Video-making
app TikTok has been making headlines over the past year and is reportedly the
fastest-growing app in the world.
But
first, who or what is TikTok? And why are people suddenly so interested in it?
What is TikTok?
TikTok
is a video-sharing app created by Chinese company Bytedance in 2017. Using
TikTok, users can shoot, edit, and then share 15-second videos that they can
edit and enhance with lots of filters, special effects, and even music and
animation.
You
can expect that those who like to use this app are naturally teens, though data
shows that the majority of TikTok users are aged 24 and under.
Though
launched in 2017, 2019 has seen the app rise to stardom, making it the fastest
growing social sharing app in the world.
In
a comment about TikTok, mother company ByteDance said it was one of the first
companies to "launch mobile-first products powered by machine learning
technology.” The Chinese company went on to say that it created TikTok “to
combine the power of artificial intelligence with the growth of mobile internet
to revolutionize the way people consume and receive information.”
What
does this mean? It means that TikTok will use artificial intelligence software
that allows filters to use facial recognition and fills a user's feed with
customized recommendations. Using artificial intelligence software, TikTok
should be able to offer its users with their needs and stop what they don't
want or like from appearing in the feeds.
The Most Downloaded App!
According to data by SensorTower, TikTok was the most downloaded app in August 2019 in terms of overall downloads and across iOS and Android app downloads. In August, TikTok recorded roughly 63 million downloads! That's a huge number even in the world of digital and social media. However, for all of 2019, or so far until the end of October, TikTok has registered 1 billion downloads.
TikTok
is available via iOS and Android app stores.
Where Is TikTok Growing?
For
digital marketers who are looking to reach the right audiences, it is important
to highlight where TikTok is and where it isn't. Naturally, the app is present
in some markets more than others.
For
example, India registered the highest app downloads for TikTok with 44%,
whereas homeland China recorded an 8% increase in downloads in August,
according to SensorTower.
TikTok
Demographics
So who is really using TikTok?
So far it has been teens and people up to age 24. According to 2018 data by App
Ape Lab, TikTok users, both male and female, were under the age of 20, making
it a strong competitor to Snapchat in that age range.
Around 21.3% of TikTok's male
audience was under the age of 20, while 18.6% of female users were in the same
age range, App Ape Lab said. Combined that's 39.9% of TikTok's audience base.
Meanwhile, people aged 40-49 represented 16.8%, while those above 50 were a
meagre 6.5%.
How Can Marketers Benefit from TikTok?
Since
its launch TikTok has undergone a few upgrades and made a few additions to the
platform. Chief among them is the ability to run ads, which can allow marketers
to create promotions using paid ads.
In
addition, TikTok has created its 'TikTok Creator Marketplace' through which it
aims to connect brands with content creators.
Another
thing TikTok has done is ban all forms of political advertising, making it
standout from social media platforms that allow the dissemination of political
messages, like Facebook and Twitter.
TikTok's
vice president of global business Blake Chandlee, who had left Facebook to join
TikTok, commented saying the “nature of paid political ads is not something we
believe fits the TikTok platform experience.”
In
its mission statement, TikTok says it wants to be "the leading destination
for short-form mobile video. Our mission is to inspire creativity and
bring joy.”
TikTok vs Snapchat
Many
people and users have been curious about the differences between TikTok and
Snapchat and they're right. There are many similarities.
Unlike
other social media platforms like Twitter, Facebook, YouTube, Pinterest, and of
course LinkedIn, all of which have different features, TikTok comes additional
differences.
"Many
consumers use both applications interchangeably for different use cases, Snap
being a private, community driven messaging and professional content platform
and TikTok being a ‘viral’ short video sharing application,"
analysts told CNBC in October, noting that TikTok's continuous growth will
affect Snapchat and "will likely compete for ad dollars."
This
means that Snapchat will continue to see strong competition coming from TikTok,
whose mother company ByteDance said it had 700 million daily active users,
although across its various apps. Meanwhile, Snapchat reported 203 million
daily active users by the end of June 2019.
“Both apps feature vertical, short, user-generated videos.
Although teens use the apps in different ways, the allure of watching and
creating TikTok videos is currently very strong in this demographic group,”
Debra Aho Williamson, principal analyst at eMarketer, told
CNBC.
That said, Snapchat is rising to the competition through new
updates like its dynamic ads option, which is actually bringing it to a closer
level with Facebook's ads.
More Background Info on TikTok
TikTok
was originally a lip-sync video app called Musical.ly that was acquired by
ByteDance and later rebranded to TikTok in August 2018.
In
its hometown China, TikTok is known as Douyin. It added 400 million active
monthly users in 2018 alone.
It's
important to remember that apps like Facebook, Instagram, and Twitter are
banned in China.
Following
its rise to stardom, TikTok has boosted its mother company's valuation to $75
billion, making it the world's most valuable tech startup, according to The
Verge.
Making Money on TikTok?
Like
other social media platforms and app, TikTok is having its share of influencers.
But how do they make money? Not as easily as Facebook, Instagram, and YouTube.
"To monetize TikTok, one has to monetize their
livestream. Users can attach their credit cards and buy emoji for their
favorite live-streamers, who can then convert those emoji rewards back into
cash," according to Oprah Mag.