Is TikTok Advertising right for your business?


is TikTok advertising right for your business
TikTok advertising

What is TikTok?

TikTok is a popular social media platform that allows users to create and share short videos. As of 2023, the app has over 1.6 billion users. TikTok is known for its creative and engaging content, and it has become a popular platform for businesses to reach new customers.

Although TikTok seemed to become a household name overnight, the origins of the app date back to 2016. The first iteration of TikTok was launched in September 2016 as an app called Douyin. In 2017, a private tech firm called ByteDance acquired, a social app known for lip-syncing videos. merged with Douyin in 2018 and the combined apps were rebranded as one worldwide app – TikTok. This merger helped TikTok to reach a wider global audience.

Who’s on TikTok?

The demographics of TikTok are currently:

  • Ages: 39% of app users are between 18-24
  • Gender: 54% female, 46% male
  • Location: Worldwide
  • Engagement: TikTok’s audience is highly engaged, with users spending an average of 76 minutes per day on the app
Compared to other social platforms, TikTok’s audience skews younger. This is likely due to the app’s association with new and emerging trends. Older platforms, like Facebook, are more mainstream and lack the short-form video content TikTok users crave.

TikTok Advertising

TikTok ads are created through the in-app ads platform, TikTok Ads Manager. Like any advertising tactic, there are both advantages and disadvantages when it comes to TikTok advertising.

Some advantages of TikTok advertising are:

TikTok reaches users worldwide

Reach a large and engaged audience

TikTok has a large and engaged audience of over 1 billion active users. Nearly one-third of its users access the app at least once a day.

TikTok ads are eye-catching


Since TikTok is a short-form video platform, your ads can be quick and to the point. This is ideal for capturing attention and getting your message across quickly.

TikTok ads can go viral

Viral potential

TikTok videos have the potential to go viral, which means your ad could be seen by millions of people through organic sharing. This can be a great way to reach a large audience and generate buzz for your brand.

TikTok ads can be cost-effective


TikTok advertising can be cost-effective, especially if you target your ads carefully. The minimum CPM (cost per mille, or cost per 1,000 impressions) on TikTok is $10. This means that for every 1,000 times your ad is shown, you will pay $10. However, the actual cost of your ad may be lower than this, as the price is determined by an auction process.

TikTok ads builds brand awareness

Builds awareness and branding

TikTok is a good platform for building branding/awareness. Short-form videos are perfect for capturing attention and creating buzz.

Some disadvantages of advertising on TikTok are:

TikTok skews younger

Younger audience

TikTok’s audience is mostly young people. If you are targeting an older audience, TikTok may not be the best platform for you.

TikTok competes for attention

Competition with other brands

TikTok advertising is a crowded space, so you will be competing with other brands for attention. There are nearly 5 million businesses using the platform. To stand out, you need to create high-quality ads that feel native to the platform.

TikTok offers limited targeting

Fewer targeting options

TikTok’s targeting options are not as sophisticated as some other platforms, such as Facebook. This means that it can be more difficult to reach your target audience with your ads.

lead generation on TikTok

Not good for all business goals

TikTok is not as good for lead generation compared to LinkedIn, Facebook, and Instagram. TikTok’s audience is more likely to be interested in entertaining videos than in making purchases. However, TikTok does offer a lead generation tool called TikTok Lead Gen Ads.


Should TikTok advertising be a part of your marketing strategy?

We hope we shed some light on TikTok and its advertising pros and cons. Overall, TikTok advertising can be a great option if you are looking for a cost-effective way to reach a large, younger demographic. Branding and awareness campaigns are successful, but only if they look and feel like the video content audiences see in their feed. If your ads aren’t designed with the TikTok community in mind, audiences will sniff that out. A good rule of thumb is: make TikToks, not ads.

We advise against advertising on a platform because it’s trendy or you are experiencing FOMO. Whether you should add TikTok to your advertising strategy depends on the audience want to reach, what you’re selling, and your campaign goals. If it seems like a good fit, there is a huge opportunity to leverage TikTok and take your digital campaigns to the next level.

Post wrap up

Is TikTok advertising a good choice for your next campaign?