In 2022, TikTok generated U.S. dollars in advertising revenue. This figure is expected to double by 2024 and more nearly quadruple by 2026.
TikTok marketers are digging into their pockets
TikTok was the most downloaded mobile app worldwide in 2021, and the massive appeal of the short-form video platform has not gone unnoticed by advertisers. Over the last few years, more brands have started leveraging TikTok’s impressive reach and engagement figures to boost brand awareness and foster relationships with young, mostly Gen Z, customers. And even though the new kid on the block cannot yet match Facebook’s advertising revenues, it is becoming more appealing each year. As of 2021, TikTok’s revenue in the U.S. amounted to U.S. dollars, which translated to roughly percent of total digital ad spending in the country. This share is expected to increase steadily over the next few years.
Brands on TikTok
Advertising on TikTok can open many doors for companies, especially those wanting to reach young (and previously hard to target) audiences. Videos posted on the app can go viral overnight and reach millions of online users, which is something that other social media apps are unable to deliver. In 2021, Netflix was the most talked about brand on TikTok, with more than influencers mentioning it. In addition to posting videos and teasers for their upcoming releases, the streaming giant frequently partners with creators and launches challenges on the app.