Best Types of Businesses for Advertising on TikTok

Maximise your marketing ROI with TikTok Ads

TikTok, the sensational short-video platform, has taken the world by storm. With its massive user base, engaging content, and viral trends, it’s no surprise that businesses are increasingly turning to TikTok Ads for advertising.

So… Why is TikTok an increasingly thriving goldmine in marketing amongst certain types of businesses? Well, this is what you’re here for! So let’s find out what types of businesses are thriving on the platform which might just inspire your very own TikTok Ads campaign!

TikTok is currently running promotional Ad credit incentives for UK businesses which you can learn more about by clicking the image link below.

*Affiliate Disclaimer – The Better Buy is part of the TikTok For Business Affiliate Program whereby we may earn a small commission for referrals. This doesn’t affect you in any way and by doing so helps us run our website.

Is TikTok Good for Business Advertising?

TikTok as a Marketing Platform

TikTok is not just a platform for funny dance challenges; it’s a marketing powerhouse. With over 1 billion monthly active users worldwide, TikTok offers a vast and diverse audience. Millennials and Gen Xers alike are active on TikTok, making it an ideal platform for reaching multiple demographics.

What sets TikTok apart is its algorithm, which promotes content virality. When users engage with your video, it can quickly go viral, reaching thousands or even millions of viewers. This organic reach is a dream come true for marketers who are looking to benefit from its organic reach potential.

The downside to this is the competition. With billions of users comes a high possibility your content may not get the exposure you’d hoped. This is where TikTok Ads are proving to be very successful for small businesses as it essentially gets you to the front of the cue as you’re paying for exposure to interested audiences.

You can promote any kind of niche, so before you think “My niche isn’t funny or interesting”… STOP! Just be reassured no matter what your business specialises in, there’s potential to reach millions of people with your product or service messaging and see genuine results.

TikTok users browsing the homepage feed via the mobile app

The Power of Viral Marketing

TikTok thrives on viral trends and challenges. Users love to participate in these trends, creating an opportunity for businesses to jump in and ride the wave. Brands like Chipotle and Ocean Spray have gone viral on TikTok, leading to a surge in brand awareness and sales whilst also utilising TikTok Ads.

Types of Businesses Thriving on TikTok

E-commerce and Retail Brands

E-commerce businesses can showcase their products in creative and engaging ways on TikTok. Product demos, unboxings, and customer reviews are popular formats. By partnering with TikTok influencers, e-commerce brands can tap into their followers and expand their reach.

E-commerce mobile user shopping on their phone

Food and Beverage Industry

Restaurants and food brands have discovered TikTok’s potential for showcasing their mouthwatering creations. Short recipe videos, food hacks, and behind-the-scenes glimpses into the kitchen can captivate food enthusiasts on TikTok. Everyone can relate to food and drink so what are you waiting for?

Food and Drink on a platter

Fashion and Beauty Brands

Fashionistas and beauty enthusiasts dominate TikTok. Brands in this space can create makeup tutorials, fashion lookbooks, and style challenges. Collaborating with fashion influencers and creating your own mini-fashion show can amplify your brand’s presence. People love seeing real-life fashion and beauty videos which is a force to be reckoned with when selling these kinds of products.

Gucci fashion and jewellery marketing shot

Fitness and Wellness

The health-conscious community on TikTok is growing rapidly. Fitness trainers and wellness brands can share workout routines, nutritional tips, and wellness challenges. These trends often go viral, reaching a broad audience and also influencing people looking to make a positive lifestyle change to benefit their health.

Nike running shoes being worn by a fitness enthusiast

Tech and App Startups

Tech companies and app startups can raise awareness and generate downloads through TikTok. Creative video ads and tutorials can showcase your app’s features and benefits whilst being fun and creative in the process.

Apps on a mobile device close up

How Much Does it Cost to Advertise on TikTok?

TikTok Advertising Costs

Advertising on TikTok comes with various pricing options. The cost depends on factors like ad format, audience targeting, and campaign objectives. While it might seem expensive compared to other platforms, the potential for a high return on investment (ROI) makes it worthwhile.

You can take a look at the up-to-date costs and current promotional incentives on TikTok here. UK businesses are currently benefitting from TikTok’s FREE Ad Credit when you spend:

> £80.00
> £400.00
> And £1,200

Budgeting Tips for TikTok Advertising

To make the most of your budget, carefully consider your campaign objectives and audience targeting. Start with a modest budget (such as the entry-level incentive of £80 spend and receive £80 FREE Credit) and gradually increase it as you see results. TikTok’s Ad platform offers insights and analytics to help you optimise your spending.

How to Create a TikTok Ad for Your Business

Getting Started with TikTok Ads

Creating a TikTok ad campaign is straightforward. You’ll need to set up a TikTok advertising account and choose your ad objective, such as website traffic, app installs, or video views. TikTok guides you through the process step by step.

Ad Creative and Content Strategy

The key to TikTok success lies in creative, engaging content. Keep your videos short, memorable, and on-brand. Use music, special effects, and catchy captions to capture viewers’ attention.

Male creating an engaging video for TikTok

Targeting and Scheduling

TikTok offers various targeting options to reach your desired audience. You can target by age, location, interests, and more. Experiment with different audience segments to find what works best for your business. Additionally, consider the timing of your ads to reach your audience when they’re most active.

Frequently Asked Questions About TikTok Advertising

  1. Is TikTok good for business advertising? Absolutely! TikTok’s vast user base, viral content, and creative potential make it an excellent platform for businesses. It offers a chance to connect with millennials and Gen Xers, and its algorithm can boost your brand’s visibility tremendously.
  2. How much does it cost to advertise your business on TikTok? TikTok advertising costs vary depending on your campaign goals and targeting options. However, the entry-level promotion TikTok is currently offering is: £80 spend gets you £80 FREE Ad Credit as a reward. If your budget allows, they have higher tiers of £400 and £1,200 whereby they’ll also match this in FREE Ad Credit.
  3. How do I create a TikTok ad for my business? Creating a TikTok ad is easy. Simply set up an advertising account, choose your campaign objective, create engaging content, target your desired audience, and schedule your ads. TikTok provides step-by-step guidance throughout the process.

Comparing TikTok Ads with Other Popular Online Advertising Platforms

So, how does TikTok compare to some of the most popular alternatives: Google Ads and Facebook Ads for example?

TikTok Ads vs. Google Ads

Google Ads vs TikTok Ads

Target Audience

  • TikTok Ads: Ideal for reaching younger demographics and users interested in visual and creative content.
  • Google Ads: Offers a broader audience range, with the ability to target users based on search intent and browsing behaviour.

Ad Formats

  • TikTok Ads: Focuses on short video content and immersive ad experiences.
  • Google Ads: Offers various formats, including text ads, shopping ads, display ads, video ads, and app promotions.


  • TikTok Ads: Encourage active engagement and interaction with users through challenges and trends. Users may not be thinking about buying so it’s up to you to creatively convince your audience to shop with your business.
  • Google Ads: Rely on user impressions, clicks and conversions based on search intent. Generally speaking, people who search for ‘X’ are already committed to buying so you may find your conversion rate is a bit higher.


  • TikTok Ads: Generally cost-effective for brands aiming to create viral content but may have a higher creative production cost. The best way to find out true costs would be to start off with the £80 spend incentive and receive £80 FREE Credit to gather your own data in your chosen niche.
  • Google Ads: Cost varies based on keywords, competition, and bidding strategy. However, you can spend as little as £0.10p per click or even up to £15.00 per click in some niches which are super-competitive like Travel. The lower your budget the fewer your ads will appear regardless of whether you choose a CPA, CPC or Impression share model.

ROI Potential

  • TikTok Ads: High potential for viral campaigns and brand awareness but may require a creative and trend-focused approach. TikTok Ads are great for telling your brand story and connecting with your audience to gain trust over time. Some brands see up to 10,000% ROI or more but it depends on your product or service. Usually, a good ROI% after costs for more businesses would be 300-500% ROI.
  • Google Ads: Effective for capturing users actively searching for specific products or services. Similarly with TikTok, after your total costs are deducted a good ROI% to target would be around the same.

TikTok Ads vs. Facebook Ads

Facebook Ads vs TikTok Ads

Target Audience

  • TikTok Ads: Attracts a younger and trend-savvy audience who are heavily influenced by videos when it comes to buying.
  • Facebook Ads: Offers a wide demographic range, making it suitable for a broader and older audience as the platform has been around much longer.

Ad Formats

  • TikTok Ads: Primarily focuses on short video content and interactive ad formats.
  • Facebook Ads: Offers a variety of ad formats, including image ads, video ads, carousel ads, messenger ads and more spread across Instagram depending on your page setup.


  • TikTok Ads: Promote engagement through live product demos, trends, challenges, and interactive elements. This is one of the best ways to encourage your audience to visualise themselves using your product or service.
  • Facebook Ads: Encourage user engagement through likes, comments, and shares. Generally much harder to directly sell on Facebook heading into 2024.


  • TikTok Ads: Generally cost-effective, but creative production can be a significant factor. You can start with as little as £80 and TikTok will also match this in FREE Ad Credit.
  • Facebook Ads: Cost varies based on audience targeting and competition. It’s still the market leader in terms of value for money. You can put £10 into sponsoring a post for example which can reach tens of thousands of people.

ROI Potential

  • TikTok Ads: High potential for brand awareness and virality, particularly for businesses in visually appealing industries. Depending on your product or service offered, set your ROI% goals to 300% or higher and scale/de-scale accordingly to make your profit targets work.
  • Facebook Ads: Effective for building a loyal customer base and retargeting users based on their behaviour and interests across other platforms. Facebook Ads are a great way of reminding your audience about something they looked at and inviting them to follow your page. Therefore, calculating a target LTV (lifetime value) rather than a straight-cut ROI% on your campaign might be the better option.


TikTok is not just a platform for the younger generation; it’s a powerful tool for businesses of all types that can quickly gain exposure to new audiences through TikTok Ads. From e-commerce to food and fashion, TikTok Ads offer a dynamic space to showcase your brand on a budget.

With the right strategy and creative content, you can tap into the viral potential of TikTok and watch your business thrive. Don’t miss out on this opportunity; get started with TikTok advertising today and claim your FREE Ads credit!

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