Entrepreneur

The Ultimate Guide for Your Business to Make Money on TikTok

Cameron Fleming | 1 August 2022 | 2 years ago

how to make money on tiktok

There is no doubt that Tiktok has forever changed the way people consume digital content. In turn, businesses are scrambling to fully utilise the potential of the platform to reach their target audience. While some use TikTok to gain visibility and new customers, others have even turned TikToking into their full-time business. There is huge potential to make some serious revenues if you have the right know-how.

In this article, we will take a detailed look at different opportunities to give you some ideas on how to make money on TikTok. 

Create a Tiktok Pro Account

Creating a Pro TikTok account is not only essential for making money, but it’s also absolutely free. There are two types of pro accounts, business and creator. Choose the one that fits your needs but be aware that you can change the type of account later should you wish. 

Having a pro account gives you access to the analytics of your TikTok account which is vital to see if you are doing is working. Using the data available, you will have a better understanding of who your audience actually is, what content they are engaging with and also what time of the day are they most frequently using the app. 

Set up your Pro account and on your profile page, tap the three dots icon on the right, and select “Manage Account.” Then select “Switch to Business Account” and choose Business or Creator. It’s as simple as that. 

Understand How to Create Captivating Content

It’s estimated that Tiktok users spent between 44-52 daily minutes per user on the app in 2021, more than any other social media platform so you have a potential audience that is truly dedicated to the app. On the other hand, there are more than 1 million unique videos viewed each day, so it can be a challenge to stand out amongst the crowd. 

Knowing how to create captivating content is the most important thing you can do to reach your target audience. For example, perhaps you are a small bakery and want to use TikTok to promote your business. Why not, it’s free! Get comfortable and creative with filming, using filters and editing your cupcake TikToks. Editing is incredibly important in creating interesting content. 

You may think your content is interesting enough on its own, and maybe it is, but you have an enormous amount of competition on TikTok so you will have to go the extra mile and enhance your videos. 

Utilise Hashtags Correctly

Now that you have created and edited your video to stand out, it’s time to select your hashtags. Yet again, this is incredibly important on TikTok. Hashtags are a massive part of TikTok’s successful growth and a major influence on their ever-more-powerful algorithm. 

Essentially, the TikTok algorithm uses your hashtags to identify what your content is about and also what users might be interested in it. There are two different strategies you can use. First, target a very specific, niche audience that is related to your business or content. The second option is using trending hashtags to reach a broader audience. 

There are varying opinions on which is best but of course, there is no reason you cannot try both and see which one gets your business or content the most traction. You can see which hashtags are trending by selecting the discover tab and then tapping trends at the top of your screen. 

use music to make money

Select the Right Music and Sounds for Your Content 

Most users don’t realise that TikTok was initially created to be a lip-syncing music app. It’s obviously evolved into much more than that since 2017, but the music still plays a huge part in finding success on Tiktok.

Here is some illuminating data directly from the TikTok website. When brands feature songs that TikTokers like in their videos:

  • 68% of users say they remember the brand better.
  • 58% say they feel a stronger connection to the brand.
  • 58% of users also say they’re more likely to talk about the brand or share the ad.
  • 62% say they’re curious to learn more about the brand.
To find out which songs and sounds are trending, tap the + icon, then tap Sounds on the Record Video page. Here you will find a list of the top trending sounds. If you want to narrow down to the sounds that are trending with your particular audience, utilize your TikTok Analytics. (more on this later)

Post Your Content Regularly and at the Correct Time

This one is simple but also very important. Because you already set up your Pro account, open up your analytics and take a look at what times of day your audience is most active. Use this information to decide when you should post and make sure you post regularly as active engagement is a major signal to the TikTok algorithm.

To maximise the value and reach of your content, it is imperative to frequently create and post fresh content. If possible, post 1-4 times a day during the peak hours of your audience’s active hours. If you find that you have certain content that is more successful, you can always pay to boost that post to reach a broader audience. 

Interact With Your Audience

It may seem obvious, but interacting with your followers, responding to their comments and also leaving comments on their TikTok is also very important. This will not only add a personal touch to your brand or business, but is also crucial for the TikTok algorithm to take notice.

TikTok has added some unique features that make it easier and more fun than ever to interact with other TikTokers. A recent addition called Stich allows you to clip and incorporate snippets from other TikTokers’ videos into your own.  They have also introduced Duets, a tool that allows you to post your video side-by-side with a video from another TikToker. Basically, it’s a split-screen with two videos playing at the same time.

Most importantly, be authentic with your audience. According to research by Flamingo, 56% of users and 67% of creators feel closer to brands they see on TikTok – particularly when they publish human, unpolished content. User opinions of a brand or business also increase when they participate in TikTok trends and hashtag challenges. If you to participate in TikTok trends or hashtag challenges, be sure they are in alignment with your brand values and message. 

Pay for Ads on TikTok

If you are a business owner, buying ads on TikTok can be a lucrative path to explore. As usual, TikTok makes it super simple to set up. Let’s go over the basics here but you can visit the TikTok Help Centre for a more in-depth dive. 

First, you must select the campaign advertising objective and ad group. Once you’ve done this, you will be directed to an Ad creation page. First, you need to select an Ad name for your own reference. It will not appear in your ad. Second, select the ad format. TikTok only supports video ads so just select a video. Third, upload your media. If you need help creating your ad, TikTok has templates and Smart Video to assist you. 

After you have uploaded your media, you will need to select a thumbnail. You can select up to 8 keyframes. After that, it will time to enter the text that will appear on your ad such as your display name, any text you want to appear in your ad, your profile/brand image, and most importantly your Call to Action (CTA). CTA’s tell your audience what you want them to do and gives them a click-through button to do so. Some examples are: “Shop Now”, “Get Quote”, “Subscribe”, and “Visit Store.” As suggested earlier, if you choose to purchase ads on TikTok, it’s highly recommended you visit the TikTok Help Centre.

make money using TikTok

Partner with an Influencer

This is a marketing strategy as old as marketing itself. Find someone famous with influence and pay them to promote your business or brand. Most recently, the term has been coined “Influencer Marketing” and it is a booming business. 

There are 4 types of influencers, based on the number of followers they have. Nano-influencers (10,000 followers or less), Micro-influencers (10,000-100,000 followers), Macro-influencers (100,000-1 million), and Mega-influencers (more than 1 million). 

Obviously, the cost of partnering with influencers varies drastically depending on the size of their following. Smaller influencers might simply accept free products from you that they will then promote on their TikTok, while Mega-influencers can charge thousands of pounds per post. If you are considering partnering with an influencer, do your research and find one that best fits your brand and then negotiate the terms of the campaign with them. 

Become an Influencer

If you read the previous section, you already know there is a lot of money to be made as an influencer, so why not become one yourself? More than $3 billion was spent on influencer marketing in 2021 alone and that number will only continue to rise.  

It’s certainly no easy feat to become an influencer but it is most definitely possible. If your content is entertaining and unique, and you understand how to optimise the ever-changing TikTok algorithm, you could be on your way to making money on TikTok by just being you. 

As mentioned, you can charge businesses varying prices depending on the scope of your influence and the design of the marketing campaign. When you are approached by a business or agency, be sure to make the terms of the contract clear and in writing. Please note that you must disclose any post that is sponsored. This is taken very seriously by many governmental agencies. Check your local regulations.

You can also monetise your TikTok account by joining the TikTok Creators Fund. First, you must be over the age of 18. Second, you must have a minimum of 10,000 followers. Third, you must have accrued at least 100,000 views in the previous 30 days. If you tick all of these boxes, then you are eligible to apply for the TikTok Creator Fund using the app. 

Become a TikTok Account Manager

Have you already mastered the art of TikToking? Well then, your skills are in high demand. There are thousands of brands and small businesses looking for someone like you to manage their social media, especially their TikTok. 

Many traditional businesses have only recently begun to realise the power of social media in general, let alone TikTok. But the rise of Tiktok during the pandemic and its power to reach a young demographic has woke them up to the power of TikTok as part of their broader marketing campaigns. 

Start an Upwork account detailing your skillset and advertise yourself on your personal social media. Clearly state your terms and name your price. If you perform, you will most certainly have a steady income and repeat customers. There are loads of people that turn the management of other businesses TikToks into lucrative, full-time businesses of their own.

Monetise Your Music on TikTok

If you are a musician, put your music on TikTok ASAP. In 2022, TikTok announced a new “All in One” platform called SoundOn. The platform simplifies the process for artists to upload their music directly to TikTok and earn royalties when TikTokers use the music in their own videos.

If you sign up for SoundOn, you can also distribute your music to other streaming platforms such as Resso, Spotify, Apple Music, Deezer, Joox and Pandora…with only 1 click! You will also obtain 100% of your royalties on TikTok and Resso, for an unlimited amount of time and will have 100% of your royalties on all other platforms for the first year, after which, you will retain 90%. You will never find a better deal than that in the music business. Visit www.soundon.global for more details. 

make profit from TikTok

Final Thoughts

TikTok has been downloaded 2.6 billion times and the juggernaut shows no signs of slowing down anytime soon. There are many paths you can take to make money on TikTok. Even if you are a novice user, with this knowledge of how to make money on TikTok and with dedication and an infusion of creativity, you can start making serious money in no time at all. 

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