Tiktok. Who doesn’t know about it?
Released in 2016, this Chinese developed app has made a considerable name for itself. So is its popularity that it has made it to the list of the 7 Top Social Media sites in 2020, with over 800 million active users.
The reason for this large fanbase is the user-friendly social interaction and entertainment through videos. Besides entertainment, you can gain publicity overnight. Users can create 15 seconds entertaining videos and make it go viral to earn reputation and publicity.
By the first half of 2019, Tiktok developers were credited as the “Most Valuable Startup Company in the World”. They had earned more than 7 billion dollars in these six months. But, the question is, how does Tiktok make money?
How Does Tiktok Earn?
The work starts with people downloading the app. For every download made, Tik Tok receives a small amount from Google store and App store, despite the download being free of cost.
Another way that Tik Tok makes money is through in house purchases of coins. The users can buy 100 virtual coins for $0.99 and then gift them to a performer they like. Furthermore, users can use these coins to purchase emojis that pop up on the screen during a live performance.
During live performances, generous followers can see their name popping up on the screen.
The performers who receive these coins can exchange them for digital gifts. This allows Tik Tok as well as its users to earn money. To get more coins, performers give a shoutout to their most generous fans. This entices viewers, who are ready to buy performers star gifts in exchange for some public praise.
Besides this, Tik Tok earns money through their ads. Brands are using this platform to promote their products. More than 50% of Tik Tok’s users are under the age of 35 and hence are more likely to get attracted towards the product in the ad. With such successful social marketing, more brands want to collaborate with Tik Tok.
Tik Tok also allows its users to earn through sponsored marketing. When the performers have a decent amount of fan base, brands reach out to them for sponsorship. For this, the performer must have millions of followers with a good ratio of views per video.
Tik Tok users can easily monetize their fans by promoting brands on their profile. It is estimated that Tik Tok influencers can earn up to $50,000 per promotion.
Selling Customized Accessories
Another way that most top Tik Tok influencers make money is through selling customised accessories. They create customised t-shirts, mugs, key chains and much more and then sell it to their followers. Since most of the Tik- Tok users are youngsters, they are very attracted by getting these things from their heroes and so buy them to show it off to their friends.
Tik Tok is one of those few platforms that influence the juveniles and are a source of earning good. Besides making a good amount of cash for itself, it also lets its users earn an early month earning.