When it comes to influencer marketing some brands — particularly those targeting Gen Z — are starting to consider using TikTok creators over Instagram influencers in their campaigns.
The chance for seemingly anyone or anything to go viral, as well as the increased usage of the growing social platform, is alluring for marketers — leading some of them to earmark more influencer dollars to TikTok. Brands like Chobani, Verizon and Alaska Airlines, among others, have prioritized working with TikTok influencers as part of recent marketing efforts. At the same time, earlier this year, marketers began to see TikTok as more of a staple of the social media spending pie rather than simply an experiential app.
“Marketers will go where their audiences are, so while there are definitely brands who still prioritize Instagram based on their demographics, we’re seeing brands targeting Gen Z rapidly prioritizing TikTok over Instagram,” said Katy Wellhousen, account director at cultural marketing agency 160over90.
Over the last quarter, “there’s been a significant acceleration in the investments our brands are making on TikTok,” noted Brendan Gahan, chief social officer and partner at Mekanism. “It’s shocking how quickly they’ve managed to go from that experimental bucket to nearly being a campaign staple on par with Facebook. TikTok is not there yet, but you can see it trending that direction.”
The growth of TikTok spending, particularly with influencers and for those brands focused on younger audiences, comes as the app has broadened its popularity to millennials during the pandemic, noted Wellhousen, adding that the move is often coming from brands that want to be seen as part of culture. “But there are other reasons, like the ability to test content for a lower cost on TikTok — by nature, the app is more effective when you use it natively versus the more produced style of content you typically see on Instagram.”
SeatGeek is among the brands testing out content with TikTok creators now. The company currently allocates roughly 75% of its influencer budget to YouTube, 15-20% to TikTok and 5% to Instagram now, according to Ian Borthwick, senior director of influencer channels for SeatGeek, who did not provide exact figures.
“What’s exciting about TikTok is the unknown,” said Borthwick. “Marketers are trying to figure out the platform. If you do a video there’s a chance that video can go viral. And if you’re working with influencers, there’s a chance those videos could rack up a significant amount of views.”
Even as the unknown is appealing, the nascent platform isn’t likely to eclipse Instagram anytime soon, according to agency execs who say the maturity of Instagram’s platform, as well as its shopping capabilities, make its appeal lasting for brands.
At the same time, figuring out which influencers to work with on TikTok can be difficult and time-consuming for marketers, according to Borthwick. “For SeatGeek, we want to work with the talent directly so that’s a lot of work. As the space grows up it’ll get better but at first that’ll be tough if brands want to move their Instagram [influencer] dollars to TikTok,” Borthwick said.
Working with some TikTok influencers can also prove more difficult than Instagram for some, making them rethink spending with influencers on the platform. “TikTokers are very likely to reject client requests for usage and exclusivity, so more conservative clients are struggling,” noted Danielle Wiley, CEO at Sway Group. “We certainly are seeing a lot of client interest in TikTok as the bright and shiny new object, but then they realize the reality of working with the creators and many of them are backing down and retreating back to the safe space of Instagram.”
Whisper it: some advertisers still like Elon Musk’s Twitter
Twitter is an anathema to a lot of advertisers right now -- but not all of them.
Florist brand uses video to connect with families during the holiday season
FTD LLC, also known as Florists' Transworld Delivery, is looking to stand out during the holiday season through connected TV with the goal to drive brand recognition and incremental traffic.
Is the future of metaverse advertising cross-platform activations?
Some marketers believe this type of cross-platform activation is the future of metaverse advertising — but not everyone is convinced quite yet.
SponsoredHow brands are harnessing full-funnel measurement for growth
Sponsored by Amazon Ads Full-funnel marketing is how brands capture existing demand and create new demand. According to McKinsey, campaigns that combine brand and performance elements deliver a higher return than those targeting performance channels alone. As a result, brands are increasingly integrating upper- and lower-funnel strategies rather than viewing them as two distinct functions. […]
Member ExclusiveMarketing Briefing: ‘The answer is no’: Why agencies need to reject RFPs with egregiously extended payment terms
Despite the abnormality of the 360-day request, the focus from some clients and procurement officers on extending payment windows has many calling for agencies to reject participating in pitches with such requests going forward.
Member ExclusiveDigiday+ Research: Brands won’t cut ad spend until 2023, but they will shift from branding to direct response
For now, brands don't have significant plans to cut ad spend in Q4 despite the economy, but they do have plans to shift their advertising from branding to direct response.