It seems like that's exactly what happens when you figure out how to monetize TikTok. We see it every day: countless influencers are making millions of dollars a year through their TikTok accounts.
It's no mystery why. Since its debut in 2016, TikTok has grown incredibly fast — it's the first app not owned by Facebook to hit three billion installs.
Making Money on TikTok: 7 Ways to Start Today
There are numerous opportunities to earn money on your favorite app. Here are some top TikTok monetization strategies for 2024:
1. Become a TikTok Influencer
You’ve probably heard the phrase, “Build it and they will come.” This idea applies to TikTok as well.
By building an account with a loyal and engaged following, you can secure influencer partnerships with brands worldwide that want to connect with your audience.
In influencer marketing, brands will ask you to promote their products or services in your TikTok videos. You can be compensated with money or free products from the company.
For instance, Charli D'Amelio, one of TikTok's biggest stars, partners with P&G, one of the largest brands globally.
While some people think that you need millions of followers like Charli to become an influencer, that’s not the case.
Many brands prefer to work with micro-influencers or influencers with a smaller number of followers. The definition of a micro-influencer can vary, but it generally refers to someone with between 5,000 and 50,000 followers.
To become a successful influencer, it’s helpful to have a niche or a specific theme for your account and posts. This way, brands can easily determine if you’re a good match for promoting their products and services.
2. Grow and Sell TikTok Accounts
Many businesses want a presence on TikTok but lack the time or resources to create and grow an account. You can offer them a shortcut by growing and selling TikTok accounts.
People have been building and selling social media accounts to make money for some time. For example, 23-year-old Ramy Halloun earns around $30,000 annually using this TikTok monetization strategy.
To successfully sell TikTok accounts, you need more than just a range of attractive videos. You’ll also need a specific focus and a dedicated following. Themed or “niche” accounts are easier to sell because the buyer can continue creating similar content to maintain followers.
For example, if you sell an account featuring short unboxing videos, the buyer can continue posting the same type of content. Personal accounts are harder to sell because followers may be more attached to the individual than the content style.
When flipping TikTok accounts, build a strong content strategy, engage with followers regularly, and advise buyers on how to get further engagement on their new account.
3. Publish Sponsored Posts
Another way to monetize your TikTok account is through sponsored content. Brands approach you (or you approach them) to feature their offerings in your video, and in return, they pay you a fee for your service.
Start by working with smaller brands to build your portfolio. Reach out to local businesses to see if they’d be interested in being featured on TikTok. Initially, you might charge a minimal fee, then increase your rates as you gain recognition as a TikTok creator.
Alternatively, consider joining the TikTok Creator Marketplace (TCM) if you prefer to charge higher fees and have brands come to you. TCM is a collaboration platform that allows brands to connect and run marketing campaigns with TikTokers.
However, to apply, you need to have over 100,000 followers, be at least 18 years old, and receive over 100,000 video likes in the past 28 days.
So if you’re a new creator, it’s best to focus on making creative TikTok videos that you can share with brands to secure sponsorships.
4. Sell Your Own Products
If you’re in the US, Canada, or the UK and have a TikTok for Business account, you may be able to add a shopping tab and product links to your profile.
The shopping tab is a new feature from TikTok’s partnership with Shopify. It helps TikTokers with a Shopify store promote their products through the app. Users who click a product link are redirected to the merchant’s Shopify store to make a purchase.
Although it's not a direct way of making money on TikTok, you’d still earn by generating sales for your business.
Pro tip: If you don’t have a lot of followers on TikTok, you can promote your products by creating unique TikTok videos. For instance, if you have a business selling food products, you can make 30-second recipe videos and share them on TikTok. Be creative!
5. Collect Donations
TikTok has an interesting feature called coins. If you’re eligible to live stream, you can collect these coins from your most dedicated and adoring followers, eventually exchanging them for cash.
Here’s how it works: Your biggest fan purchases coins, starting at $1.39 for 100 coins (with increments up to $139.99 for 1,000 coins).
If you’re live streaming, that user can send you coins or use them to buy you gifts. You can then turn coins and gifts into diamonds and convert diamonds into cash using PayPal.
Pretty cool, right?
The only catch is that live streaming isn’t open to everyone. TikTok hand-selects users for livestreaming, so you’ll need to have a solid account before you can monetize TikTok with this option.
Interestingly, the Chinese version of TikTok, Douyin, offers a similar feature: during live streams, account owners can include a “shopping cart” option to directly sell their products and services.
Some anticipate this feature will come to TikTok, offering another exciting way to make money on the platform.
6. Become a TikTok Consultant
TikTok is known for its rapidly changing trends, making it challenging for many companies to master. This dynamic nature creates high demand for TikTok consultants.
These specialists help brands build their presence and increase traffic to their TikTok accounts. If you understand how to create trend-worthy TikTok videos, you can teach others for a fee, monetizing your skills while fostering business relationships.
To succeed as a TikTok consultant, showcase your ability to generate thousands or millions of views on videos and leverage the app’s various features.
7. Start a TikTok Talent Management Agency
Do you have experience in talent management, social media marketing, or production? Consider launching a business that consults and manages accounts for popular TikTokkers.
Similar to talent managers for actors, TikTok talent managers help influencers maintain momentum after viral success. They assist with finding brand partnerships, negotiating deals, advising on content strategy, and exploring new monetization avenues.
How Much Money Can You Make from TikTok?
While you don’t need millions of followers to monetize TikTok, a successful account requires a strong, engaged following. Income potential often correlates with follower count, with well-known accounts earning tens of thousands to millions of dollars per post.
Tools like Influencer Marketing Hub’s TikTok Money Calculator can estimate potential earnings based on account statistics.
For instance, TikTokker Kody Antle, known from his dad’s appearance on Tiger King, with 28 million followers and a 0.75% engagement rate, might earn up to $27,800 per post.
If you’re still in the micro-influencer stages, your earnings will typically be lower.
For example, Carlos Ayala, with 112,900 followers and a 3.07% engagement rate, is estimated to make up to $114 per post. This illustrates how earnings can vary based on follower count and engagement levels in the micro-influencer tier.
To monetize your TikTok account, there are various strategies you can employ depending on your follower count and engagement levels.
How Many Followers Do You Need To Make Money on TikTok?
Technically, you can start making money on TikTok with as few as 1,000 followers, provided you find brands willing to sponsor your content. Another method is engaging with your audience through live videos, where fans can support you by sending gifts that can be converted into diamonds on your profile. Once accumulated, diamonds can be exchanged for cash via PayPal or other supported payment services, with a minimum withdrawal limit of $100 and a weekly cap of $1,000.
Joining the TikTok Creator Fund
Another option is applying to join the TikTok Creator Fund, which rewards creators who consistently produce quality content and engage their audience. To qualify, your account needs at least 10,000 followers, 100,000 video views in the past 30 days, and you must be at least 18 years old and based in select countries.
Summary: How to Monetize TikTok in 2021
Monetizing TikTok isn’t overly complex. It revolves around creating compelling content, growing your audience, and exploring different revenue streams:
Become a TikTok Influencer: Partner with brands for sponsored content.
Grow and Sell TikTok Accounts: Develop and sell niche TikTok accounts.
Publish Sponsored Posts: Feature products or services in your videos for brands.
Sell Your Own Products: Utilize TikTok’s shopping features if eligible.
Collect Donations: Engage followers through live streams to receive gifts.
Become a TikTok Consultant: Share your expertise in creating viral content.
Start A TikTok Talent Management Agency: Manage and advise TikTok influencers.
Approach TikTok monetization with dedication to creating content that resonates, and adapt based on what works best for your audience and goals.
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