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What are TikTok Ads and Are They Worth It for Your Company?

TikTok ads can boost your brand’s visibility on the popular social media app. Read on to learn more about TikTok ads and if they’re worth investing in.

Most social media platforms provide content monetization. They also offer ways to promote your products and services through sponsored ads. TikTok ads are the newest on the scene, but will they work for your company?

TikTok advertisements are usually only worth it if you already know how to create good social media content. This requires several steps, including a social media calendar and scheduling regular non-promotional posts.

Keep in mind that your target audience may trust you more if you post content other than a bunch of ads. However, there’s no harm in learning how TikTok ads work if you’re considering using them in your digital marketing.

Types of TikTok ads

There are many types of advertisements you can run on TikTok. Here are a few of the most popular ad formats.

In-feed ads

An in-feed video ad is ideal for link placement. You can call a user to action and send them to a landing page or your website home page. In-feed ads are ideal for link placement. You can call a user to action and send them to a landing page or your website home page.

Brand Takeover

The Brand Takeover ads appear after users first open the TikTok app and will show as a full-screen video. Besides popping up on the opening user page, you could also have them displayed on the For You Page.

Brand Takeover ads typically have a still image, animated GIF, or video attached to a clickable link. It’s another way to direct your users to a landing page or a specific site.

Some TikTok marketers also use these video ads to increase engagement. For instance, they might encourage users to join a Hashtag Challenge.

Hashtag Challenges

TikTok Hashtag Challenges typically appear on the app's Discovery page. You can participate in an organic hashtag challenge that doesn’t require buying sponsored ads.

If you buy sponsored ads, you can create your own paid hashtag trends. While it can cost you more than $100,000 just for one day’s worth of exposure, it’s the fastest way to put your brand in front of users.


A TopView ad shows up above other posts in a feed within 3 seconds. It has a similar effect to a Brand Takeover ad but may feel less intrusive to users.

The TopView ad also appears at the top of a TikTok user’s For You Page. You can post a TopView advertisement as long as it's 60 seconds. It plays automatically with sound if you have audio recorded with your video.

Branded Effects

Branded Effects use face filters and AR or 3D objects to enhance TikTok videos. With this ad format, users can use the special effects you create on their own videos, boosting your brand's awareness.

Benefits of running TikTok ads

In January 2022, TikTok had 1 billion monthly active users. This social media platform is growing, so that’s reason alone to consider running ads on TikTok.

Promoting your brands, products, and services on this platform has other benefits too.

Customization of content categories

You can decide which content category you want your TikTok videos to appear in. According to hashtag trends, the entertainment categories are the most popular. Some of the entertainment videos include lip-syncing content. Other popular categories include fitness and sports, home renovation, DIY, and beauty.

However, you don’t have to include hashtags representing the most popular categories. It’s better for you to use hashtags that pertain to your industry, brand, and products or services. With TikTok, you have the freedom to customize your hashtag categories by using relevant branded and non-branded keywords.

Creative way to promote brand

You can capitalize on your own creativity. This may appeal to creative people who want to collaborate with you. You can even connect with influencers and have them create video ads for you.

Ideal for serial episodes

The concept of creating ads that tell a story is a great way to capture the attention of your audience and maintain them engaged. You can keep your viewers in suspense while they wait for the next episode to air while soft-selling your products and services.

Keep them entertained, wondering what your brand will post next. It’s like a soap opera only focusing on your products or services.

Great way to practice social listening

Social listening is a modern form of market research and calls for regular social media page monitoring. It also involves collecting statistics of users who respond to your non-paid and paid social media posts.

TikTok provides you with a platform you can use for social listening. When placing ads, you'll know what ages, genders, and interests your target audience has.

You can monitor some of your social media activity right on TikTok. However, observing online social activity usually works best when you link to third-party social listening tools.

Should your company use TikTok ads?

If you believe your company would profit from using advertisements on TikTok, don’t hesitate. Your company will benefit as long as you use targeted hashtags and place your content in categories normally viewed by your target audience.

However, if you feel it would be too much of a stretch for you to advertise your business using TikTok, skip it for now. For instance, it may be tough to market steel beams produced at an industrial plant to a predominantly consumer entertainment audience.

Some industry categories may require more creativity to connect with TikTok users. However, if you can find an entertaining way to reach the right crowds, it’s possible.

Keep in mind that using TikTok ads will cost you. Make every dollar you spend on this platform count.

TikTok advertising cost

As of 2022, TikTok ads cost $10 per 1,000 views. You must also spend a $500 minimum on your campaigns. If you don’t yet have the budget for promoting on this platform, it’s wise to take the time to prepare.

Who views TikTok Ads?

About 60% of people on TikTok are 16-24 years old. Even if your industry isn’t one that naturally appeals to this demographic, it’s not impossible to promote it on TikTok. It's all about using certain keywords and leveraging topics via hashtags that may pertain to your business.

However, if you don’t think TikTok is the answer, here’s a list of other social media apps you should know about. For instance, you may want to try Clubhouse, Twitch, or Instagram.

How to build a TikTok ad campaign

Like many social media platforms, TikTok allows you to create ads for your account. Here’s how to get started.

1. Register for a TikTok ad account

Registration for a TikTok ad account usually triggers the need for code verification. You'll usually retrieve that code via your email or phone number. Then, input it on the TikTok ad registration signup page. Keep in mind also that you need to have a TikTok account before you try making ads. Both your personal and advertising accounts require verification before you can use them.

2. Wait for account approval

In addition to account verification, you'll have to wait for approval before creating an ad campaign. This usually takes about 24 hours to complete, according to TikTok for Business.

Requirements for approval include having a valid website that appears like this: It also must be clear what product or service you’re promoting on your website or landing page.

The business name you submit when you open your TikTok for Business (ads) account should also match your website name. Moreover, don’t try to sell cigarettes, walrus tusks, flamethrowers, and other prohibited items on TikTok.

3. Prepare your ad content draft

You may have to edit your content draft later to fit the ad type you’ve chosen for your TikTok ad campaign. However, you'll want to have an idea of your campaign objective and the content your ad will contain. Videos are a maximum of 60 sections, and other ads may only allow a certain number of text characters.

4. Choose your ad type

TikTok has different types of ads that show up in different locations. For instance, some of them will appear right when a user logs in or opens the app. Others appear on the Discovery or For You pages.

5. Customize ad targeting

Within your TikTok ads manager, you can customize your ad group. This means you can choose the age, gender, and interests of your target audience. You can also customize other parameters, such as hashtags or behaviors.

6. Submit your TikTok ad

After you submit your TikTok ad, you'll have to wait about 24 hours for approval. As long as you posted your ad according to TikTok’s guidelines, it should be approved.

Wrapping up: Is TikTok advertising worth it?

TikTok advertising can give your business a boost. However, it’s not the only way to market on social media. If TikTok isn't for you, look at other social media marketing strategies involving popular platforms.

Regardless of which platform you choose, our social media management tools can help enhance your efforts. With an easy-to-navigate content planner, you can organize and schedule posts for Facebook, Instagram, and Twitter.

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