How Do People Actually Make Money On TikTok?
In recent years, TikTok has exploded in popularity, transitioning from the dance-oriented platform it was when it was released to arguably the most prominent social media app in the industry. With that comes a slew of new-age influencers who make a living off TikTok, but how do they actually make money?
One can make money on TikTok in many ways, but influencers primarily rely on the Creativity Program. Previously called the Creator Fund, TikTok's new iteration of the program gives its popular content creators a system to monetize their videos. Like other platforms, you need to meet specific requirements to qualify for the program, like having at least 10,000 followers and 100,000 views. However, anyone who meets these requirements can join and immediately begin making money on their TikToks, but exactly how much they make differs.
Another avenue to make money is through tips and donations during livestreams. If you use TikTok, surely you've seen the viral livestreams featuring creators repeating words or phrases and thanking people for roses and other emojis. However, one thing you probably didn't realize on TikTok is that each is essentially a gift viewers send them, and they all cost different amounts of real-world money. Creators can then redeem these gifts for Diamonds (TikTok's digital currency), and after they've saved up enough, they can redeem Diamonds for real money.
How companies and businesses make money on TikTok
Like how individual content creators make money, TikTok also offers companies and businesses many ways to profit on the platform. Naturally, they can use the methods mentioned above, but given they're selling a product, they have more resources at their disposal.
First and foremost, running ads is a surefire way to increase your profits on TikTok. According to Statista, 67% of 18-19 and 56% of 20-29-year-olds use the app, making it arguably the best platform to run advertisements on. With millions of users, brands can practically guarantee that any ad on TikTok will reach countless users, giving an immeasurable boost to their reach and likely resulting in higher profits.
If that's not enough, you can now set up your own shop. TikTok Shop has launched in-feed video, live shopping, and creator benefits. Now, businesses can sell their products directly in the app, boosting their visibility and accessibility to consumers. All it takes is a good video linking directly to your customizable TikTok Shop, and watch as the profits roll in.