Paid media campaigns on TikTok yield higher ROI and ROAS for CPG brands

New Ideas in MarketingEssential news for marketers, summarised by YouGov
January 11, 2022, 1:34 AM GMT+0

TikTok and Nielsen analysed 16 campaigns across North America, Europe, and Southeast Asia.

US paid media ROAS for TikTok was 14% higher compared to all digital media models, while ROAS for paid media was 64% in Europe. Moreover, sales efficiency was two times higher than the digital media average in the US.

In-feed video is the most effective ad type for increasing audience response in TikTok campaigns. Advertisers can enhance ad placement in the app to boost performance and enhance weekly in-feed impression volume by 50%, going by the US model.

14 of the 16 campaigns studied displayed a strong campaign lift, as each campaign's average ROAS exceeded NCS median campaign performance by times two. Brands that are able to adapt to the platform's trending styles and formats, enjoy a positive sales spike in-stores.

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