If you thought no social media app could make a dent in the social video market against the likes of Facebook Watch, Instagram and Snapchat, think again! Say hello to the wildly popular and extremely fast-growing app: TikTok.
What does TikTok do?
Launched in the U.S. in September 2017, TikTok allows users to create and share short videos soundtracked by music clips. Sounds simple enough, but it’s a very popular concept that people use as an outlet to express themselves through singing, lip-syncing, dancing, comedy skits and other physical activities. TikTok enables users to create these entertaining and engaging videos and share them across a like-minded community. As a result, by 2020, TikTok was comfortably the world’s number one most-downloaded non-gaming app.
TikTok is something that appeals to young people (and quite a few older ones) around the world, with the app really snowballing in popularity over 2018 and 2019. According to BusinessOfApp.com, as of 2021, TikTok is one of the world’s best-loved apps as evidenced by these incredible numbers:
- 689 million TikTok users internationally monthly
- 100 million TikTok users in the U.S. monthly
- 6 billion lifetime downloads of TikTok on iOS App Store and Google Play as of December 2020
- 2020 revenue estimated at $1 billion
- Valued at $50 billion.
Why so popular?
One big reason why TikTok is so popular and growing in dominance is because of the prevalence of trends, such as dance challenges for popular songs or videos aligned with popular in-app filters. When users upload a video, the audio of that particular video can be lip-synced or used by other users. The more users create playlists and consume content, the more they will feel like the app is their own. TikTok is so addicting because the algorithm TikTok uses puts content in front of users that they think the users will like. And users do like it — a lot. Plus, the videos are very entertaining and/or funny!
Yes, Instagram still has a larger audience than TikTok and has been downloaded more than 1.8 billion times globally. However, while Instagram leads TikTok in overall downloads, TikTok’s new user growth rate is substantially higher than Instagram’s.
Who’s using It?
TikTok has a reputation for being populated mostly by young users, but in actuality 66.9% of users are 20 or above, an ideal age range for auto intenders. TikTok users spend an average of 52 minutes per day on the app. In less than 18 months, the number of U.S. adult TikTok users grew 550%! As of March 2021, female users accounted for 58.4% of TikTok’s active user accounts in the U.S., making it an extremely effective tool for reaching female drivers. This is especially helpful for dealerships, as women are often the decision makers of the household when it comes to auto purchases.
How can it help your dealership?
TikTok represents an untapped market for most dealerships. This hugely popular app provides a unique opportunity to reach consumers in a fun, no-pressure environment that can help endear your brand to viewers. Based on the statistics and demographics above, TikTok could provide a great market for both first-time buyers and parents, especially young parents. In fact, parents on TikTok are 36% more likely to post about cars than non-parent users.
The best way to utilize TikTok properly is to post content that consumers find relatable, informative and fun. With TikTok, there is a huge demand for “real,” behind-the-scenes looks at interesting or unique industries/businesses. Car dealerships are an interesting place to work, and many customers on TikTok would appreciate an inside look at how things operate. You can utilize this platform to both showcase your inventory and show a more human side to your dealership. Car content is another great avenue for TikTok, with tips/hacks and desirable vehicles being especially popular. Using such trending tags as “#carlife” can help get your content in front of users. Some dealerships have seen fantastic responses to even simple videos with very little production required. As long as the content you are posting is fun and interesting, you could see millions of likes for a single post!
