Impact on the younger sectors of society This is undoubtedly the pending task that brands must face today. Young people are indifferent to conventional marketing, but it is necessary to reach them for companies to survive in the long term. They are the potential customers, the ones you have to fall in love with today so that they will buy tomorrow.
Seducing them is a need that, at the same time, is complex. Because they don’t follow the norm: they don’t watch TV, a medium that has been the winning horse of traditional advertising since its inception. And the companies are only racking their brains to understand what content and formats will get them to these consumers, who are increasingly demanding and selective and who only accept advertising that brings them value, that impacts them, interests them and serve Everything is no longer valid.
TikTok s’erigeix like an oasis in the middle of this desert of possibilities. “Its birth has changed the paradigm of the advertising industry”, says Teba Lorenzo, director of relations with the company’s brands in Spain. The platform allows advertisers to create branded content organically integrated into the world of entertainment, a formula that seems to be winning with younger audiences. TikTok is for brands “a playground where they can show themselves as they are. It’s a blank canvas”, insists Lorenzo.
In fact, the platform aspires to be “a partner of reference for digitization of the Spanish economy”. With this intention, when showing videos to users, it usually intersperses three organic content with an advertising placement. However, in addition to paid campaigns, brands also use the organic variant to display. Starting from the basis that TikTok accounts are free and, according to Lorenzo, going premium is not on the table, the platform’s business model is based on advertisers. And he’s not doing too badly: last year grossed $990 million worldwideas published by Financial Times. That is why it is completely open to “listening to the market and responding to its needs”.
Within this content they are created trends and viral phenomena that brands take advantage of to relate to the public. For example: a while ago, the young public went crazy with a recipe for pasta sauce that consisted of baking tomatoes with oil, feta cheese and spices, to the point that supermarkets put on sale packs with the ingredients for cooking -the. And they sold out.
From 10,000 euros
While TikTok declines to talk about fees, it does say that self-managed campaigns have a minimum budget of 20 euros per day “There are media with which you cannot start talking unless you start with, at least, half a million euros”, explains Alejandra Gálvez, director of integrated media at Ikea Spain. But this does not happen with social networks, which are “more efficient than media such as television, because you can segment the public”. Platforms like TikTok therefore have “a fairly broad return not only in terms of sales, but also store visits, especially online. Even though television is still the queen of mambo in Spain”, continues the director.
However, even though it is more affordable to advertise on Spanish television than in other European countries, “with 10,000 euros you cannot run a campaign. But on TikTok yes”, he says. on television, an advertisement can cost between 5,000 and 6,000 euros. “And you don’t do anything with an ad,” acknowledges Gálvez. TikTok is ‘breaking records’ ofengagement (the level of consumer engagement with brands) and, in addition, is “showing brutal growth in recent months”, he concludes.
Most brands hire agencies to manage their TikTok campaigns. This is the case of Ikea Spain, which, for about a year, has had a user managed by YMedia. Its account executive, Andrea Oscoz, explains that the platform has “a lot of potential to deliver messages to targets that are very difficult to reach”. I its impact transcends the account’s own community. “Because the algorithm positions them for the relevance of their content, not for the scope of their community”, he says. Of course, it requires a publication frequency “quite high, at least one or two publications a week, and they must have consistency with the advertisers”. And warns: TikTok is greatly increasing in number of consumers and consumption time. “So the brands, the sooner they get in, the better. Because it is not yet saturated”, he adds.