Executive Summary:
A Marketing Mix Modeling (MMM) study by Dentsu and TikTok analyzed the advertising impact of 15 brands across Norway, Denmark, Sweden, and Finland, revealing that TikTok is a powerful driver of both immediate sales and long-term brand growth.
Key Findings:
- Top-Performing Sales Channel: 75% of advertisers in the study saw TikTok as their highest-performing platform, delivering an average short-term ROI of 11.8, with sales effects lasting up to four weeks post-campaign.
- Long-Term Brand Impact: Beyond immediate conversions, TikTok generated an additional long-term ROI of 4.5, reinforcing its ability to drive brand loyalty and recognition over time.
- Always-On Strategies Win: Brands that maintained a consistent presence on TikTok rather than using one-off campaigns saw higher engagement, stronger brand recall, and sustained growth.
- Storytelling Outperforms Direct Promotions: User-generated storytelling content delivered a 70% higher ROI than tactical, sales-driven ads, proving that engaging, narrative-driven content resonates more with audiences.
Implications for Advertisers:
To maximize TikTok’s full potential, brands should adopt an always-on strategy, leverage creator-driven storytelling, and focus on authentic, engaging content rather than purely promotional messaging. By combining short-term conversion tactics with long-term brand-building efforts, businesses can sustain growth and maximize ROI on TikTok’s evolving commerce platform.
Read full article@ads.tiktok.com
