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TikTok Expands Advertising Opportunities Amid US Ban Concerns

ByHuey Yee Ong

May 3, 2024

TikTok Expands Advertising Opportunities Amid US Ban Concerns

TikTok is actively enhancing its advertising offerings by introducing new products and expanding partnerships, even as the threat of a U.S. ban looms over the platform. The company is focusing on premium ad slots, aiming to attract more advertisers by allowing them greater control over the placement and context of their ads.

This strategic move includes the use of generative AI to curate brand-safe, trending content, the expansion of “tentpole” moments such as the Paris Olympics and Met Gala for advertising opportunities, and specific network and content targeting options.

Expanding Premium Ad Partnerships

In its latest initiative, TikTok has broadened the scope of its “Pulse Premiere” ad slot, first introduced last year, to include new partners like Paramount Global and NHL.

This expansion is designed to draw in more premium ad revenues by positioning ads immediately following content from well-established publishers and media entities in over a dozen categories, including lifestyle, sports, entertainment, and education. These slots are crafted to appeal particularly to TV advertisers accustomed to purchasing ad slots adjacent to specific programs.

Historically, TikTok had partnerships with major companies such as NBCUniversal, Condé Nast, Dotdash Meredith, BuzzFeed, Hearst Magazines, Major League Soccer, UFC, Vox, and others. The new additions mean advertisers can now place ads alongside content from high-profile programs like MTV’s “The Daily Show,” CBS Sports, and NBCUniversal’s “Saturday Night Live,” among others.

Measuring Ad Impact with Advanced Tools

Moreover, TikTok is enhancing its measurement tools by collaborating with Nielsen ONE Ads and iSpot.tv. These partnerships aim to provide advertisers metrics to gauge the incremental reach and complementarity of their TikTok campaigns relative to traditional TV advertising.

During this year’s IAB NewFronts 2024, TikTok presented these innovations, emphasizing their effectiveness with statistics. For instance, the TikTok Pulse suite, which assures ad placement next to the top 4% of trending videos and premium content, has shown to increase ad recall by 9.8%.

The company also highlighted the unique audience reach of its campaigns, noting that 58% of all campaign impressions on TikTok reached viewers not exposed to the TV segments of the same campaigns. Additionally, incorporating TikTok into TV campaigns reportedly expanded audience reach by an additional 22%.

While TikTok continues its business operations and expansions aggressively, the potential U.S. ban presents a significant risk. The company’s parent, ByteDance, has expressed intentions to contest the ban but also warned it might exit the U.S. market rather than comply with a divestiture order, potentially impacting its advertising revenue prospects.


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Featured Image courtesy of Mairo Cinquetti/NurPhoto via Getty Images

Huey Yee Ong

Hello, from one tech geek to another. Not your beloved TechCrunch writer, but a writer with an avid interest in the fast-paced tech scenes and all the latest tech mojo. I bring with me a unique take towards tech with a honed applied psychology perspective to make tech news digestible. In other words, I deliver tech news that is easy to read.

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