YAHOO FINANCE: ON THE MOVE PANEL
Earlier last week, our very own Evan Horowitz joined Yahoo Finance for their afternoon segment, On the Move, to discuss the latest trending topic: TikTok.
Watch the full interview on Yahoo Finance or keep reading for a quick round up of the insights discussed.
Yahoo Finance: As we await the news on the fate of TikTok in the US, let’s discuss what influencers and advertisers are currently doing on the platform. Has this discussion about what’s going to happen with TikTok trickled down to influencers and advertisers?
Evan: Movers+Shakers has been working on TikTok for over a year now. Most advertisers are really in one of two camps:
They’re not too concerned and they really want to be where consumers are, which is increasingly on TikTok
They have been and continue to be much more cautious from a political and legal standpoint
We’re actually seeing an increasing amount of momentum. More brands want to get on the platform every day and are excited to reach consumers there, despite all the discussion in the media.
Yahoo Finance: When you think about the individual brands that you work with, which ones seem to be doing the campaigns right? What are the areas you feel are really popping off right now?
Evan: We have quite a diverse client base. We work a lot with e.l.f. Cosmetics who has been one of the pioneers on TikTok. We work with Warner Brothers who has really leaned into the platform including for the launch of TENET that is currently reopening theaters.
The brands that are really succeeding on TikTok are the ones that are entering with an understanding of the nuances of this platform. It’s a unique place. It’s different in many ways from the existing platforms, and in some ways, it’s the opposite of Instagram. While Instagram is polished and beautiful, TikTok is raw, real and authentic. The brands that are really successful understand these nuances and the campaigns they are creating on TikTok really fit that local, authentic feel.
Yahoo Finance: I wanted to ask you about some of the other potential competitors to TikTok. I’m talking about Reels (speaking of Instagram) and Triller, which I hadn’t even heard of. Are they real competitors? Are they actually attracting influencers and advertisers?
Evan: There’s no question that TikTok has a huge head start, and the platform is extremely robust. The algorithm TikTok has is what makes the app so addictive, and that provides an incredible amount of stickiness. As soon as you get on TikTok, it immediately starts to learn your preferences and all of a sudden you just have a great experience on the app.
Triller is really interesting. It’s much smaller and has a different demographic. It’s much more popular in the Urban and music community. It’s a serious thing, but it’s also a separate thing. TikTok just has a much broader user base.
Reels is interesting because, of course, it’s from Instagram and we know they have a lot of resources to put behind it to make it successful. Right now it’s light years away from TikTok. I do have confidence that Facebook will put the resources in, over time, and eventually I think they’ll get it right, as we saw them do with Stories.
Yahoo Finance: Imagine a scenario where TikTok actually gets shut down in the US. What would happen? Who would benefit? Who would that hurt?
Evan: This is very unlikely. The market understands that. Advertisers that we work with consistently are very confident that there will be a resolution. There’s a very small chance that anything will happen to TikTok in the US. That said, we think about it as a possibility and we want to make sure our advertisers have contingency plans.
The thing to remember is that the underlying consumer behavior that’s driven the rise of TikTok is still there. You can’t ban consumer preferences. TikTok’s growth is because it provides something that consumers are looking for which wasn’t being satisfied on other platforms. So what we’re going to see if TikTok goes away is that consumers are going to be looking to scratch that itch on other platforms.
