How Much Do TikTok Ads Cost in 2024?

TikTok ads are actually cheaper than you’d expect, especially given that the platform has one of the most vibrant and engaged audiences. If your brand targets Gen Zs and millennials, advertising through TikTok for Business will offer visibility and might just save your business thousands in the long run.

Plus, TikTok ads aren’t difficult to set up. You don’t need technical knowledge to get started with the platform. If you don’t know how to create content that converts, you can even work with influencers to make highly engaging content that can quickly go viral.

I used TikTok for Business to run ads for my company, and the ROI has been surprisingly impressive. Not only did we see a significant uptick in engagement, but the conversion rates have also exceeded our expectations. Needless to say, TikTok has become our go-to advertising platform.

Check the prices below or sign up for a TikTok Business account right away.

TikTok Ads Pricing Breakdown

The average Cost Per Thousand Impressions (CPM) and Cost Per Click (CPC) for TikTok ads varies based on factors such as targeting, industry, ad format, and the specific objectives of the campaign. However, you’ll generally get a CPM from $10 to $30 and a CPC of $0.50 and $2.00.

Here’s a breakdown of TikTok ad pricing for the different ad formats:

• In-Feed ads: Starting at $10 per CPM, with a minimum campaign spend of $500.
• TopView Ads: Starts at $50,000 per day, depending on the campaign’s reach and duration.
• Branded Hashtag Challenge: Pricing starts from $150,000 for a 6-day challenge, including promotion across various TikTok placements.
• Brand Takeover Ads: Starts at $20,000 per day for exclusive access to the app’s launch screen.
• Branded Effects: Starting at $45,000, allowing for the creation of custom filters, stickers, and effects for up to 30 days.
• Spark Ads: Utilizes organic posts as ads – pricing varies based on the bidding strategy but generally follows the CPM model used for in-feed Ads.

Average TikTok Influencer Rates

The average cost of partnering with a TikTok influencer varies based on their follower count and engagement rates. Nano-influencers (1,000 – 10,000 followers) usually charge between $4 to $25 per post, while mega-influencers (1M+ followers) can command rates between $1,600 and $2,400 per post.

The specific rate depends on several factors, including the influencer’s niche, audience engagement, and the campaign’s complexity. On average, TikTok influencers charge around $465 for a sponsored post​.

TikTok Paid Ads Program Details

In the past, businesses worked independently with influencers to create TikTok content and advertise products. However, TikTok now has a formal Ads program. It can help you reach a vast audience through creative and engaging content.

The TikTok Paid Ads Program allows you to create ads that blend seamlessly with user content, making them less intrusive and more engaging. To get the best of TikTok Ads, you must design ads that mirror the look and feel of native TikTok videos.

Users can interact with your TikTok ads by liking, commenting, and sharing them just as they would with any other content on the platform. These ads are less intrusive and blend with organic content, translating into a higher engagement rate overall. Here are some of TikTok’s Paid Ads formats you should be familiar with.

In-Feed Ads

These ads appear on TikTok’s “For You” page, blending with organic content in a user’s news feed. In-feed ads last about 15 seconds and can be used for various campaigns, such as promoting apps and websites. So, you can create different types of call-to-action (CTA) options for app downloads, website visits, and others.

To launch an in-feed ad campaign, you need a minimum budget of $500 or a rate of $10 per impression. So, if you’re a small business or a creator trying to promote your brand, I recommend you start with in-feed ads. They’re more affordable and also provide an excellent return on ad spend (ROAS).

Mistol, a Spanish cleaning and home care brand, leveraged TikTok’s in-feed ads to boost brand awareness and promote sales. In just over 2 months, the campaign led to a 206% increase in sales and a 175% rise in market share at hypermarket points of sale. Additionally, the campaign improved the click-through rate by 46% over basic product videos.

Spark Ads

Spark Ads lets you boost organic posts by turning them into ads. Like in-feed ads, they are displayed within the “For You” feed and other places where organic posts are found. It usually costs the same as in-feed ads, starting at $10 per thousand impressions (CPM).

Unlike in-feed ads, you can link spark ads to a TikTok account, not just a landing page. So, users can easily browse your profile and check other content on your page. But spark ads can also include a CTA button leading to landing pages, so you can adjust your ads to promote your TikTok account or brand website.

Top View Ads

TopView Ads show up first thing when users open the app. They last up to 60 seconds, enough time for a short video marketing your product or brand. Like in-feed ads, you can also add CTAs to the ads, but the engagement here is much higher.

To run TopView Ads on TikTok, you need a significant budget. While TikTok doesn’t publicly list fixed prices due to varying factors such as targeting, location, and campaign duration, the starting budget for TopView Ads often requires a minimum investment of $50,000 to $150,000 daily.

Branded Effects Ads

Branded Effects Ads allow users to interact with your brand through custom filters, stickers, and effects within the app. Available within the creative tools section, these effects can last up to 10 days. When a user makes a post using your filter, it’ll give your business visibility, especially if the post trends. It costs $45,000 per month to run branded effects ads.

Brand Takeover Ads

Brand Takeover ads display 3 to 5-second full-screen promotions when users open the app for the first time. On TikTok, users can only see one Branded Takeover ad each day. So, this exclusivity results in higher costs for these ad spots due to reduced competition.

Branded takeover ads can bring in significantly more traffic if you’re launching a new product. Running this ad format costs around $20,000 to $50,000 per day. Given that brand takeover ads secure almost 9 million impressions, roughly $0.01 per impression, I’ll say it’s worth the investment.

Branded Hashtag Challenge Ads

Branded Hashtag Ads allow TikTok users to create their own videos around a sponsored hashtag for your brand. These ads are displayed on TikTok’s Discovery page and have an average engagement rate of 8.5%.

Here’s how it works. When viewers click on a branded hashtag challenge on TikTok’s Discover Page, they’re directed to a dedicated page showcasing the challenge’s details, rules, the sponsor’s logo, and a website link. Participants then create and share their own videos using the challenge’s hashtag, promoting the brand through their content.

At around $150,000 for 6 days, launching a branded hashtag challenge on TikTok can be very expensive for the average advertiser. Stick to in-feed and spark ads if you’re a small business with a limited advertising budget.

Strategies To Reduce Your TikTok Advertising Expenses

If you want to reduce your TikTok advertising expenses while still achieving effective reach and engagement, I recommend you use the following strategies:

Use TikTok’s Detailed Targeting Options

TikTok allows you to narrow your audience based on interests, behaviors, demographics, and more. When you specify your target audience, you can ensure that your ads are only shown to users most likely to engage with your content. For example, if you’re selling fitness equipment, you should target users interested in health and wellness to increase ad relevance and efficiency.

Leverage Creative and Engaging Content

The success of your TikTok ads heavily relies on creativity and engagement. Create content that resonates with TikTok users’ preferences using authentic and entertaining videos. You can use trending sounds, engaging hooks, and clear call-to-action to increase your ad’s performance without increasing costs.

Utilize TikTok’s Ad Optimization Tools

TikTok offers various ad optimization tools that automatically adjust your ad placements and bidding to achieve the best results within your budget. Set your campaign goals, and let the platform’s algorithm optimize for conversions or engagement. This way, you won’t overspend on underperforming ads.

Schedule Your Ads Strategically

Timing can significantly affect your ad’s performance. To get the best of your TikTok ads, analyze when your target audience is most active on TikTok and schedule your ads accordingly. This will ensure your budget is spent during peak engagement times, reducing the need for higher bids to compete for visibility.

Monitor and Adjust Bids Regularly

TikTok’s advertising platform operates on a bidding system, where costs fluctuate based on competition and demand. If certain ads perform well at a lower bid, you should reduce the bids on underperforming ads. You can also set up bid caps to help control your costs, preventing your campaigns from exceeding your budget.

TikTok Advertising Compared to Other Platforms

TikTok’s advertising options fare very well compared to other social media platforms, especially if you’re targeting a younger audience. The ads are mostly displayed in users’ feeds, resembling organic content, so it’s very easy to get high levels of engagement. Plus, TikTok offers opportunities for brands to connect with Gen Z and millennials through trends and challenges.

If you’re into beauty and fashion, TikTok’s predominantly young female audience is a goldmine for advertising. This demographic loves staying on top of the latest trends and products, so you can showcase what you’ve got to the right audience of ready buyers.

Facebook

Facebook is a veteran in advertising and has developed very effective targeting options over the years. Like TikTok, it offers different ad formats such as single image, video, carousel, and collection ads. However, most young people are moving away from Facebook to platforms like Instagram and TikTok.

Instagram

You can manage Instagram ads through the same interface as Facebook ads. Like TikTok, Instagram offers visual storytelling tools, making it ideal for brands with strong visual content. However, Instagram ads don’t offer the same level of organic engagement and viral potential as TikTok ads.

Twitter (X)

Twitter’s advertising platform focuses on real-time engagement and trending topics. You can use it for campaigns that capitalize on immediate events or discussions. Twitter’s ad formats include promoted tweets, trends, and accounts. Twitter’s broad demographic and more serious tone might make it difficult to make your content resonate with the right audience.

Here’s a graph showing the CPM rates for TikTok, Facebook, Instagram, and Twitter (X):

TikTok’s average CPC is more affordable because it targets a highly engaged, youthful audience. Long story short, you can reach more people who are genuinely interested in your brand without breaking the bank. Plus, TikTok’s creative and trend-driven environment encourages users to interact more with ads, which lets you create more successful campaigns.

How To Promote Your Business on TikTok

You can take advantage of TikTok’s engaged audience to promote your business and get more sales. Unlike many other social media platforms used by various audiences, TikTok is home to Gen Zs, millennials, and a generally younger population with more purchasing power, which is good news for businesses.

Here are simple steps to promote your business on TikTok:

Create Original Content

The heart of TikTok’s appeal lies in its original, creative content that resonates with a broad audience. Crafting videos that align with current trends, utilize popular music, and incorporate engaging visual effects can drive higher engagement.

Think about integrating your product or service in a way that feels natural and entertaining to the viewer, thereby promoting your brand without overtly selling it.

Collaborate With Influencers

Partnering with TikTok influencers can extend your reach to new audiences. Influencers range from nano (1,000–10,000 followers) to mega (1,000,000+ followers), and their rates vary significantly.

For instance, micro-influencers (10,000–50,000 followers) might charge between $50 to $200 per post, offering a cost-effective route to tap into highly engaged communities. Ensure your chosen influencer’s audience aligns with your target demographic to maximize impact.​

Run TikTok Paid Ads

TikTok’s advertising platform offers formats like in-feed Ads, Brand Takeovers, and Branded Hashtag Challenges. With these formats, you can tailor your ads to fit your campaign goals, whether increasing website traffic, boosting app downloads, or enhancing brand awareness.

Get Insights Into Your Campaigns

Understanding the impact of your advertising efforts is crucial, and TikTok provides comprehensive analytics to help in this area. Luckily, TikTok offers detailed analytics, allowing you to monitor your ad performance to adjust strategies for optimal results.

TikTok offers insights into how users interact with your ads, such as likes, comments, shares, and the completion rate of videos. You can leverage these insights to fine-tune your targeting, content, and overall strategy. These tools are accessible via the TikTok Ads Manager, where you can generate detailed reports to guide future advertising decisions.

Advertise Your Business on TikTok

TikTok offers efficient and effective tools to advertise your business. Unlike other social media platforms where you’d have to narrow your targeting options from a broad audience, TikTok has the largest audience of Gen Zs and millennials. With their high engagement levels and purchasing power, these users have the potential to skyrocket your ROI.

Plus, TikTok ads are very affordable. A low starting budget of $500 can yield thousands of impressions. The platform’s algorithm favors viral content, enhancing the likelihood of gaining significant value from TikTok for Business ads.

Jumping into TikTok ads is a breeze, and tracking your success is as straightforward. With TikTok’s intuitive ad platform, you can kickstart your campaign quickly and use built-in analytics to monitor your progress

FAQs

How much does it cost to put an ad on TikTok?

TikTok requires a minimum budget of $500 for campaigns, with an average Cost Per Mile (CPM) of around $10. With this amount, you can run TikTok’s in-feed ads that appear on a user’s “For You” page, blending seamlessly with organic content.

Is TikTok paid ads worth it?

Yes, TikTok paid ads are worth it, especially if you target a younger audience. With its high engagement rates and viral potential, TikTok offers unique opportunities for brands to connect creatively and authentically with Gen Z and millennials.

How much does it cost to promote a TikTok post?

You need a budget of $500 for TikTok paid ads, but expenses can increase significantly depending on the chosen ad format. Promoting a post on TikTok can be particularly effective due to its young and engaged demographic, making it a valuable investment for businesses. Additionally, you can collaborate with influencers to further amplify your reach and impact.

What is the minimum budget for TikTok ads?

The minimum budget for TikTok ads is $500 for in-feed ads. You can run ads for your business to TikTok’s young audience with creative video content.

What is a good CPC for TikTok ads?

A good Cost Per Click (CPC) for TikTok ads varies, but it shouldn’t be more than $1.00. This figure, however, depends on the industry, target audience, and the specific objectives of the campaign, with costs fluctuating based on these factors​.