Launched in the international market in September 2017, TikTok has become a booming social media platform with 800 million monthly active users across the world. Among them, roughly 50% are under 34, while around 26% are between 18 and 24 years old. With such a considerable size, TikTok has remarkable potential to generate extra income for individuals and businesses. In this article, we introduce 8 proven ways on how to make money on TikTok.
TikTok influencers have successfully secured TikTok as a source of income: on average, companies pay $200 to $20,000 per branded TikTok video. As of February 2020, global user spending on TikTok reached $50.4 million.
We also analyzed how much TikTok creators make and how to become TikTok famous in another detailed guide.
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Now, are you ready to start making money on TikTok? Here are 8 practical suggestions.
Post sponsorship is one of the significant income sources for TikTok influencers. Companies collaborate with TikTok influencers who have a substantial and relevant fanbase by sponsoring their videos for better publicity and authenticity. According to Business Insider, the average income for sponsored videos ranges from $0.01 to $0.02 per view.
Affiliate marketing on TikTok is often realized through unpaid, organic content, or paid advertising.
One way of affiliate marketing is to add promo codes in your content.
You can coordinate with the brands you’re collaborating with to generate a unique code just for your videos to offer your viewers a promotion discount.
It would work best if the promo code is imprinted with your identity. For example, it could be linked to your TikTok ID.
In this way, it will be easier for the viewers to remember and apply the discount code.
Drive Traffic to Other Channels
TikTok is famous for the short duration of videos and its highly customized and intelligent “For You” page.
It means even one single carefully planned and niche-specific video has the potential to drive much more traffic than regular channels on social media.
To capitalize on the tremendous viewership it offers, you can drive traffic to your other channels.
To do so, simply add links to your social media profiles (e.g., Instagram, YouTube, Facebook) and personal website or blog on your TikTok profile page.
The easiest way to make money with affiliate marketing is actually having a website that you can drive traffic to.
learn more about how to accumulate a fan base on TikTok!
Ultimately, you can get started with Wix or set up a WordPress blog with Bluehost.
Once your viewer enters your website, you have a piece of content that guides them through the affiliate product you’re selling. It can be a product review or a how-to guide for the product.
With the piece of compelling content you create, it is much more likely that your audience will make a purchase with your affiliate link there.
Additionally, you can monetize your TikTok viewership is to drive traffic to your YouTube videos. This way, you can directly monetize with YouTube ads and obtain potential YouTube video sponsorship in the future.
In the end, you will drive more traffic to your monetization channels and uncover more earnings potential.
TikTok Ads Platform
TikTok has recently introduced paid ads, including in-feed native videos and hashtag challenges, to provide brands with more opportunities to market for their products. The Ads Platform could also be a money-earning resource for you!
In-feed Native Videos
TikTok in-feed native videos allow video ads to run for a duration of 9 to 15 seconds. TikTokers can take part in starring, shooting, planning, and promoting the in-feed native videos.
Besides, brand owners and marketers can promote company products with in-feed native ads. This form of ad differs significantly from the traditional stuffy advertisement, which is deemed less appealing to Gen Zs. It means opportunities for marketing targeted at a younger audience.
According to Influencer Marketing Hub, TikTok users respond notably well to challenges. TikTok challenges refer to tagging others on TikTok to produce and share a particular genre of video. Like in-feed native videos, the Hashtag Challenges are typically more subtle than the conventional forms of marketing.
If you want to promote your products through a Hashtag Challenge, try including the product in a fun way. Hard-selling the product could be counterproductive.
Collect Virtual Gifts
Another way to make money on Tiktok is to live stream and receive virtual gifts with its built-in monetization feature. You can unlock the live streaming feature once you accumulate over 1000 followers.
Your followers can purchase coins at $1.29 per 100 coins and use them to buy virtual gifts to send you during a live stream. You can convert the gifts to ‘diamonds,’ which will be cashed in your PayPal!
Note: you can withdraw the money upon earning $100, and you can’t withdraw more than $100 per day.
Manage Influencer Campaigns
Managing influencer campaigns refers to your role as a building bridge between influencers and brands. As a middle person or a broker, you connect the influencers to the brands and facilitate their negotiation. This tactic may work best if you are more interested in connecting people and communication.
In fact, being a smart platform, TikTok already has a built-in platform to manage influencers and brands. However, since the marketing potential of TikTok is ever-growing, various TikTok marketing agencies (including Fanbytes and Upinfluence Inc.) are taking initiatives and making money through referring brands to influencers and vice versa.
Up till now, given TikTok’s relatively short history, marketing agencies of TikTok are not as comprehensive as that of YouTube and Instagram. If managing influencer campaigns is what excites you, how about starting a TikTok marketing agency of your own? At Ajebo Hustlers Hub, we include various free, detailed guides and handy tools for online business success. Contact us today!
Your Own Branded Merchandise
No matter what stage of TikTok marketing you’re in, you can always develop your own branded merchandise. Any products that are relatable to your niche and are of good quality can be the beginning of your exciting brand.
Suppose your TikTok fans follow you primarily for jewelry inspirations. In that case, you can start your own branded ring and necklace collection!
At the start, it’s better not to build up a big inventory to save costs.
You can get started with dropshipping and pick high-quality suppliers like Shopbase to design your products.
It takes away the trouble of managing inventory and owning physical products. This way, you can start your brand with minimal capital and huge growth potentials!
Event appearance is another way TikTok influencers make money. Similar to the concept of celebrity appearance at events, influencers can draw traffic, attention, and visibility to a brand. TikTok influencers’ earnings on brand events differ depending on the scale of influence of the TikTok user, the activities involved, and the duration.
If you are a major TikTok influencer, your appearance at brand public events can be a significant income source. Don’t be afraid to connect with the brands and build a relationship!
How to Make Money on TikTok FAQ
How many TikTok users are there?
According to Datareportal, TikTok is reaching 800 million monthly users in 2020. The statistics demonstrate the great user base and the market size that TikTok offers and the tremendous and unprecedented growth potentials of TikTok.
How much do TikTokers Make?
Top TikTokers earn $50k to $150K for one single successful brand partnership. A TikToker with more than 100k followers maintains a monthly income of around $200 to $1,000, while a TikToker with more than 1 million followers can earn between $1000 to $5000+ per month.
Who are the Most Famous TikTokers?
Famous TikTokers include Loren Gray (49.5m followers), Zach King (52.8m followers), Addison Rae (69.9m followers) and Charli D’Amelio (100.2m followers).
Over to You!
If you are a TikTok enthusiast and are planning to make money on TikTok, we hope the above 8 ways inspire you to secure an extra source of income.