TikTok can be a powerful advertising tool for businesses. Since Facebook and Instagram have lost a lot of their advertising appeal in recent years, Tiktok welcomes businesses of all sizes and shapes with open arms.
Indeed, some businesses have become internet-famous by focusing exclusively on TikTok and its huge user base. But, what about you?
Do you think TikTok ads are an excellent way to reach many TikTok audiences and followers? Or maybe you think the TikTok app is just for teens and full of superficial activities and lip-syncing videos.
If you think so, we should say your perspective needs an update. TikTok is a platform that has been around since 2018 and surpassed 1 billion active users in April 2022.
With TikTok ads, you can now reach an evaluated adult (18-24-year-old) audience of 825 million people worldwide.
Moreover, Tiktok’s audience has grown rapidly and is becoming more diverse over time. Hence it’s highly likely your TikTok target audience numbers in millions.
So, it provides an excellent opportunity for businesses to grow their brands and make money on TikTok. Now, keep reading this all-inclusive TikTok ads guide to know how to use it and start advertising on TikTok.
What Is TikTok Advertising, And Why We Should Use It
You may ask, ‘does TikTok have ads or a comprehensive platform to design and share ads?’ The answer is; Definitely!
TikTok ads platform provides an amazing opportunity for users, including businesses, brands, and startups, to promote themselves on this platform.
TikTok has many terrific new features compared with Instagram or short-form YouTube videos. You can make a lot of eye-catching videos on TikTok from five to sixty seconds long and use filters and the extensive music library of TikTok songs to create a unique design.
In addition, TikTok’s algorithm utilizes AI to recommend which videos to watch based on past viewings. The algorithm makes it straightforward for users to reach new content and for businesses to go viral on TikTok.
The app is extending very fast and is now the sixth-largest social network. So now you must have been persuaded to try TikTok for business.
If you don’t, we should add that the app was second-most downloaded in 2019, with more than 1.65 billion downloads by adults and young users.
Additionally, TikTok’s most extensive demographic is Gen X and Gen Z, including 18-24-year-old and 13-17-year-old users, who open up the app more than eight times a day! So with TikTok ads, you will access 1 billion people to grow your brand awareness and loyalty.
If you use TikTok as a marketer and want to market to younger adults, particularly young ladies, advertising on TikTok is a good fit for your marketing purposes.
That’s because nearly half of TikTok users are aged 18 to 24 (approximately 43%), and women make up almost a quarter of TikTok’s advertising audience in this range of age.
TikTok Ads Formats
However, some of them may not be available in your region.
Branded Hashtag Challenge, Full Page Brand Takeover Ads, and branded effects are other TikTok’s unique ad formats that numerous brands use to share entertaining yet low-cost ads to grow their businesses.
In the following, we will describe some of the most valuable and practical formats of ads on TikTok:
#1 Full Page Brand Takeover Or TopView Ads On TikTok
This kind of ad format appears as full-screen takeover Video ads with 5 to 60 seconds lengths and pops up when users open the TikTok app. These TikTok ads can be dynamic or static (3-second JPG or a video up to 60 seconds long) and take over the user’s screen.
TopView TikTok ads have a maximum duration of 60 seconds, making them ideal for promoting longer-term products and services, such as TV or movie trailers. 71% of TikTok users say TopView TikTok ads grab their attention because of their longer run-time.
#2 In-Feed TikTok Ads
Auto-play ads are displayed in the ‘For You’ feed. In-Feed ads can be up to 60 seconds long alongside sound.
In-Feed ads deliver a native sense, producing content like other TikTok creators.
Brands can also add a CTA and link to their landing page from TikTok in-feed ads.
Additionally, users can use the music for their videos and interact by liking, sharing, or following them.
#3 Spark Ads On TikTok
Spark Ads is also an ad format that gives a native feeling. It enables brands to leverage organic TikTok posts.
This particular format allows you to publish ads, utilizing your own TikTok posts or using organic posts made by other creators – with their authorization.
Spark Ads support Auction, Reach, and Frequency Buying Types On TikTok Ads Manager.
#4 TikTok Ads Branded Hashtag Challenge
Effectively, Hashtag Challenge is an engagement ads format that lets users express their creativity. This form of TikTok ads is one of the most defining features of the TikTok video-sharing platform.
It allows users to contribute to an online movement and invite their friends to participate in the hashtag challenge.
By generating hashtags on TikTok, branded hashtag challenges are aimed to increase brand visibility and interaction.
When people click on a hashtag, it leads them to the brand’s landing page, where other handpicked films with the same hashtag are displayed.
Three-day and six-day packages are offered. According to TikTok, branded hashtag challenges have an average interaction rate of 8.5 percent.
#5 TikTok Ads Branded Effect
In this TikTok ads format, you can use branded stickers, filters, and visual effects similar to Instagram filters and Snapchat lenses to get TikTokers interacting with your brand.
Many brands have already designed effective and engaging TikTok ads that have significantly boosted their visibility on the platform.
#6 TikTok Sponsored Influencer Content
In this type of TikTok advertising, through TikTok influencers, you try to reach your TikTok target audience and deliver your marketing message.
TikTok influencers already have a following, so partnering with them on a Tiktok advertising campaign can greatly expand your reach.
Search for influencers that are either already using your product or are among your TikTok target audience.
To build buzz for your brand, you might be able to launch a new campaign with a TikTok influencer or find an influencer with existing content suitable for Spark Ads.
TikTok Ads Examples Done Right
Because the platform grew to fame from users duplicating each others’ dance moves, it delivers unique opportunities for marketers and brands to advertise on TikTok.
That way, they can engage with their audiences, which was never possible before.
We gathered some TikTok ads examples of big companies that have used different types of ads formats. They are the best TikTok ads designed ever!
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BMW Uses In-Feed TikTok Ads Format
Many brands have utilized In-Feed ads to increase brand recognition and awareness; BMW is one. BMW contributed with a famous K-pop artist called Henry for BMW eDrive, their latest hybrid car.
For this, they started the ‘e-ideal Vibe’ campaign, which turned into a big hit. This ad contained a remix of Thunder by Imagine Dragons and generated 45.99 million views and 6.29 million engagements.
Despite the fact that the Korean market was the aim of this challenge, users from 49 countries participated in this campaign.
The ads were a combination of In-Feed, and the TopView format and ran for six days alongside some users’ creativity.
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PepsiCo Australia Uses The Brand Takeover Format
Numerous companies have used the Brand Takeover ad format. PepsiCo Australia brand has used one of the best TikTok ads formats, the ‘takeover format,’ which is a good fit for big companies to boost their reach and engagement.
Pepsi Max sponsored a TikTok campaign that included In-Feed advertisements and Brand Takeover. It was their first time using the TikTok platform to advertise. And their first advertisement on the site resulted in a fantastic TikTok Brand Takeover.
The Pepsi campaign’s click-through rate (CTR) was 24% and gained 2.4 million users in just one day. This brand reached more than 10m impressions and had an overall CTR of 17% using the takeover ads format.
The video had been watched 936,000 times by users throughout the campaign.
FC Barcelona Uses Hashtag Challenge
Some of the best brands use a Hashtag Challenge as part of their campaign; FC Barcelona is one of them.
The world’s biggest football club uses Hashtag Challenge ‘#GoForItChallenge.’
This football club partnered with a Chinese mobile phone manufacturer called ‘OPPO’ for the campaign with the #GoForIt hashtag.
They released a custom music track for this campaign and urged their followers to share the most compelling points from the club’s history by using split screens.
The campaign generated 676,000 views and more than 200,000 videos presented by 70,000 users. The engagement rate of this campaign reached 12.05%, which is above TikTok’s average.
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How To Run Ads On TikTok
TikTok advertising captivates a professional audience with sight, sound, and motion.
TikTok Ads Manager divides ads into three branches:
- Ad groups
Starting a campaign is the first step. To create a campaign on the TikTok ads platform, you need to go to the TikTok ads manager and follow these steps:
- First, if you don’t have an account, create a TikTok Ads Manager account.
- Then, enter your TikTok ads manager login information needed.
- Now, You can log in to your TikTok Ads Manager and start your Campaign by clicking on the Campaign button.
Note: Tiktok ads manager is relatively new and still in development. However, it comes with everything you need to create, launch, manage, and track your TikTok advertising campaigns.
1# What You Need To Consider When Set Up A Campaign On TikTok Ads
To start a campaign on TikTok, you should consider three elements after logging in to your account using TikTok ads login information.
Choose Your Campaign Objective
To start a campaign on TikTok, you should first select your campaign objective based on your business goals.
There are three categories of objectives, including:
- Awareness (Reach)
- Consideration (Traffic, App Installs, Video Views, and Lead Generation)
- Conversion (Conversion and Catalog Sales)
Advertising objectives allow you to drive people to do what you want when they see your ads. So, choosing the proper objective is vital for the campaign.
Set Up An Attractive Campaign Name
Choose a suitable name for your campaign that would be memorable and easy to recognize by your team. The campaign name can be up to 512 characters.
Specify Your Budget
Based on your budget, you can set budget constraints for specific ad groups or the entire campaign.
You can choose to establish a No-Limit budget for your campaign or a Daily or Lifetime limit for your campaign.
Using the lowest cost bidding approach, campaign budget optimization is achievable for the App Installs and Conversions strategy.
TikTok is now beta testing a function to propose a bid for optimized CPC aims.
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#2 What You Need To Consider When Setting Up An Ad Group On TikTok
As we mentioned, campaigns, ad groups, and ads are the three aspects of TikTok Ads Manager ads. One or more ad groups can be included in a campaign.
After you’ve created a campaign, you’ll need to create an ad group.
To create an ad group, you need to define your:
- Creative Type
- Target Audience
- Budget and Schedule
- Bidding Method and Optimization
Notice that ad group names can have up to 512 characters. There is a limit of 999 ad groups created per campaign.
After defining the requirements above and creating your ad group, notice that the Start Date, Optimization Goal, Conversion Event, and Smart Optimization cannot be changed.
#3 What You Need To Consider When Creating Your Ad(S) On TikTok
Up to 20 ad(s) can be placed in each ad group. For internal usage exclusively, each ad name can be up to 512 characters long.
The first thing you should do is choose your ad format: the image, video, or Spark ad.
You can upload photos or videos or use the video template or video creation tools in Ads Manager to make a video.
For creating your images and videos, don’t forget to pay attention to social media image sizes. It’s worth noting that according to TikTok studies, using the TikTok video editor can reduce costs by up to 46% per action.
You can either use the pre-made thumbnails or upload your own. After that, add your text and a link. Next, check out the preview of your ad on the right of the screen, add any relevant tracking links, and click Submit.
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FAQs On TikTok Ads
While many users might have questions about TikTok ads, in this part, we answered a couple of frequently asked questions on ads on TikTok.
1- How Much Do TikTok Ads Cost?
TikTok ads costs are based on a bidding model. You can choose between daily and lifetime budgets for campaigns and ad groups.
The minimum budgets for the Campaign level are:
- Daily budget: $50
- Lifetime budget: $50
The minimum budgets for the Ad group level are:
- Daily budget: $20
- Lifetime budget: Estimated as daily budget multiplied by the number of days scheduled
While TikTok doesn’t speak clearly about detailed ad costs, the following information was revealed from some sources:
- Set a budget of at least $100 or 20x as your target (CPA), whichever is higher, for the App Event Optimization.
- Set a beginning budget of at least $100 or 20x as your target (CPA) for Conversions campaigns using the Lowest Price bid technique.
- Set your initial campaign-level budget to No Limit and the daily ad group budget to at least 20x your desired cost per action if you’re using a Bid Cap or Cost Cap bidding strategy (CPA).
2- What Is TikTok Ads Library?
TikTok has released a new Ad Library feature that allows users to search for the best-performing TikTok ad campaigns across various categories. To acquire ideas from their method, you can search by region.
You can further refine your results by time (last seven days or last 30 days) and performance (CTR, impressions, 6-second video view rate), allowing you to focus on the most relevant examples for your company.
You can also click on any mentioned ad examples to learn more about that particular promotion.
3- What Businesses Are a Good Fit for TikTok Advertising?
While TikTok advertising can be challenging for businesses that offer difficult-to-illustrate services, it’s ideal for B2C brands seeking to move away from static ads and share engaging content.
It means that the most important aspect of advertising on TikTok is to be creative and engaging.
4- What Are the Pros and Cons of Advertising on TikTok?
Is now the time to start TikTok ads for your business? To help you decide better, here are a few pros and cons of TikTok ads:
TikTok Ads Pros
- TikTok ads come in many different types, giving you endless possibilities to produce Tik Tok ads that look and feel like authentic and engaging posts. Thus, the platform allows you to create TikTok ads that are least ‘salesy.’
- You can instantly expand your brand’s reach with TikTok advertising.
- TikTok offers several advertising options on its platform.
TikTok Ads Cons
- One of the big disadvantages of advertising on TikTok is its rising costs. As the Tiktok platform booms in popularity, Tik Tok paid posts aren’t going to get any cheaper.
- Tiktok lacks more advanced targeting options.
- TikTok advertising is largely dominated by Gen Z and Millennial audiences
- Effective ads on TikTok require a lot of creative testing.
If you know of any other advantages or disadvantages of advertising on TikTok, please share them with us in the comments below.
Final Words On TikTok Ads
Businesses and brands that want to raise their awareness need to choose the best TikTok ads format that works best for them. They should also consider many elements to create an excellent TikTok ad campaign.
A campaign that is authentic and compatible with the brand persona and applies user participation with high energy could be successful and have great potential to get TikTok followers as fast as possible.
Using different call-to-action and eye-catching videos on TikTok That are 21 to 34 seconds are also ways to attract people.
Videos that include sound and caption and a critical message or product in the first 3 seconds are the most effective ones.
Professional marketing companies create stunning ads and custom Branded Effects on TikTok alongside using famous TikTokers to capture user attention the most.
So, companies that don’t use such opportunities would miss a vast marketing potential.
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