Consumer Spending Across TikTok And DouYin Hit New High Record in 2021

Consumer spending on TikTok and Douyin reached approximately $2.3 billion last year. According to Sensor Tower data, TikTok generated $824.4 million in Q4 2021 alone, twice as much as it hit in Q4 2020. The graph revealed a 77% YoY (Year-over-Year) growth from $1.3 billion in 2020 based on the figure above. Although its adoption has slowed a little, global consumer spending on TikTok has continued to see a significant rise.

How Popular Is TikTok?

Since the COVID-19 pandemic hit, TikTok took centre stage as it grew to become a rapid growth platform where people found time to explore interesting ways to interact with others. In Q1 2020, TikTok hit a new record as it had the most downloads in a single quarter among social apps at 315 million installs. Amazing, isn’t it??

The rapid rise ranks TikTok in 7th place in terms of social network sites since it has scored a whopping 1 billion active users globally, ahead of LinkedIn, Twitter, Pinterest, and Snapchat. The statistics also showed that TikTok users opened the app 8 times in a day and spent an average of 52 minutes per day on TikTok. Additionally, TikTok obtained the same amount of monthly active users on Instagram and Facebook within 3 years.

How Do Marketers Use TikTok?

TikTok creates new opportunities for the market as it allows marketers to maximize their creativity in developing new marketing strategies in a playful environment. As popularly seen on social media, memes begin on TikTok while brands boost their credibility by being at the forefront of cutting-edge trends.?

Unlike video advertising on billboards and television, TikTok ads are affordable and consume lesser time for video content creation. Thanks to the various filters available for users to choose from, no longer do users walk down the street to get the perfect shot for their advertising work. All you have to do is just choose a desired TikTok filter and get creative.?

With TikTok’s smart algorithm, even an account with little to no followers can instantly gain billions of views after posting new video content here. TikTok promotes a fair playing field when it comes to gaining reach and engagement. As long as the view of the video increases, the engagement will follow in tandem.?

TikTok experiences higher engagement rates from active users than other platforms, so marketers can achieve significant buzz with a well-planned campaign using content that appeals to the users.

There are four key methods that brands can use to start their TikTok journey:-

1. Create A Branded Page

Content can be produced at any time even without an allocated budget. The most common thing to do on TikTok is to catch up with the latest trend and apply it to the brand. Marketers can utilise the app’s built-in filters, effects, soundtrack, and other editing tools to create and share authentic content.?

The organic reach on TikTok is powerful, but impactful engagement is only felt if the content truly resonates with our audience and follows the platform trend. Sharing information related only to the brand will not work as the users on Tiktok are looking for entertainment content.?

2. Run TikTok Advertising

TikTok is a new and potential platform for companies to run their advertisement since the platform is less saturated. This means now is a good time to start strategising your next advertising content on TikTok because the cost for the ad will be much cheaper when obtaining clicks and leads.?

There are a few ad selections on TikTok such as in-feed adverts, banner ads, and sponsored hashtag challenges on the homepage. Similar to other platforms like Instagram and Facebook, TikTok can target people based on who they are, their interests and habits, and what they have recently been watching.

3. Bring Up A New Trend With Hashtag Challenge

Creating a new trend for TikTok users to get engaged with your content is recommended for brands to increase their brand exposure. A viral challenge can attract more than millions of users to create videos for the campaign. A great example is Garnier’s vegan hair care product campaign which saw over 250 million views and 109,000 video contributions from 48,000 TikTok users in one month.

4. Leverage Influencer Communities

Most of the viral TikTok challenges come from well-known TikTok influencers and creators. One cannot deny how powerful these influencers can be and the amount of buzz they can bring to the brand which they have represented.?

Influencers who live and breathe TikTok have established highly engaged followings by posting high-quality content that resonates with their target audience. Their sheer star power can drive great engagement via the usage of effects, tools, and trends.

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