TikTok's audience skews younger, with the majority between 18-34, but it also attracts younger teens aged 13-18. If reaching this demographic is your goal, TikTok advertising is worth exploring.
How much do TikTok Ads cost?
Initially, TikTok’s promotional platform was expensive, with costs ranging from $50,000 to $150,000 for branded takeovers and hashtag challenges. However, TikTok’s self-service ads are now much more affordable, making the platform accessible for small and medium businesses.
We’ll focus on these self-service ads, similar to those on other social media platforms.
Two main factors influence TikTok ad costs: the amount you pay for specific actions (like clicks) and your overall budget.
Cost for specific actions
Like most other similar platforms, the exact costs of TikTok Ads vary based on a number of factors, including:
The audience you’re targeting and how in-demand they are
Overall marketplace competition (e.g., costs might rise during holidays)
The ad type and objective (clicks, views, etc.)
According to Business of Apps, benchmarks for TikTok ad costs are:
Cost per thousand impressions (CPM): $3.20 - $10
Cost per click (CPC): $0.25 - $4
CPM: Starts at $10.
CPC: $1.
Minimum spend requirements
You can control your total budget for a TikTok ad campaign, but there are minimums:
$500 per campaign.
$50 daily at the campaign level and $20 daily at the ad group level
Ok, let's make this make sense. Ad accounts are broken down into three levels: Campaign, ad groups, and ads. Campaigns allow you to make high-level decisions, such as choosing an objective. Each campaign can have multiple ad groups, which allow you to set decisions like budget and audience targeting. You can create multiple individual ads in each ad group, which are the actual creatives that users see.
