The watermark is now familiar: short vertical clips set to music, reposted on Instagram and Facebook with a small TikTok logo moving around the corner of the screen. That moving logo may be the most effective free advertising any app has had. Nearly everyone under twenty-five already knows the app, and this summer, people over forty began asking about it.
We have managed social media for businesses since the Raincity years in Vancouver, when a Facebook page was the new development. The initial reaction to TikTok among many business owners has been to dismiss it as an app for teenagers lip-syncing, with little relevance to business.
After several weeks of studying the platform, our assessment is that this view is only partly accurate.
Where does TikTok come from?
Some background helps explain the platform. ByteDance, a Chinese company, launched the app as Douyin in China in 2016 and brought it to international markets as TikTok the following year. Last August, it merged with Musical.ly, which already had a large young audience in North America. It now ranks near the top of download charts almost everywhere.
In Indonesia, its path has been uneven. The government blocked it for about a week last summer over inappropriate content, then allowed it back once the company committed to addressing the issue. The interruption had little lasting effect, and the app appears to be used by nearly every young person on the island.
The format is simple: short, full-screen vertical video with music. The app begins playing content as soon as it opens, without the user selecting anything.
How does the For You page change who gets seen?
This is the aspect most often underestimated, and it is the most important one for a business.
On Facebook and Instagram, users mainly see posts from accounts they already follow. Building a following is slow, and it determines reach. A new business page with 40 likes reaches almost no one. Even with a sizeable following, Facebook shows posts to only a small fraction of it unless the business pays.
TikTok works differently. Its main feed, the For You page, is assembled by the algorithm from all content on the platform. It observes what each user actually watches, skips and rewatches, and it tests new videos on small groups of people who do not follow the account. If a video holds their attention, it is distributed to more people, and then to more again.
A brand-new account with no followers can therefore place a video in front of a large audience. This does not happen often, but it is possible, whereas on the older platforms it has become very rare.
On TikTok you don't need followers to be seen.
For a small business, this is significant. The competitive field is more level than on any platform in recent years. It also means followers carry less value, because the algorithm gives little weight to who follows whom.
Is TikTok relevant for a dive resort, or only for teenagers?
At present, the audience is predominantly young. If your customers are fifty-five and booking a cruise, they are probably not on TikTok this year.
Age, however, is not the decisive question. The decisive question is whether your business has moments that look compelling in fifteen seconds and make someone stop scrolling. A dive centre has these naturally: a turtle passing by, a manta, the boat leaving at sunrise on perfectly calm water. None of this requires a script.
Many small businesses have similar material without recognizing it: a cook tossing ingredients in a hot pan, a potter at the wheel, a surf instructor helping a nervous beginner onto a first wave. This is content, and it is precisely the kind the algorithm appears to favour.
Audiences also age. Facebook began as a university platform, and we expect TikTok's audience to broaden faster than many anticipate.
Why does authentic content outperform polished content?
What surprises many marketers is that expensive production offers little advantage and is often a disadvantage. A polished brand video looks like an advertisement, and people swipe past advertisements without a second thought. An unsteady phone clip of something real, with a person speaking directly to the camera, holds attention better.
The first two seconds are decisive. If nothing happens in those two seconds, viewers leave, and the algorithm registers their departure. It is a demanding standard, but a fair one.
This dynamic favours small businesses over large ones. An agency or a film crew is not required; what is required is someone comfortable holding a phone and speaking naturally.
Facebook evidently recognizes the competitive threat. It launched a similar app, Lasso, last fall, though it has gained little visible adoption.
How should a business test TikTok?
Allow three months before drawing conclusions. A single video provides no meaningful information, as the algorithm is evaluating the account as much as the business is evaluating the platform.
- Post regularly. A few times a week is sufficient for a small business.
- Film what you already do rather than creating a production.
- Track which videos people watch to the end, not which ones receive hearts.
- After three months, assess objectively whether the platform brings customers or only views.
The last point is important. Views are encouraging, but bookings generate revenue. TikTok has begun testing advertising and is developing its business offering, which can be followed through TikTok's business pages. Any advertising spending on the platform should be tracked as rigorously as any other campaign.
More broadly, we expect short vertical video to extend well beyond TikTok. Instagram Stories are already vertical, and Instagram and YouTube are likely to develop formats much closer to TikTok in the near future. Even for businesses that never post on TikTok, learning to produce short, authentic, vertical photo and video content for social media is a worthwhile investment.
The app's pace can be demanding for extended viewing, but its evolution warrants continued attention.