In today’s digital age, brands are constantly seeking new and innovative ways to connect with consumers and promote their products. Fuelled by the pandemic and technological advances, e-commerce has enjoyed significant growth in recent years. It is now an essential part of the consumer experience and – aided by social media – has created an enormous opportunity for businesses to expand their reach and engage with consumers through online platforms.
The use of social media to build a community around a product or brand has become an effective strategy for businesses looking for tangible returns on their marketing spend and investments. Using ‘community commerce’, businesses can further build loyalty and increase brand awareness among consumers. Beyond just selling products, the focus is on building valuable and engaging relationships with the customer base.
Peer-to-peer reviews also play a significant role in influencing purchasing behaviour on social media platforms. According to a study conducted by BrightLocal, 98% of consumers read online reviews for local businesses, and 46% of consumers feel that online business reviews are as trustworthy as personal recommendations from friends or family, highlighting the importance of maintaining positive reviews.
In a conversation with Chi Chi Gule, Greg Bailie: Sales Lead, Global Business Solutions, TikTok -Sub Saharan Africa speaks on the role of Tik Tok for SME’s.
From a social media lense, what is the relationship between brand trust and brand loyalty?
From a TikTok perspective, we believe that content captures the audience’s attention and trust when it is curated based on what viewers find entertaining or interesting – not based on broad identity categories or simple browsing histories – we refer to this as “actionable entertainment”. In this form, attention comes from the quality and relevance of the content. Think of a perfectly-timed audio clip, a hilarious punchline, or a useful piece of advice.
On the other hand, trust is also based on who’s making the content; when a viewer sees a video from a creator they find relatable, or from a subject matter expert, they’re more likely to take the information to heart and engage with it.
We have identified three key new content patterns – in our What’s Next Report 2023, that brands can tap into to bring the concept of actionable entertainment to life.
First of all, show, don’t sell. This is the principle behind the massive popularity of hashtags like #Storytime and #POV on TikTok, which have garnered 277 billion and 686 billion lifetime views respectively. Brands can opt to partner with creators who make tutorials featuring personal stories and fun storytelling styles, fueling the impact of their message.
Investigative content has also been gaining popularity, as users seek to uncover truths and debunk myths, which builds credibility and trust between creators and their viewers. For example, a nutritionist who challenges dubious dietary advice is going to build a stronger bond with their audience.
Sixty-five percent of TikTok users say they always rely on online reviews and creator recommendations to decide what to buy online, according to research by Material. This shows the potential for brands to leverage the customer-to-creator pipeline, boosting organic content from existing fans into influential ads, helping to build genuine sponsorships.
The use of social media to build a community around a product or brand has become an effective strategy for businesses looking for tangible returns on their marketing spend and investments. Using ‘community commerce’, businesses can further build loyalty and increase brand awareness among consumers. Beyond just selling products, the focus is on building valuable and engaging relationships with the customer base.
Are peer-to-peer reviews the same thing as influencer reviews? Not all influencers are paid for the opinions they are giving. Is this the same thing or is there a difference? If so, what is the difference and which is best?
We’ve seen a major shift from “popularity for impact” (influencer model) to “expertise for impact” (creator model). The main difference being that peer-to-peer or creator reviews are based on particular interests and skills, rather than on the number of followers of an influencer. While some influencers do share their opinions or reviews without a paid promotion or sponsorship, peer-to-peer reviews are still regarded as being more sincere.
On TikTok, peer-to-peer reviews are often in the form of user-generated content, where consumers share their experiences with a product through short-form videos. This type of content is particularly effective in driving engagement and purchase decisions among younger audiences, who are more likely to trust recommendations from their peers over traditional advertising or paid influencer promotions, which can often feel insincere.
The Creator ecosystem has inherently decentralised power from a select few to anyone who has something interesting to say. In the age of creators, it is no longer about who you are but about how relevant your content is.
How does TikTok influence commercial objectives in SA? Spending is tight and the costs are rising, so what is the guarantee that TikTok for business is a good decision for SMEs?
Adopting new digital tools and digital marketing tactics helps many SMEs to connect with new customers. Establishing a strong online presence is not only a company’s key to accessing a much wider market, it can also be achieved in a very affordable manner. This means that even companies that have to work with tight marketing budgets are able to have maximum impact if they embrace the right digital tools.
Let me give you an example of a real case study: SKOON. Cosmetics garnered more than 20 million video views on TikTok, elevating the brand’s visibility and establishing itself as a significant player in the highly competitive African beauty industry.
Globally, we have seen great success with the hashtag #TikTokMadeMeBuyIt generating over 60 billion views – proving that digital communities strongly influence consumer purchase decisions.
TikTok’s greatest asset is the TikTok community itself. The TikTok community is fundamentally shifting how people experience and discover products and brands. For example, TikTok users are 3 times more likely to create How-To or Tutorial videos on TikTok after buying a product, and 3 times more likely to post and tag a brand after purchase – creating an even greater ripple effect and increased (organic) reach for a brand.
You spoke of social media equalising the playing field for businesses. Why is the minimum spend on TikTok so high? Is this inclusive for SMEs trying to penetrate or compete in SA markets through TikTok?
Last year, we launched new advertising solutions in South Africa to empower small and mid-size businesses to grow their brand on the platform. These self-serve advertising solutions give marketers across the country the tools to tap into the creativity of the TikTok community, reach new audiences and optimise their marketing campaigns with an easy-to-use platform. SMBs can spend as little as R95/day, as we aim to give marketers innovative tools with which to create authentic, creative content unique to the app. More and more brands are realising the unique ability the platform has to reach and engage with a broader audience, and our advertising solutions for SMEs in South Africa makes it seamless, easy, and efficient for all brands to now meaningfully connect with the community.
