TikTok is a short-form video hosting service that allows users to make homemade videos for others to see. It is a form of social media but has differences from others. Mostly the target ranges in age of 16 to 24 years old.
- TikTok can be a source of brand experience – the use of video is powerful. Not traditional and allows for customization. It is a major influencer for youth. Technology is a strong influence for this generation.
- TikTok is fast and flashy appealing to the youth target. It is more user-friendly than other sources of media even though YouTube is also important to this target. It leverages celebrity influencers and other influencers online to build its base.
- It’s a do-it-yourself mentality, customization on your own. Appealing to the sense of independence our youth desire.
- Companies like Dunkin Donuts have successfully used TikTok. Dunkin had a 57% increase in mobile app downloads and a cold brew coffee increase of 20% since using TikTok media.
- Chipotle has also experienced the benefits of using TikTok. Crocs sponsored a dance challenge to demonstrate their “lightness positioning” and it was successful.
- TikTok also gives back, they have developed a creator fund, where funds are distributed among creators based on the number of clicks they receive.
Implications
TikTok is a powerful and emerging force of media for the younger generation. Organizations just have to find the right way that fits within their strategic boundaries to harness it.
Want more insights, strategy and innovation? connect with us at pearl-strategy.ca or John at johnchan@pearl-strategy.ca
Source: Online research, October 2023
