What TikTok Ban Could Mean For Small Businesses In The U.S

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tiktok ban

TikTok ban is a trending topic now for the amazing app that massively exploded out of China a short while ago.

Now, TikTok ban kicks off in the U.S few days from now

So many businesses embraced TikTok as another source of marketing and traffic generation with brands like Chipotle, Guess, Gymshark and the likes crushing it huge in the TikTok space, all in a short while.

What does the TikTok ban mean for small businesses in the U.S?

In this article, we would consider how hard the TikTok ban would hit small businesses who are beginning to embrace it and pouring their resources into creating TikTok contents and how to cushion those effects and channel those contents to achieve the same results (considerably)

What Is TikTok And How Does It Work?

The social media world had another big name entering the industry with a specific kind of feature with Facebook, Instagram and Twitter dominating the industry.

Enter TikTok!

TikTok started in 2014 with an app called musical.ly. Its unique feature allowed users to record themselves lip syncing to music which would run from 15 seconds to one minute.

An increase in usage meant that masses were loving it and in two years, ByteDance Ltd, a China-based internet technology company acquired it and it became TikTok after a little more modification.

Currently, TikTok has over 800 million active users and counting across the world (according to Oberlo).

TikTok Statistics by Oberlo

How Businesses Use TikTok

With its large traffic, companies bought into the idea of using TikTok to drive content and increase their visibility.

Several companies became innovative with the likes of Guess partnering with the app to launch the app’s first branded content in America.

Together, they launched the #InmyDenim challenge where they enlisted popular content creators and influencers to show off their new Denim outfits.

#inmydenim tiktok challenge
#inmydenim tiktok challenge

Boutiques use the app for their try-on videos which drives even more sales as their customers see how clothes would fit before purchasing.

In a world where people are becoming too conscious to ads, the raw unedited content that TikTok provided made it easier for users to relate with the content while businesses drive home their point.

So many brands and lifestyle businesses have created their own TikTok channels, published their content and even engaged the services of TikTok influencers to promote their content while others have even gone ahead to pay for advertisements on the app.

TikTok experimented with several advertising plans over the years and from January 2019, they consolidated on TikTok advertising.

What TikTok Ban Means For Small Businesses

Small businesses have only one goal – growth!

No business enters their space just to walk around and go home. This is why small businesses bought the idea of TikTok advertising.

The TikTok ban in the U.S is a big knock for small businesses that are beginning to rely on the app to drive traffic.

TikTok For Business
TikTok For Business

With the ban, companies are going to record so much revenue loss in few days except another indigenous company acquires it.

This is not the end of TikTok worldwide but it could well be their end in the U.S if no company acquires it before the deadline.

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TikTok Marketing is a great idea if you are a business looking to promote your business with user-focused content but right now in the U.S, any small business that does not have an alternative marketing plan would suffer a huge dip in their revenue.

“The measurable impact that TikTok had on our business was huge: site visits and sales increased by almost a third. To put this into perspective, TikTok is more than tripling our potential customers at the same cost”

Daniel Chan, Managing Director of Snap Shades.

Businesses who rely only on video marketing, it would become difficult to do business unless they figure out another way to repurpose their content or another platform to continue sharing their content.

What Should Your Business Do?

If you are running a business that relies on TikTok for traffic generation, you should consider paying a closer attention to Reels In Instagram as it is newly launched.

You can gain grounds with the new Instagram feature and drive more traffic to your business.

The new Instagram Reels is a way to create fun and engaging video content from Instagram Stories.

Reels also spans between 15 seconds to One minute and just like TikTok, there is a feature to use and audio or song you like in the video content you create.

Business is a continuously changing terrain and if you must survive in business and push your small business to make profit, you should be able to adapt to the ever-changing demands in the business ecosystem.

While TikTok offers you an avenue to push your rand across the globe and possibly gain international customers, do not forget to brand your products well as proper product packaging is one thing that stays with your customers even when technology or social media is not handy.

Whatever your marketing plan for your small business is, the ultimate has always been to gain new customers and retain the existing customers. Figure out a way to do that in your locality either through outdoor advertising, email marketing, or digital marketing.

Relying only on one marketing platform or plan to reach your target audience is a short way to business failure.

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