How Swiss brands can win over Gen Z on TikTok

TikTok was originally released in the Chinese market in September 2016, and after merging with another Chinese social media service, namely Musical.ly, was made available globally on August 2, 2018. As the most downloaded app in the world in 2020 TikTok is now  is available in over 150 countries and has over one billion users.

TikTok users are much younger, with 60 percent belonging to the so-called Generation Z. About one-third, or 32.5 percent, of U.S.-based TikTok users are 10 to 19 years old. TikTok recently established a $1 billion Creator Fund. This money is paid directly by TikTok to its content creators to further strengthen relationships with influencers.

Some surprising TikTok trends

Even though TikTok's largest demographic is Gen Z, older users are also becoming more active. TikTok shared new data on this growing trend: "Every day, millions of parents, teens, grandparents, and other groups come to TikTok to share snippets of their daily lives. What's unique is that often the whole family participates together - even teenagers aren't afraid to do it. It used to be a challenge to get everyone to sit still for a photo; now we see perfectly choreographed dance routines by the whole family, including grandma." TikTok also notes that parents are happy to share "tips, tricks and in-depth knowledge" on the platform.

Why brands should use TikTok

TikTok enables brands to communicate with younger generations in a way that grabs their attention: through creative short videos. TikTokers are also extremely active and interact heavily on the platform:

Fortunately, these high engagement rates also include brands. During the pandemic, interaction with brands' social media posts has increased, and TikTok users* are increasingly active when interacting with brands online. Across all networks and industries, the average increases are as follows:

• 44 interactions more per day
• 7.3 interactions more per post per day

TikTok users also interact with brands at a 31 percent higher frequency than users of other platforms.

TikTok's unique algorithm makes it possible to tailor content very precisely to users' preferences, and is one of the most four main reasons why TikTok will grow in 2021 and further expand its appeal. It presents users with exactly the content they love and want to see.

But there is more good news for the advertising market: Many people are not only present and very active on TikTok, but are also not afraid of advertising. According to Adweek "Gen Z doesn't mind being advertised to as long as the campaigns showcase their own entertainment and brand values that they can get behind - lucky for advertisers."

What can brands do on TikTok?

TikTok is definitely the new battleground for consumers' hearts - both today and in the future. Even though the platform is especially popular with a younger audience, brands of all kinds are striving to connect with them through TikTok. Among them is Porsche, for example.

So here's what brands looking to get started with TikTok should do:

• Stay relevant
• Make campaigns interactive
• Putting people in focus
• illustrate the values of the brand

How do brands get creative on TikTok?

For brands that are inherently visually strong, such as fashion or makeup brands, coming up with creative ideas can be quite easy. But what might a bank post, for example?

PostFinance has had great success on TikTok. On the PostFinance account, a mix of funny home office videos and short videos about the services are shared. PostFinance has also shared many HR marketing videos to illustrate their work environment in order to position themselves as a desirable employer.

The condom company Ceylor Switzerland uses humor, accompanied by current pop music, to inform the public about the importance of always practicing safe sex. In this way, this creative brand's posts make it clear, even to non-German speakers, that there's no reason to avoid condoms because they might be too small.

How can brands drive conversions & sales on TikTok?

In a recent study, about half of TikTok users said they discover new products through ads posted by a product or brand.

A large audience is great. A large, interacting audience is even better. And best of all, the platform makes it easy for that audience to convert to customers within the platform: Because that's the formula for outperforming other leading social media platforms.

The platform is investing heavily in social commerce and its features to help brands set up ads. The TikTok pixel, a small piece of code that can be placed on a website, helps brands find new customers, optimize their campaigns, and measure the performance of ads.

To help merchants* create and implement campaigns targeted at TikTokers, TikTok announced in October 2020 a global partnership with Shopify an e-commerce platform for online stores and retail sales systems. The partnership makes it easier for Shopify merchants to leverage the creativity of the TikTok community, get discovered and optimize their marketing campaigns.

* Yoeri Callebaut is chief growth and marketing officer at social media and influencer marketing agency Kingfluencers.

Kingfluencers offers a full-service approach for brands - from strategy to execution to optimization, including TikTok influencer marketing, TikTok ads/performance marketing and social commerce optimization.