Everything You Need to Know About TikTok Ads (2024)

Thinking about using TikTok Ads for your brand or business?

As one of the mostdownloaded apps of 2020with over800 million monthly users— now is the time to start.

Whether you’re looking to make sales, drive traffic to your website, or launch a new product, a creative and well-targeted TikTok campaign can drive great (and huge!) results.

In this guide, discover everything you need to know about the different creative TikTok Ads options.

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Introducing TikTok Ads

From targeting, ad creation, insight reports, and ad management tools, TikTok Ads offer a powerful, yet easy-to-use platform to help businesses and brands advertise to millions of users across the globe.

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While TikTok Ads aren’t as popular as Facebook or Instagram ads (yet!), they’re an incredible opportunity for brands looking to widen their reach. And now is the perfect time to start using TikTok ads — since not many brands and businesses have caught on to their potential.

Whether you’re a small business with a limited budget or you’re running a 10-day campaign, TikTok Ads offers a number of unique tools to help brands and businesses excel.

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Similar to Instagram Ad Manager, TikTok’s advertising platform-tools automate the process of creating, delivering, and optimizing your ads.

TikTok Adscurrently has two budgeting options: daily or lifetime. With both options, your budget isn’t set in stone — you can adjust your budget anytime throughout your campaign.

You can also target your audience by gender, location, age, interests, and other unique variables.

And similar toFacebookandInstagram’s Ad Manager, you can also create “Custom Audiences” and “Lookalike Audiences” to reach new audiences that are similar to your existing ones.

Let’s get into what TikTok Ads actually look like.TikTok offers a variety of different creative ad formats for brands and businesses to explore. You’ve likely seen most of the different types on your daily TikTok scroll.

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Here are the five types of TikTok Ads:

  • In-Feed Ads

  • Brand Takeover

  • TopView

  • Branded Hashtag Challenge

  • Branded Effects

With a variety of different options to choose from, it’s hard to know which ad format is best for your brand — which is why we dive into the different types of TikTok ads and how they can work for your business below.

Ready to take your TikTok strategy up a notch? Watch ourfree 30-minute videoon how to use TikTok to grow your brand!

TikTok Ads: In-Feed Ads

In-Feed Ads are the video ads that appear in between user videos as you scroll through your For You page. If you’re unfamiliar with TikTok and the For You page, In-Feed Ads are very similar to the ads you’d see while tapping throughInstagram Stories.

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You can get super creative with In-Feed Ads. You can include multiple call-to-actions and make your video anywhere between 9 to 15 seconds.

Having the opportunity to include a call-to-action is a huge advantage. For example, you can encourage users to shop now, download your app, or visit your website right from TikTok.

See howAdobeuses a clear CTA in their In-Feed Ad below.

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One thing to keep in mind is that like any other video on your For You Page, In-Feed Ads can be scrolled past or skipped pretty quickly. You only have about 2-3 seconds to catch your audience’s eye before they keep scrolling.

In-Feed Ads should be full screen and should be enticing enough to stop users from scrolling past your content.

When it comes to stopping the scroll,Sawyer Hartman, the CEO of Cameras on TikTok, gave some sound advice on our “Talk the Tok” Workshop:

“The text on TikTok videos should establish a problem or grab attention right away. Imagine your perfect viewer is sitting and watching your video with the sound off, what text can you put and what story can you tell that will convince them to turn their sound on?”

SAWYER HARTMAN

Hear more tips and tricks from Sawyer and our other TikTok experts in the full TikTok Workshop here:

Another positive to In-Feed Ads? TikTok users can like, comment, share, and interact with your video just like any other video on the For You page.

TIP: Work with influencers for your In-Feed ads!Take Levi’s for example.

Levi’sworked with several TikTok creators — sending each of them their Future Finish 3D denim customization technology, giving them full creative control over their jeans.

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The creators’ videos appeared on TikTok as In-Feed Ads where users could click on the “Shop Now” button to buy the same design on Levi’s website.

TikTok Ads: Brand Takeover

Have you ever opened up TikTok and received an ad right away? If so, those are Brand Takeover Ads.

Brand Takeover Ads appear upon opening the app — presenting a full-screen video to your targeted audience.

They’re one of TikTok Ad’s best options for delivering mass awareness and driving direct sales since you can place your messaging right in front of your target audience.

Not only do these ads show up as soon as users open TikTok, but they can also appear on the For You page as still images, GIFs or videos — including a clickable link driving users to a landing page or aHashtag Challengewithin TikTok.

See how Guess Jeans had their#InMyDenimChallenge advertised all across TikTok. The photo below on the far left is an example of a Brand Takeover.

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Brand Takeover Ads are exclusive to their category, which means that TikTok makes sure users don’t see more than one Brand Takeover per day. With Brand Takeover Ads you can expect a lot of eyes on your content with little competition.

If you’re just starting out with TikTok Ads, Brand Takeovers may not be your first choice. Because, while super effective, Brand Takeovers do come at a high cost.

If you’re a bigger brand with a large marketing budget, they are a great option for fast growth and reaching a large group of TikTok users.

TikTok Ads: TopView

TopView Ads are a new advertising option that builds on Brand Takeovers.

What makes TopView Ads different is that unlike Branded Takeover Ads, TikTok users aren’t bombarded with an ad as soon as they open the app — TopView Ads are the first in-feed post after 3 seconds.

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It shows up at the top of the For You page, TikTok’s most premium real estate, with up to 60-seconds of full-screen video with auto-play and sound.

TikTok Ads: Branded Hashtag Challenge

Branded Hashtag Challengesare a one-of-a-kind advertising opportunity exclusively to TikTok. You’ve probably seen branded hashtag challenges displayed on TikTok’s Discovery page.

Similar to regular hashtag trends and challenges on TikTok, Branded Hashtags Challenges offer both organic and sponsored opportunities for brands.

They’re a great way to encourage user-generated content and build brand awareness.

The best part about Branded Hashtag Challenges? You can have a ton of fun with them! They are an awesome way for brands to collaborate and seamlessly integrate themselves into the TikTok culture and community.

It’s important to have concrete objectives when you’re creating a Branded Hashtag Challenge. Are you looking to create awareness for a new product? Generate new leads? Or increase general brand awareness?

When a user clicks on a sponsored hashtag, they’re taken to a landing page on TikTok with the brand logo, link to their website, brief description of the challenge, and popular videos using the hashtag.

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If you’re looking for maximum exposure, you can pay up to ahefty $150,000 per dayto show up on TikTok’s Discover banner. That’s huge real estate but it’s not the only way to get users engaged with your branded hashtag.

TIP:If you’re looking for a less costly alternative, partner with popular creators on TikTok, like Houseparty and Freal Milkshakes below, to help your challenge take off!

Check out how the popular video messaging app,Houseparty, uses branded hashtags in a recent campaign on TikTok.

See howHousepartypartnered with Gen-Z heartthrob Chase Stokes (or better known as “John B” from Outer Banks) to help push their hashtag even further.

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ICYMI:TikTok now offers an e-commerce feature called theHashtag Challenge Plus— a feature that lets users shop for products right in the app.

TheHashtag Challenge Plusfeature — which has only started rolling out on select accounts — offers a separate “Discover” tab on the hashtag’s landing page where TikTok users can browse products from the campaign and purchase them right within TikTok.

TikTok Ads: Branded Effects

TikTok now offers branded shareable stickers, AR filters, and lenses in their advertising mix.

Similar to Snapchat’s branded lenses,TikTok’s branded effectsallow brands to design their own custom filter on the app.

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Branded Effects can be live for up to 10 days at a time and are an awesome way to encourage users to directly interact with your brand (in a fun way!).

How Much do TikTok Ads Cost?

TikTok Ads are new to the scene — brands and businesses are still experimenting with the platform — so understanding the average spend or return on investment (ROI) is difficult.

So, if you’re a small business and want to give TikTok ads a try, don’t let the unknown scare you off right away — spending big bucks on TikTok isn’t the only way to advertise on the popular app.

You can set up a free TikTok Ads account and create In-Feed ads with your own set budget and schedule. Currently, TikTok’s minimumcampaign budgetis $500 and the minimumad group budgetis $50.

However, it has also beenreportedthat the cost of advertising on TikTok can be anywhere from$50,000 to $120,000,depending on the type and duration.

If these reported numbers are true, it would make sense as to why we haven’t really seen smaller businesses advertising on TikTok just yet.

As more brands begin to engage and use TikTok Ads, it will become more clear whether TikTok will follow a similar model to Instagram and Facebook ads where (no budget is too small), or if they will continue to keep certain ad types, like branded hashtag challenges, as elite spends.

Watch this space!

How to Create a TikTok Ad

Now that you’re familiar with TikTok’s creative advertising options, it’s time to talk about the tools that help get your ads into action.

Before you can go ahead and create ads on TikTok, even In-Feed ads, you have to be approved by TikTok. It’s not a difficult process, just an extra step to keep in mind.

Here is how to request a TikTok Ads account:

#1:Head to theTikTok Ads homepage.

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#2:Enter your country and account type and press “Next”.

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#3: TikTok Ads is currently only available in certain regions.Fill out all of your contact information and depending on if TikTok Ads self-serve is available in your region, either press “Make a Reservation” or “Inform me of Future Updates”.

Note:TikTok Ads Managerself-serve platformis now available in the United States for businesses of all sizes.

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#4:Now it’s time to wait for TikTok to send more information. Make sure to double-check all your email folders (promotions, social, junk, etc).

Follow these stepsif you don’t receive verification.

TIP:If you know you want to start advertising on TikTok in the future (even if it’s not for a while!) create an account sooner than later to be sure you have it there when you’re ready.

Once you get the verification email, TikTok asks a number of questions about your business and advertising goals. After you submit the questionnaire, a TikTok representative will be in touch with you over email to help you complete the process.

Following that, you’ll be able to enter and officially set up your account.

On TikTok’s self-serve platform, you can create and run campaigns, easily define your target audience, select bidding methods, and design your ad creative.

Note:As of right now, it’sunclear whether you can login to the platform and create a Branded Hashtag Challenge campaign or if you need to work directly with a TikTok sales rep to do so.According to Digiday, some advertising campaigns are managed and monitored by TikTok’s own team.

And there you have it, our quick guide to TikTok Ads.

By now, you should have a clear understanding of TikTok’s creative advertising options and the early steps on how you can put them into practice for your business.

If you’re looking for even more TikTok tips and tricks, watch our free 30-minute TikTok workshop below.

Everything You Need to Know About TikTok Ads (2024)

FAQs

What is the most important thing with TikTok ads? ›

Integrate Relevant Hashtags

Hashtags are the most important thing on TikTok, they assist in content discovery and categorization. Including relevant hashtags in your ad campaigns enhances your content's discoverability and effectively targets specific audiences.

What are the tips and tricks for TikTok ads? ›

Keep things light hearted and fun

Your content should focus on being fun, engaging, memorable and relatable. If consumers enjoy engaging with your brand, the TikTok algorithm will show your content to them more often – increasing the likelihood that they'll follow your account or take a desired action.

What do you need for TikTok ads? ›

How to create your first TikTok ad in 8 steps
  • Step 1: Make sure you have a business account. ...
  • Step 2: Turn on TikTok integration for your Shopify store. ...
  • Step 3: Open the TikTok Ads Manager. ...
  • Step 4: Set your advertising goal. ...
  • Step 5: Select your audience. ...
  • Step 6: Set your budget and schedule. ...
  • Step 7: Create your ad.
Jun 12, 2023

How much does TikTok pay per 1,000 views? ›

According to reports from top influencers, TikTok pays around $0.02 and $0.04 for every 1,000 views. These are reports based on payments received through the TikTok Creator Fund. This is a program that TikTok introduced in 2021 in a bid to compensate content creators for creating content on the platform.

What is the success rate of TikTok ads? ›

TikTok's advertising strategy is effective, with 83% of users finding the app's advertisements entertaining, emphasizing the platform's success in creating engaging and enjoyable ad content.

Are paid TikTok ads worth it? ›

TikTok Advertising Instantly Expands Your Brand's Reach

On the flip side, recent data confirms that "small" creators earn the most TikTok engagement. Getting your brand directly in front of tens of thousands of relevant TikTokers is easier than you might think.

Are TikTok ads worth the money? ›

Whether TikTok ads are worth it depends on various factors such as your target audience, advertising goals, budget, and creative strategy. TikTok ads can completely transform a business, but it may not be the best option to commit your time to if you do not have a big budget or a marketing strategy.

Is TikTok ads worth it? ›

Well, the short answer is Yes. With all the great potentials of advertising ranging from its huge, diverse, and hyper-engaged audience, and numerous TikTok ad formats, to its authenticity-driven and user-generated content, we believe TikTok advertising is worth a try.

How much do TikTok ads cost per day? ›

The average CPM on TikTok is $9.16 (as of November 2023). TikTok advertising prices start at $0.50 CPM and $0.02 cost per click. A minimum budget of $500 is required to spend on a campaign, with a minimum daily budget of $50 at the campaign level and a minimum of $20 per day at the ad group level.

Do TikTok ads need hashtags? ›

Best practice #1 Get discovered through hashtags

Optimize your Ads for when they appear on it and use hashtags. TikTok will show your content to people who have seen, liked or shared videos with the same hashtag. On TikTok, new trends are born every day.

What is the minimum budget for TikTok ads? ›

TikTok Ad Costs

Minimum Spend: TikTok requires a $500 minimum ad spend, with a minimum campaign level daily budget of $50, a minimum AdGroup level daily budget of $20. A Brand Takeover: TikTok will guarantee five million impressions with this advertising strategy. It comes with a hefty cost of $50,000 per day.

How many TikTok ads should i run? ›

​There is no recommendation on how many different creatives should be active at the same time once your ad group is running. However, the limit is 16 per ad group, if you are not using ACO. ​We suggest updating the creative every 7 days at least. It is wise to continuously refresh them to avoid ad fatigue.

How long should you let TikTok ads run? ›

The length of time you run a TikTok ad depends on various factors, including your advertising goals, target audience, and budget. Generally, it is recommended to run a TikTok ad for a minimum of two weeks to give the campaign enough time to gather data and optimize for performance.

What happens if you don't pay TikTok ads? ›

6.2 In the event of non-payment by the due date, TikTok has the right, at its sole discretion, to suspend or cancel any Ad Services. 6.3 We may charge you the fees or interests charged by banks or its payment processors that it incurs for processing transactions or any failure of payments.

What is the importance of TikTok advertising? ›

Easier To Reach Target Audiences

TikTok advertisements are highly effective in driving people to your page, offering a number of different ad types. Statistics show that users tend to interact more on TikTok (6%) as compared to Instagram (1.41%).

Why are TikTok ads important? ›

TikTok ads increase brand exposure

Making video ads that are based on daily trends increases their relevancy and likelihood to show on someone's feed because it allows for frequent content rhythm, instant relevance, and continual discovery. Another great way to use TikTok to increase brand awareness is by going live.

What is the purpose of TikTok ads? ›

Businesses show ads on TikTok to reach people in creative and meaningful ways. Ads help keep TikTok free for our community to use. You will see different kinds of ads when you use TikTok. All of the ads that TikTok is paid to place in user feeds or the search page are clearly marked with a "Sponsored" or "Ad" icon.

What are the two key factors in fueling your TikTok campaigns? ›

For TikTok Ads Manager, data connections and creative variety are the fuel mixture that allows our platform to perform at its peak.

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