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TikTok is testing a ‘shop now’ button for influencer videos

Digiday 30 Apr 2020 04:02
April 30, 2020 by Lara O'Reilly

TikTok is testing a new ad format that links advertisers to its prominent influencers to let those creators display a prominent call-to-action button in their videos, according to people familiar with the matter. The ad revenue will be split between TikTok and the influencer.

The test demonstrates how TikTok, mostly considered a brand advertising platform for experimental budgets by many media buyers, is building both its performance advertising offerings and its nascent Creator Marketplace that links advertisers with vetted publishers and influencers.

This would put TikTok on the same path of other platforms, which have largely followed the same playbook in having both branding and direct-response ad products.

Still in an early testing stage, the creator call-to-action ads are only available to select advertisers and agencies. The exact revenue-share split has not been determined, although the company has been discussing a 20/80 split in TikTok’s favor, said people familiar with the program, whose tests have yet to go live. This model allows TikTok to tap into revenue that may have previously been shared only directly between the advertiser and influencer.

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