10 Ways to Make Money on TikTok
Promote a Business or Brand
One of the surefire ways to earn money on TikTok is by promoting a business or brand. Of course, this route is easier if you already have a huge following.
If you’ve built a sizable viewership, you can reach out to a business or brand to sponsor content. The company, then, pays you to promote their products and have your followers purchase their products.
For example, an American singer, Loren Gray, had over 45 million followers in 2019 when she closed a deal with Revlon cosmetics. After promoting their products in her TikTok videos, can you guess how much she earned that year?
Revlon paid Loren Gray a whopping $2.6 million. In case you’re wondering, her followers grew to 54 million in 2021.
Sell Your Products or Services
You can also create your product line or services and sell those through your TikTok account. Or, if you’re already an entrepreneur looking to get more leads, you can start a TikTok account to sell your products through it.
Similar to the previous option, this is more manageable if you already have a large following. And, this option works well if the type of merchandise you’re offering fits well with the majority of demographics at TikTok.
An excellent example of this strategy is Addison Rae Easterling, who started with posting short dance videos on the platform. By 2020, barely a year after she got a million followers, she released her product line, Item Beauty. She also became TikTok’s highest-earning star, gathering an estimated $5 million between June 2019 to June 2020.
Do Affiliate Marketing
Affiliate marketing is another viable option to earn money on TikTok if you already have an engaged follower base. After all, you need to give your pitch to companies to make you, their affiliate. You can show them there are already people waiting to click those links or use their promo codes.
You can also build a channel that is exclusive for affiliate marketing. In this case, you’ll need to post quality content, get people to follow you, then pitch it to companies. You can check out Rachel Meader’s account as an example.
Get Paid by TikTok
TikTok’s creator fund encourages content creators through an incentive system. It does not heavily rely on ads revenue. Instead, it considers other factors, such as viewership, content quality, user’s geographic location, and views from authentic accounts.
In August 2020, TikTok has allotted $1 billion in TikTok’s creator fund to encourage creators to make content for TikTok. As inviting as it sounds, there are qualifications before you can join this program.
If you meet the following criteria, TikTok’s Creator Fund can pay you:
- Be at least 18 years old
- Have a TikTok account with at least 10,000 authentic followers
- Have over 100,000 video views from authentic accounts in the last 30 days
- Reside in the US, France, Germany, Italy, Spain, or the UK.
- Have a Pro account
Once you meet these requirements, you can head on to your TikTok’s Pro account settings and select Tiktok Creator Fund. To stay in the program, make sure to post only original content aligned with TikTok’s community guidelines.
For example, Preston Seo posts TikTok videos about personal finance. He reported earning around $1,664 in four months from the creator fund.
Convert Gifts to Diamonds
TikTok users can purchase coins with real money to use as a currency in the app. When you live stream, your followers can use these coins to send you virtual gifts. Then, you can convert these gifts to diamonds. If you have $50 worth of diamonds, you can cash out directly to your verified PayPal account.
But, you need to be at least 18 years old to receive gifts and convert them to diamonds.
Additionally, you can only cash out up to $1,000 per day.
Ask for Donations
Another way to receive financial support from your TikTok followers is through donations.
You can use the same coins-virtual gift-diamonds feature to request donations. Then, you can cash in the diamonds to your PayPal.
A new feature in TikTok also allows users to request a personalized message from their favorite creator by paying coins. Although it isn’t widely available yet, this feature might be useful in fundraising.
Manage Influencer Campaigns
You can also manage influencer campaigns to make money on TikTok. With this work, you’ll be connecting content creators to brands. It’s quite similar to how a talent agency works.
As an influencer campaign manager, you’ll be responsible for:
- Creating agreements between the parties
- Managing the creator and brand
- Ensuring project delivery
- Coordination between two parties – an influencer and a brand
In fact, TikTok also has its built-in influencer program, so content creators don’t need to look for outside agencies. This strategy also ensures additional earnings for them. You can help brands save money on campaigns by offering lower rates than TikTok.
To give you an idea of how influencer agencies work, you can check out some of the popular ones. Fanbytes, a UK-based agency, offers influencer campaigns not only on TikTok but on YouTube and Snapchat, too. Meanwhile, Influencer Marketing Factory boasts about working with big brands, such as Amazon, Sony Music, and Google. Another excellent example, Neoreach, works as an influencer campaign agency, and influencers’ platform. The leading streaming service, Netflix, is one of its clients in Tiktok.
Offer TikTok Management Services to Big Creators
Some TikTok creators amassed thousands of followers in a short period. Consequently, they might have issues with keeping up with the expectations from their new fans. To help them, you can offer management services through the following:
- Content planning
- Managing brand offers
- Creative planning
- Setting schedules for content releases
Having a production background, even storytelling can help you get clients through this option. Viral Nation, a global influencer management company, has content planning and creation as one of its services.
Offer TikTok Consulting Services
Suppose you managed to grow your TikTok channel and become a pro in attracting viewers. In this case, you can offer your expertise and work as a consultant for other brands.
You can guide other influencers and creators to achieve what you did. Working as a consultant can be a lucrative career. But considering you’ve achieved a “Master Yoda” level in Tiktok, money might not be a big motivator here.
On the other hand, maintaining popularity can be highly challenging on social media. Instead of losing this popularity, you can “retire” and become a consultant instead. Sean Young made it big on Tiktok with his high-quality prank videos. But this niche is quite competitive, so he chose to be a TikTok consultant to other influencers and celebrities.
Create, Grow, and Sell TikTok Accounts
Last but not least, you can create, grow, and sell TikTok accounts. To do this, you’ll need to decide on a niche and produce creative and entertaining content consistently.
These first two steps are crucial as here is where users will start to notice you. You also need to make the content unique, at the same time, attractive to your intended audience. A lot of Tiktok users also value information and relevance when choosing people to follow.
At this point, you don’t have to sell anything on TikTok or promote other brands. Just focus on keeping those follower numbers up. Take advantage of hashtags, duets, effects, and other tools to increase audience engagement. Lastly, don’t go MIA (missing in action). Make sure to post content regularly to keep your followers active.
Tiktok accounts with 10,000 to 25,000 followers sell around $25 to $200, depending on the following factors:
- Quality and quantity of content
- Number of likes
- Audience engagement
Along with growing your followers, you can focus on these factors so you can sell the account for a better price.
How Much Can You Earn on TikTok?
To get payouts from TikTok Creator Fund, you need to have at least 100,000 video views within the last 30 days.
Take note that these are not simply views. These must come from authentic accounts. Also, your videos should strictly adhere to Tiktok’s community guidelines.
How Many Views Do You Need to Start Making Money on TikTok?
If you have at least 100,000 followers, you can pretty much earn around $500 to $2,000 per sponsored post. This amount is significantly dependent on other factors, such as the product type, follower volume, and engagement rate. To compute for engagement rate, follow this formula:
Engagement Rate = [(Number of hearts + number of comments) / number of followers] x 100
Between those factors, engagement rate might be the most crucial. Typically, brands consider this before they choose you as a promoter. Even if you get a deal with them, your contract price still depends on your engagement rate.
Because of this, influencers with high engagement rates receive better payments. It’s a variable that defines the authenticity of your popularity.