TikTok Advertising

The mobile app that took the world by storm in 2020.

However, it also blew up in 2019, with over 1.5 billion downloadscoming from the various app stores. TikTok has completely overtakenthe likes of Facebook and Snapchat with the huge amount of users that the app possesses.

The Chinese social media app was initially named Musical.ly in 2017 and was then bought for $1 Billionby a company called ByteDance.

And that is how we now have TikTok in our lives.

What Is TikTok?

For the very few people that do not know what TikTok is, it’s simply a social media app that lets users create 15 second-1 minute videos.

Millions of people worldwide have been using this app for its viral trends, creative &quirky dances and funny skits.

Not only are many famous people using the app, but TikTok itself is actually creating celebritiesand boosting fanbases. This is clearly shown with the likes of Addison Rae, Charli D’Amelio, RiyazAfreen, and so many more.

how many people using tiktok

TikTok Advertising

So, now that we know TikTok is exceptionally successful (to the point where it is improbable that another app will ever have similar kinds of results) let’s delve into how the app operates as an advertising platform.

TikTok ads operate very similarly to Facebook ads and various other ad platforms that are out there.

The platform contains a structure that consists of campaigns, ad groupsand individual ads. If you have never used any other ad platform, you can see more information about the structure here.


TikTok, much like Facebook, allows you to targetaudiences based on specificdemographics and interests such as age, location, gender and more. This provides an opportunityfor advertisers to find the perfect audience for their business.

What Are The Different TikTok Ad Formats?

TikTok ads come with many different types and methods of advertising within the social platform. But what are they?

The various TikTok ad formats include:

  • In-feed videos
  • Brand takeover
  • Hashtag challenges
  • Branded lens

1. In-feed Videos

This ad format is the general type of ad that you would expect to be on a platform such as TikTok. While users are scrolling through videos, your video ad will appear with a button based on the conversion you set it to.

2. Brand Takeover

Branded takeovers are screens that pop up right as users open the app. It will have relevant promotional text and images in order for you to catch the users’ attention before they close the ad and watch their videos.

3. Hashtag Challenges

TikTok is very well known for its viral trends and hashtags that have millions of people participating in dancing or creating skits within the platform. With hashtag challenge ads, you are paying for a custom hashtag and trend for your business. When using this ad format, your hashtag will appear on the discover page to gain exposure.

4. Branded Lens

Including face filters, video effects, animations, and so much more; branded lens advertising on TikTok is an excellent way of getting audiences involved and getting your brand out there to the public.


What Is The Best Ad Format To Use?

Now that you know about the different types of advertisement available within TikTok, the next step is to find out which format would be most profitable for your business. However, this is easier said than done.

In a general sense, it is hard to tell which ad format would do well for different kinds of businesses selling different types of products.

However, if you feel like your target audience is on TikTok (we will go over this further on in the blog), then we have a piece of advice when choosing ad format. Firstly, when starting with TikTok ads, we would recommend starting with the basic in-feed video ads.

We recommend this as it is the most common form of ad that is found within TikTok and other ad platforms such as Facebook ads etc. Therefore, you can be assured that your ads will be running in a way and method that is known to convert.

But, that doesn’t mean it will be the best ad format for your business. Simply, it would just be the best place to start if you are on a tight budget and you are limited to testing different formats.

The Benefits Of TikTok Ads

As the new giant of social media apps, many benefits can come from using TikTok ads, if you use it properly.

1. New Platform, No Saturation

As TikTok is pretty much a brand new social platform, the competition is not using it as much as other ad platforms. Why could this be? Well, it could be down to several things really.

They may not know how to use the platform and do not want to pay an agency to run ads for them. Additionally, they may not have enough evidence that the ads will be profitable for them due to the app’s uniqueness and young age.

If you think TikTok ads would be a profitable asset for your business, then there is no better time to test it and run ads than in 2020. If the app’s success carries on, which is highly likely, then more and more businesses will get on it, therefore eventually making it saturated.

2. A HUGE AudienceAt Your Business’ Disposal…

As you may now know, TikTok’s audience in numbers is simply astonishing. With over 800 million users, there is currently no other social platform in 2020 that can truly compete. Now, if your business’ target audience consists of teenagers and young adults, then TikTok will be gold dust. This is because 41% of all users on the app are aged between16-24; this means that there are approximately 410 million people in this age range.

3. Increase Brand Awareness As Well As Sales

TikTok is fantastic for boosting brand awareness. Whether you choose to take the route of branded lens, brand takeover or in-feed video; all ad formats on TikTok act as a great companion for your business’ exposure to the public.

Creating a strongbrand is essential, and if you can get it in front of the right audience in the right way, your business will only see the benefits.

The Disadvantages Of TikTok Ads

Although TikTok is massively successful and has a pretty good chance it could also be successful for your business, there are still some disadvantages that come with the platform.

1. Businesses Targeting Customers Over 30 Years Old, Look Away Now!

As previously mentioned, 41% of TikTok users are aged between 16-24, meaning any money spent on ads for a business that targets an older demographic; would simply just be throwing money down the drain. Although there is still a fair share of people over the age of 30 using the app, the cost of TikTok ads mixed with this small percentage of people just simply would not be profitable.

2. TikTok Ads Are Expensive

TikTok’s ad platform is new, and therefore, they can get away with charging extortionate prices. After all, they are the leading social app with almost 1 billion users. Prices for advertisements vary depending on the ad formatthat your business wants to use.

If you are a start-up business wanting to advertise using the brand takeover ad format, you should definitely rethink your advertisement strategy. This is because due to the minimum of 5 million impressions guaranteed a day, TikTok charges its advertisers around $50,000 per day. Yes, you read that right, fifty thousand per day.

However, if you choose to go with the In-feed video ad format, your campaign will only need to have a minimum spend of $500. In-feed videos average around $10 per 1000 impressions.

3. It Can Be Hard To Create Unique & Engaging Ads

In 2020, with the internet being everywhere we go; it can be tough for businesses to find new ways to be original.Mix that with an app that has around a billion users, and suddenly, it’s actually really hard to be unique.

Anyone without a creative mind-set who wants to advertise on TikTok, unfortunately, will most likely fail. Due to the enormous audience on the app constantly finding new trends, businesses will have to do something that truly stands out in order to get people’s attention.

4. Is TikTok Advertising Worth It?

After putting all of the information from this guide together, would TikTok ads be worth it for your business, and would it bring a good amount of profit with it?

The answer is, it depends.

It entirely depends on what your business sells, the audience your business targets, how effective and unique your ads are, and so much more. If you are a start-up business with not much budget, we would recommend going with another ad platform.

However, if you are a business that targets 16-24-year-olds and you have plenty of budget to spare, then TikTok ads may just be worth your time…


TikTok’s fame and success is impressive, to say the least.

With over 1.5 billion downloads worldwide, there has never been another app that has had similar levels of success.

The young age of the app provides for anunsaturated market and competition; however, people wanting successful ads will still need to find new ways to be unique and engaging.

TikTok ads are undoubtedly expensive, but it deserves to be.

With an estimated one billion active users, the app has an audience at its disposal that other social platforms could only dream of having.  This puts the owners of TikTok (ByteDance) in an excellent financial situation, as they have something that every successful business needs.

It is highly unlikelyTikTok ads will remain this expensive forever. If the number of users drops, so will the cost of advertisements.

Only time will tell if TikTok will continue to be as successful as it is.

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