Many people are questioning themselves on how TikTok makes money, yet it is still unclear to the public. Since TikTok is still at its Infant stage, strategies about monetization have not been revealed. On the contrary, researches have been made to know how TikTok Company makes money and we came out with some results:
- In-app purchase: It consists of the purchase of coins, these coins are starting from 100 to 10,000. These coins can be exchanged into digital gifts mostly offered on live streams to your favorite content creators. Crunch base revealed that TikTok earns up to one million dollars every year through the in-app purchase.
- TikTok Ads: Just as on YouTube, TikTok displays businesses advertisement. When made correctly the viewers might not even realize it is an ad. However, at some part of the video, a link or a button shall appear to buy the particular product. Besides, those business companies pay TikTok for such an advert.
- Fundraising: It is one of the techniques TikTok uses to earn money. Fundraising is the act of collecting money by calling for donations from individuals, associations, and businesses. It is done particularly when tragic events arise for example the massive explosion in Lebanon, to support charity events for orphan children, etc.
How Much Revenue Did TikTok Make in 2019?
In 2019 TikTok became so much popular with more than 500 million active users. Byte dance the parent company of TikTok was recognized as the most valuable startup company in the world. Although it was made popular by teenagers, old-age groups are found as well. As stated in the analysis, TikTok Byte dance’s income has reached over seven billion dollars in 2019.
From Where TikTok Gains the Most Revenue?
Through its wonderful and numerous downloads, Tiktok is among the best-known apps in the world. Nowadays, everybody knows TikTok. It is a mixture of so many social Media with outflowing creativity. Consequently, TikTok gains more of its revenue on Advertisement from a business company. Likewise, Business brands get to be known at a fast rate and increasing the revenue of the business as well.
FAQs About How TikTok Gains Money
Through in-app purchase, through features of ads on videos, fundraising.
Yes, through various partnerships with brands.
The CEO of TikTok is Kevin Mayer but the founder is Zhang Yiming of Byte dance.
TikTok is one of the must-have apps and it consists of a mixture of so many social media. To conclude the monetizing strategies of TikTok has not been revealed yet but TikTok earns money through In-app purchase, Ads, and Fundraising. If you liked this article, be sure to check out our other articles to learn more about TikTok.