposing a Facebook or Instagram ad; it gets swiped past in the first second because it visibly doesn’t belong.
The case in plain terms
TikTok in 2019 is not yet a channel you can run through a standard performance-marketing model with clean attribution and predictable CPMs. It is a channel where a modest investment of creative effort can currently buy attention that would cost far more anywhere else, aimed at an audience, younger consumers, that is hard to reach through traditional advertising. For a brand whose customers skew young, or one willing to run a small, honest experiment to find out, that combination is worth the discomfort of a platform that doesn’t yet have all its measurement figured out. The businesses figuring out native TikTok content now are the ones who will have a head start once the rest of the market catches up and the cost of attention here rises to match everywhere else.