How Much Money Can You Make off Creating TikToks?

Published June 22nd, 2021 - 02:00 GMT
TikTok has seen a spike in popularity since the beginning of the pandemic in the Spring of 2020. (Shutterstock: Mehaniq)

Ever wondered how you can earn money during the time you spend scrolling through your phone or using social media networks? Millions of influencers have been doing it for years, using a variety of platforms and offering diverse content.

Whether it is by blogging, vlogging, tweeting, posting pictures, or following dance trends, more and more non-professional content creators are making money every day taking advantage of their online presence and growing fan base.

While YouTube, Instagram, and Snapchat have been the most popular platforms for influencers over the last few years, TikTok has seen a sudden and major spike in users and creators alike ever since the COVID19 pandemic lockdowns began in the spring of 2020.

Even post-pandemic-lockdowns, TikTok continues to be one of the most popular platforms for people who like to share short videos online just as much as it is preferred by users who like to watch short videos. By January 2021, TikTok had 689 million global active users in about 200 countries, making its Chinese owner Bytedance the world’s most valuable startup ever. This huge reach has made TikTok a successful marketing tool.

People making money off TikTok are not only the ones who create the most appealing content or can go viral using a 30-second video. Rather, there have been a number of others ways that enable individuals of making money using this platform.

One way, other than creating successful videos, is to create popular accounts that attract the most followers before they can sell these accounts to businesses that plan to use the platform for marketing purposes. Accounts with a large fan base and a high engagement rate can serve as a great marketing platform for any brand.

This option has not been only popular amongst individual influencers who provide their own reviews of products and services on the platform. Brands and businesses are also increasing on TikTok to maintain a better online presence amongst younger generations. For instance, Dior joined TikTok in the summer of 2020 to promote the brand's products. 

In addition to the platforms' own features that enable linking direct purchasing pages to videos featuring products, it is also allowing brands to upload their product catalogs on the platform, for users to browse through it and buy some items.

Moreover, the platform has seen huge engagement with hashtags that highlight users' experiences with products they bought based on TikTok videos or recommendations, such as the #TikTokmadambuyit hashtag that has more than 3.3 billion views. 

In 2020 alone, TikTok's marketing revenue was near $1 billion, which is estimated to grow during 2021, considering the platforms increasing user base.

Popular users can also make money by having their fans gift or donate coins to them. The platforms enable users who go on live streams to receive coins from their fans, ones that can be converted to cash using PayPal.

Money made through brand partnerships and promotions on TikTok do not have fixed pricing. Instead, rates vary based on industry, geographical location, and account popularity, not to mention users' engagement rate with content. However, several influencers' marketing websites do offer "profit calculators" to help content creators have estimated numbers of how much money they can make using each platform.

In terms of TikTok, if a video received 1000 likes after being posted from an account with 10 followers (engagement rate of 20%) , it can make between $5 and $8 per post. TikTok calculators available online can help content creators further estimate the profit they can make using the platform once they fill in a set of numbers on follows, likes, and the number of posts they create. 

Which industries do you think can benefit the most by being present and active on a video-sharing app such as TikTok?

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