Beauty influencers film tutorials for their social media followers.
President Biden last week signed legislation banning TikTok in the US unless parent company ByteDance sells its US shares. This move affects his more than 170 million users and his $24 billion economy.
Is this the end of TikTok as we know it? It's not that fast.
Remember, the US has the largest TikTok audience in the world, with 148 million monthly unique visitors.
Here's how creators, marketers, and advertisers are reacting to the news and preparing for what's next. Read direct feedback from Creator Economy members.
Get the most out of TikTok before it gets banned
The ban has raised concerns about the future of individuals and businesses that rely on TikTok for income, but they are not giving up. In fact, they are adapting.
Among them are creators like Kusha Nori, a beauty industry expert and social media strategist who built a brand on TikTok. Nori, who has landed countless brand deals from TikTok, including securing a coveted role on Sephora Squad and consulting for Fortune 500 brands, credits his success to TikTok.
According to Nori, “There is a lot of money to be made on this platform between now and a possible ban, especially as brands ramp up their strategies around TikTok Shops.”
For Nori, this is not just a hunch. TikTok is rising in social commerce, with U.S. e-commerce sales expected to grow 10 times to $17.5 billion by 2024 compared to 2023.
Industry experts like Ivan B., founder and CEO of IGNITE Agency and host of the TikTok Shop Insiders Podcast, urge you to accelerate your TikTok Shop strategy to take advantage of the immediate growth opportunity.
Steven Johnson, vice president of digital and growth marketing at DIFF Eyewear, echoed similar sentiments, saying there are potential benefits for advertisers amid market changes and for brands that continue to advertise on the platform. He pointed out that it would be a cost-effective option.
Diversifying channel mix
For individuals involved in the creator marketing ecosystem, TikTok's ban highlights the importance of platform diversification. Cohley co-founder Eric Graeber emphasizes the need to diversify marketing channels beyond TikTok.
If you're a brand or company that relies solely on TikTok to drive your business, consider incorporating other social channels into the mix.
With budget changes likely on the horizon, Graeber recommends securing your brand's username on alternative platforms and experimenting with content diversification to adapt to evolving consumer trends. doing.
Digital influencers like Nori advise other creators to take a solution-focused approach by leveraging their existing TikTok presence to cross-influence other platforms.
“Banned or not, I always say platform diversification is your best friend. Spreading your content across multiple platforms is in your best financial interest and insurance.”
Relying only on one platform can be a risk for both creators and brands. Through platform diversification, influencers like Nori build a net of safety by establishing a presence across multiple platforms, increasing the resilience of their personal brands to unexpected changes and disruptions in the digital realm. can be secured.
Additionally, he also noted that collaboration deals with brands are on the rise. cross post This reflects the changes that both brands and creators have been making in anticipation of the ban.
Develop an emergency response plan
Navigating the ever-changing social media landscape is nothing new for creators and brands. Industry insiders have seen the rise and fall of platforms like MySpace, Google+, and Vine. Did I mention Twitter…I mean, X? Creators and marketers alike need to prepare for adjustments as new regulations roll out.
Graeber encourages agencies like Corey to encourage brands and creators to consider moving to other short-form video platforms, such as YouTube Shorts, Reels, and Amazon Inspire.
Given that some brands are expected to allocate 20-25% of their budgets to TikTok this year, if ByteDance does not sell its US shares and TikTok is permanently banned, advertisers and brands will It is necessary to consider reallocation of this budget. Now is a good time to outline Plan B.
Meanwhile, creators can continue to test different platforms and learn what content resonates with specific audiences. Test, learn, and repeat.
final thoughts
The future of TikTok in the US remains uncertain, making it important for creators, brands, and advertisers to prepare for all possible outcomes. Some creators look to maximize their presence on the platform before the deadline, while others focus on diversification across channels like YouTube Shorts and Instagram Reels.
Marketers are also reevaluating their strategies, with some anticipating a shift in budgets to alternative platforms. With the future of TikTok hanging in the balance, one thing is clear. Creators and marketers are already planning for multiple outcomes in a rapidly evolving digital environment.
