Cost of Advertising on TikTok

cost of advertising on tiktok

The rapid rise of TikTok as one of the most popular video platforms has opened up new opportunities for businesses to reach a massive audience at relatively low costs. Depending on the specific objectives of your campaign, such as brand awareness, app installs, video views, or traffic generation, you can use different strategies to optimize your return on investment.

There are multiple costs of advertising on tiktok that have different pricing structures and minimum spending requirements, such as in-feed ads (CPM), CPV, branded effects, and brand takeovers. To determine the best fit for your budget, we recommend conducting a few ad tests to understand which type performs best in terms of engagement and conversions.

Exploring the Cost of Advertising on TikTok: What You Should Know

TikTok’s ad marketplace offers a wide variety of targeting options, including age, gender, and state-level geo-targeting, as well as interest, behavioral, and more granular demo targets. The platform also allows you to select the duration of your ad.

In-feed ads are displayed within TikTok’s feed, and they are based on bids submitted by advertisers to win the rights to display their content in this space. In-feed ads can be set up as a CPM or CPV ad format, and they typically cost between $0.50 to $0.25 per thousand impressions, depending on the goals of your campaign.

CPV ads are charged for each view of your video or pre-defined interaction, and they’re typically used for engagement campaigns that drive traffic and conversions. They can be targeted at a CPM or a CPV rate, and the ad price will vary depending on the campaign goals, audience size, and the target location of your ads.