Why Your Small Business Needs To Be On TikTok
Discover why your small business belongs on TikTok and how to start reaching new customers today.
Key takeaways
- Recognize that TikTok reaches a huge, growing audience of adults, not just teens.
- Post short, authentic videos from your phone to build brand awareness at little cost.
- Use trends, sounds, and community engagement so the algorithm shows your business to new customers.
- Set up a free business account first, then test low-cost ads once you know what works.
What’s TikTok?
TikTok is a social media app built around short, viral videos. More and more small businesses use it to build brand awareness and reach new audiences.
Six reasons your small business belongs on TikTok
If you’re on the fence about starting a TikTok account for your business, here’s why you should reconsider.
#1 It’s huge
TikTok is one of the biggest, fastest-growing social media networks in the world, with more than 1 billion monthly active users worldwide. In the U.S. alone, TikTok has around 136 million monthly active users, making it one of the most-used social apps in the country. That’s a whole lot of potential eyeballs on your business.
#2 It’s where young people search for products
Young people use TikTok to search for products. Many Gen Z shoppers look for food, entertainment, services, and goods on the app, so if your business is not there, they will find your competitors instead.
#3 It’s not just for kids anymore
We all remember the not-so-distant days when TikTok was mostly known as a place where tweens go to post and watch silly dances. While this trend is still alive and kicking, TikTok is so much more than that now.
Today, most American TikTok users are adults over 18, and the 25 to 34 age group is the platform’s largest segment. More and more adults with money to spend—in other words, potential customers—are flocking to the platform for entertainment as well as information. Either way, they are thirsty for original and interesting content. Businesses that manage to grab their attention on TikTok are likely to think of you the next time they need a product or service.
#4 It’s easy and free
TikTok is free to join and low-cost to use. The most popular videos on TikTok aren’t necessarily the most refined and highly produced. Rough footage from your phone that looks authentic, will likely be better received on the platform than a 4K video that looks like a commercial production. TikTok’s app has all the built-in tools you need to create great videos right from your phone. No additional software, hardware, training, or monetary investment are necessary.
So, as long as it’s compelling, even with no budget or technical expertise, your small business’s content will look just as good as that of a larger company with greater financial means.
#5 It’s built for exploration
Unlike other social media channels, the default feed on TikTok doesn’t show content from accounts you follow. Instead, it offers hyper-specific recommendations for content you may like, according to your viewing history and interaction with the app. It does so using a proprietary machine learning algorithm, that pushes content people are engaging with.
This matters because even if your business doesn’t have a ton of followers it can still reach a lot of potential customers who have never heard of you but are truly interested in your product.
#6 Creative liberties
Brands can be a little less restrained on TikTok without hurting their credibility. Even big corporations go there to play and make fun of themselves a little bit, and the public response is typically very positive.
In other words, TikTok is a realm where self-humor and creativity are rewarded, so you don’t need to be afraid to jump on trends and experiment on your business’s account—no one expects you to be too serious there.
How to use TikTok for your small business
Getting started on TikTok is simpler than most small business owners expect. Follow these steps to turn a new account into a way to reach more customers.
- Set up a free business account. Sign up, switch to a business account in your settings, and add your website and contact details so people can find you.
- Post short, authentic videos. Use your phone to share behind-the-scenes clips, quick how-tos, or product demos. Real and relatable beats polished and expensive.
- Ride trends and sounds. Join popular trends and use trending sounds in your niche so the app shows your videos to more of the right people.
- Engage with your community. Reply to comments, answer questions, and follow other local businesses to build real relationships.
- Try low-cost ads when you are ready. Once you know what resonates, put a small budget behind your best videos to reach even more potential customers.
All we are saying is give TikTok a chance
While you’re probably not looking to become a TikTok star, an active account can raise awareness of your business and eventually bring in paying customers. It’s easy to set up and super fun to engage in, so why not join millions of American consumers and businesses (including Melio) by giving it a shot?
As new customers find you on TikTok, you will want an easy, secure way to send and receive business payments. Sign up for Melio to get started in minutes.
TikTok for small business FAQs
Is TikTok good for small businesses?
Yes. TikTok lets small businesses reach new audiences and build brand awareness with little upfront cost, and its recommendation feed can put your content in front of people who have never heard of you.
How much does TikTok for business cost?
Creating an account and posting videos is free. You only pay if you choose to run ads, and you can set your own budget and start small.
Do I need a TikTok business account to sell?
A free business account gives you helpful extras like analytics and contact buttons, so it is a smart choice for most small businesses that want to grow on the app.
*This blog post is intended for informational purposes only and is not intended as financial advice.
**Melio does not provide legal, tax or accounting advice, and you should consult with a professional advisor before making any financial decisions.