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TikTok Improves Digital Creator Monetization

TikTok Improves Digital Creator Monetization↘

While TikTok is rapidly expanding and on track to become the most popular social media platform in terms of total time spent in 2022, one impediment to its dominance could be its lack of digital creator revenue opportunities.

As TikTok’s key competitors, both Meta and YouTube have attempted to exploit their efforts to slow the expansion and growth of the short-form video app's popularity.

However, the latest TikTok news is that this innovative platform has once again stepped up to the challenge of creating additional income opportunities for digital creator accounts via the new TikTok Pulse program.

What Is The TikTok Pulse Program?

TikTok Pulse is a digital creator monetization program which enables advertisers to run adverts alongside the application’s most popular content while simultaneously providing a new revenue-share channel for creators without the need to arrange separate brand deals.

- “Marketers today are looking for the opportunities to be on the pulse of relevant cultural moments.
- TikTok Pulse places brands at the heart of TikTok communities alongside the trending content that is driving conversation and action.” - TikTok
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How Does TikTok's Pulse Program Work?

So, how does TikTok Pulse work? Well, as the latest TikTok news suggests, utilising the platform’s new digital creator monetization scheme enables businesses to place their ads alongside TikTok Clips that are in the top 4% of top performers on any given day.

In a nutshell, performance criteria are based on views and interactions and being linked to popular content allows advertisers to ensure that their content generates the most views.

Additionally, marketers using Pulse will also be able to place their ads in one of 12 categories, allowing brands to place their business next to the most culturally relevant content on the platform in areas such as; beauty, fashion, gaming and so on.

However, it should be understood thatads will only appear alongside certified content to ensure brand safety, with additional post-campaign monitoring techniques such as third-party brand compatibility and viewability verification to ensure complete transparency.

TikTok added:

- “With TikTok Pulse, we will begin exploring our first advertising revenue share program with creators, public figures and media publishers.
- Creators and publishers with at least 100k followers will be eligible in the initial stage of this program.
- We’re focused on developing monetization solutions and available markets so that creators feel valued and rewarded on TikTok.”

The TikTok Creator Fund

Did you know that TikTok's Creator Fund is the company’s principal source of revenue for creators?

Similarly to YouTube's Partner Program, the most popular creators on TikTok will soon be able to earn money by simply sharing a video within the application which is a very strategic move from the platform as it attempts to optimise its growth prospects.

However, this method of monetization is also highly volatile with payouts declining as TikTok’s overall performance improves.

TikTok’s Creator Fund vs TikTok’s Pulse Program

Generating any form of payout for content on TikTok is a big deal and this is especially true for the smaller digital creator accounts on the platform.

However, it’s no secret that more established creators who rely on the income they generate will require a more sustainable and stable pathway.

Therefore, as TikTok’s Creator Fund does not offer stability to digital creators on the platform, the Pulse program might be able to provide a better avenue, generating strong views with each video uploaded.

Furthermore, this approach to content monetization could also encourage creators to continue posting within the app more frequently, as opposed to moving away from TikTok and moving onto YouTube instead.

TikTok vs YouTube

Make no mistake in thinking that TikTok's revenue-sharing options are anywhere near those offered by YouTube, as the platform currently pays out billions to digital creators through its Partner Program each year.

In 2021, YouTube produced $28.8 billion in ad income, with a large portion of this sum going to digital creator accounts. Therefore, TikTok does have a long way to go if it wants to catch up and beat the competition.

However, being the most popular app of the time does have its advantages and if TikTok can provide even a moderately equal payment pathway for creators, that will likely be enough to keep them uploading rather than building a YouTube presence alone.

On the other hand, views for YouTube Shorts are increasing and with Shorts essentially serving as a promotional tool for YouTube channels, where creators can earn real money, this is a very enticing prospect that could eventually cause YouTube to become the channel of choice for more creators within the foreseeable future.

So, even though the TikTok Pulse program is only in the initial stage of release, the launch of this digital creator monetization tool is such a big deal for the platform's future.

While we don’t yet have the full details of how the program will work, or how much digital creators will be paid, this latest piece of TikTok news is the next evolution for the app, which could end up being the factor that secures its future within the market.

So, what are your thoughts on TikTok’s approach to generating monetization opportunities for digital creator accounts on the platform? Reach out and let us know.

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