Social commerce has revolutionized the way shoppers consume online content. Short-form content has altered the purchase path from simple online product research to brand discovery, engagement, and loyalty. Leveraged by hyper-engaging conversion advertising solutions, these new purchasing behaviors, driven by social commerce, are meant to stay, even with more foot traffic heading to physical doorsteps.
This upcoming holiday, couch shoppers will continue to swipe, click, and fill their online shopping carts, fueling the growth of social commerce. But despite this year’s slowdown, US Retail Social Commerce Sales are expected to grow by 25% from 2021 to reach $45.74 billion. This trend is opening up opportunities for advertisers to connect more meaningfully with their customers through social content, and TikTok is leading the way.
Gen X fashion-enthusiast TikTok users are 1.5x more likely to purchase instantly after watching content on the platform, a report made by TikTok Marketing Science Global Retail Path to Purchase. Marketers can leverage this insight through TikTok ads generating more excitement, interest, and engagement. Curiosity drives action: TikTok communities are always on their toes to find the latest trend, either the latest music craze, quick DIYs, or funny and relatable videos. Users are hyper-engaging in each one of them.
How Can Tiktok Drive Sales Through Short-form Content?
TikTok is built around community content, encouraging regular swipers to become creators and influencers. According to the TikTok Marketing Science Global Creators Like Me Study in 2021, a survey shows that two out of three millennial app users create content after watching video content on the platform. As users and creators push the boundaries of video content, TikTok ads on FYPs are becoming more native and acceptable to app users.
An emerging e-commerce brand has adopted the concept of producing informative short-form videos on TikTok to empower its followers and potential customers. With more and more active users spending more time on the platform, the company has decided to expand its reach.
Using interest and behavior-based, the brand reaches desired niche audiences through targeting strategy, strong creator partnerships, and TikTok Spark Ads. Their campaign resulted in 28 million impressions, 407,000 clicks, and 12,000 conversions with a CTR of 1.43%.
Related article: TikTok Consideration Objectives: Fuels Consumers’ Intent to Purchase
Tiktok Advertising Tools For Engagement And Conversions
Diversification efforts for best advertising performance have become the focus of all marketers. Faced with challenges such as the ad cookie collapse and Apple’s security updates, media buyers were looking for an efficient platform to move their advertising dollars. Marketers have found conversion efficiency using TikTok Ads.
To better understand TikTok’s ability to generate results from paid media, TikTok Partnered with Nielsen to conduct a study using US CPG Media Mix Model. The result is 14% higher ROAS and 2X offline sales efficiency than other digital media. Presenting some of TikTok Ad features that media buyers can use to elevate ad engagement and conversions.
a. TikTok Shopping Ads – Turn TikTok profiles into digital storefronts, displaying multiple products in a Product Showcase Tab
b. Spark Ads – Amplify the creator’s User-Generated Content using a native ad format that drives better conversions and ongoing marketing impact.
d. LIVE Shopping Ads – TikTok users can discover, watch, browse, and buy products directly through their favorite brand’s LIVE stream.
e. Hyper Target using Purchase Intent – fine-tune targeting efforts using behavior and DMA targeting. Buyers may leverage Look-A-Like audiences to find viewers similar to the brand’s followers and double down on engaged audiences.
Available TikTok Ad Conversion Objective
Over the past few years, the usage of short-form video content has evolved from a quick 6-second video looped into condensed, entertaining, and inspiring videos that can influence a purchasing decision. Brands have been capitalizing on hyper-engaging content by native creators to meet their audience wherever they are in their purchase journey. Here are the bottom funnel advertising objectives that can help scale campaigns.
|Website conversions||Ask target audiences to perform specific actions on the website, such as adding items to a cart, downloading an app or site registration, or making a purchase.|
|App Promotion||Bring new users into the fold by encouraging them to try out the app. Re-stimulate existing users’ interest in the app with a Call-To-Action to engage.|
|Catalog Sales||With TikTok’s Shopping Ads, brands can promote their product catalog natively on the platform. Advertisers can lead advertisers from viewing content to the brand’s checkout page.|
Keep the momentum going: Post-Purchase Engagement
If a brand has cultivated product advocates, it can leverage existing customers to generate new ones. The post-purchase phase is an open-window opportunity for advertisers to maximize their engagement with active customers. Their Marketing Science, Global Retail Path to Purchase Study, indicates that TikTok users are 24% more likely than other platforms to create content after purchase.
The popular app believes community building should not end after the Bottom-of-Funnel strategy. TikTok is on its path to revolutionizing the traditional marketing funnel with its Infinite Loop marketing. Part of the enhanced strategy is the Review and Participation phase. During this stage, the community amplifies the content and elevates the advertising experience.
Understanding the pulse of app pop culture, media buyers can now leverage consumer interest to build relationships. In addition, utilizing available advertising tools such as Live Video Shopping ads or Spark Ads can drive action to brands’ video content and ultimately drive more sales. With the number of audiences and time spent on the app increasing daily, marketers should consider exploring TikTok and investing more in their short-form content strategy.