TikTok is the trending app of the moment, which of course, also now has many brands looking into the opportunities for TikTok for advertising, and how they can tap into the power and influence of TikTok to maximize their promotions.
To help with this, TikTok recently commissioned a new set of measurement studies with third-party partners, across various verticals, for a new series that it’s calling ‘TikTok Works’, which will provide key insights and guidance notes for marketers and advertisers looking to make best use of the app.
And today, TikTok has published the first set of results from its TikTok Works initiative, with data on CPG performance, the increasing role that TikTok’s playing in discovery, and how TikTok can help boost overall brand awareness.
First off, on consumer packaged goods (CPG) – TikTok says that analysis from Nielsen has shown that TikTok drives strong return on ad spend and sales efficiency for CPG brands.
As per TikTok:
“According to the studies, the US saw a 96% higher paid media ROAS versus all digital media measured in the models, and almost three times the offline sales efficiency. Other regions such as the Middle East, Europe and Southeast Asia also saw similar increases.”
TikTok also conducted a further study with NCS and found that in the beauty, personal care, and food and beverage categories, TikTok ads generated the same amount of incremental dollars per 1,000 impressions as TV ads, despite lower impressions.
It makes sense that TikTok would be good for CPG brands, given the immediacy and impact of the format. But the data here adds further weight to this aspect, which could factor into your planning.
TikTok also commissioned research group Fairing to look into the increasing role that it’s playing in product discovery.
Which is another important aspect – even Google itself recently acknowledged that TikTok is now the preferred search platform for many young users in many categories.
“After making an online purchase, consumers were asked to identify the channel where they first heard about a product they bought online, and nearly 15% of product discoveries began on TikTok. Just a year ago, that number was 4%.”
TikTok further notes that, according to KnoCommerce, 81% of all attribution surveys conducted in May 2021 included TikTok as an option.
This is a major element to consider for marketers, that evolving shifts in habitual social platform usage are also impacting search and discovery, which could have a significant impact in how people are finding, or not finding, your brand.
Finally, TikTok worked with Kantar to analyze how TikTok ads compare to TV campaigns in driving brand and product awareness.
“According to the Kantar Link AI analysis, more than 3,500 measured TikTok ads outperformed their own digital and TV norms by 15–20% on multiple metrics, including persuasion (the likelihood an ad will drive immediate brand predisposition) and enjoyment (the resonance and appreciation of an ad).”
This also, increasingly, makes sense when you consider how people now consume media. My kids (both under 13) almost never watch regular TV, with all of their time spent online, and that’s increasingly the norm for younger cohorts.
TikTok is an entertainment platform, and as such, it makes sense that it’s overtaking traditional TV in many respects.
These are some interesting, and potentially valuable insights, which could help to inform your TikTok marketing approach.
You can read more insights from TikTok Works here.
Source: TikTok Shares New Insights to Assist in Marketing Campaign Planning
