MediaRadar reported TikTok made up 4.4% of Snapchat’s ad revenue last year, ahead of companies such as Coca-Cola (3.3%), Comcast (3%), Disney (2.4%), Mars (2.3%), AT&T (2.1%), State Farm (1.9%), Pepsi (1.6%), Hershey (1.4%) and Amazon (1.4%).
The marketing team at TikTok made a substantial wager to capture and convert users. According to data from Common Sense Media Snapchat’s parent company Snap claims their app reaches 90% of people ages 13 to 24, Sprout Social splits usage evenly between gender. The stats show why TiKTok’s user base skews younger.
TikTok’s marketing campaign may have paid off exponentially. As most of the world is encouraged to stay at home to stop the spread of the novel coronavirus. More and more adults are spending time on the APP. What may have started as a way to embarrass your teenagers has turned into an outlet for some. Celebrities have joined the fun too, from Jennifer Lopez to Mariah Carey and even 82-year-old Jane Fonda.
To become part of the fight against COVID, TikTok has taken on the role of promoting stay-at-home content. The hashtag #happyathome has seen more than 7.9 billion views. The platform expected to grow its user base by 22% to 45 million. Given the increasing usage by non-teens, that number could be significantly higher.
Snap CEO Evan Spiegel stated TikTok was “an advertising partner for us, and I think most importantly, the value they provide their community is very different than the value we provide ours.” That may be true, but will the revenue from advertising cost them users?
Chen, Jenn. “Social Media Demographics to Inform Your Brand’s Strategy in 2020.” Sprout Social, 24 Mar. 2020, sproutsocial.com/insights/new-social-media-demographics/.
News, RTÉ “TikTok Appeal Continues to Grow amid Covid-19 Crisis.” RTE.ie, RTÉ, 8 Apr. 2020, www.rte.ie/news/world/2020/0408/1129238-tiktok-appeal-continues-to-grow-amidst-covid-19-crisis/.
Williams, Robert. “TikTok Is the Biggest Advertiser on Snapchat, Study Says.” Mobile Marketer, 16 Mar. 2020, www.mobilemarketer.com/news/tiktok-is-the-biggest-advertiser-on-snapchat-study-says/574164/.