TikTok | This is how brands reach the generation that does not watch television

TikTok |  This is how brands reach the generation that does not watch television

  • The fashion platform, which is offered as a showcase for companies, bases a fruitful business model on advertising

Impact on the youngest sectors of society. That is, undoubtedly, the pending task that brands must address today. The young are impassive before conventional marketing, but reaching them is imperative for companies to survive in the long term. They are potential customers, those who fall in love today so that they buy tomorrow.

Seducing them is a need that, at the same time, is complex. Because they don’t follow the rule: they don’t watch tv, a medium that has been the winning horse of traditional advertising since its inception. And the companies do nothing more than rack their brains to understand what content and what formats will they reach these consumers, who are increasingly demanding and selective, and who only accept advertising that adds value to them; that impacts them, interests them and serves them. not everything is worth.

TikTok stands as an oasis in the midst of this desert of possibilities. “Its birth has changed the paradigm of the advertising industry,” he says You LorenzoGeneral Director of Business Solutions at TikTok for Spain and Portugal. The platform allows advertisers to create branded content organically integrated into the world of entertainment, a formula that seems to be the winner among the youngest. TikTok is for brands “a playground in which they can show themselves as they are. It is a blank canvas,” Lorenzo insists.

In fact, the platform aspires to be “a reference partner for the digitization of the Spanish economy”. With this intention, when it comes to showing videos to users, on different occasions it intersperses three organic content with an advertising placement. However, beyond paid campaigns, brands also use the organic variant to display. Based on the fact that TikTok accounts are free and that, according to Lorenzoit is not on the table to go premium, the platform’s business model is based on its advertisers. And not bad at all: last year it billed 990 million dollars worldwide, according to what was published by the Financial Times. For this reason, she is open to “listening to the market and responding to its needs”.

Within this content, trends and viral phenomena are created that brands take advantage of to interact with the public. For example: some time ago the young public went crazy with a pasta sauce recipe that consisted of baking tomatoes with oil, feta cheese and spices, to such an extent that supermarkets put packs with the ingredients for cooking it on sale. And they sold out.

From 10,000 euros

Although TikTok refuses to talk about fees, it does ensure that self-managed campaigns have a minimum budget of 20 euros per day. “There are media with which you can’t start talking if you don’t start with at least half a million euros,” he explains. Alejandra Galvez, director of integrated media at Ikea Spain. But it is something that 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 large return, not only in terms of sales, but also visits to stores, especially online. Although TV is still the queen of mambo in Spain,” continues the director.

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However, and even though advertising on Spanish television is more affordable than in other European countries, “with 10,000 euros you can’t run a campaign. But on TikTok, yes,” he says. On television, an advertisement can cost between 5,000 and 6,000 euros. “And with an ad you do nothing,” acknowledges Gálvez. TikTok is “breaking records” for engagement (the level of commitment that consumers show with brands) and, in addition, it is “presenting brutal growth in recent months,” he concludes.

Most brands hire agencies to manage their actions with TikTok. This is the case of Ikea Spain, which has had a user managed by YMedia for about a year. Your account executive andrea oscoz, explains that the platform has “a lot of potential to get messages to targets that are very difficult to reach”. AND its impact transcends the community itself from account. “Because the algorithm ranks them based on the relevance of their content, not the reach of their community,” she says. Of course, it requires a publication frequency “quite high, at least one or two contents a week, which have to be consistent with the advertising.” And he warns: TikTok is increasing both its consumers and consumption time a lot. “So brands, the sooner they get into it, the better. Because it’s not too saturated, yet.”


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