If you are wondering how TikTok makes money, you are not alone. Many people use this platform to earn money from advertising, In-App purchases, fake coins, and referrals. This article will explain how to use TikTok to earn money. You’ll also find out how to use TikTok to make money from your videos. Read on to learn how you can use TikTok to earn money.
TikTok makes money through advertising
Advertising on the app is one of the many ways TikTok makes money. In-feed ads appear when a user scrolls through the “For You” page. These videos blend in with the content in the feed. TikTok also offers branded effects, which go live for up to 10 days. The ads are purchased by brands to boost their visibility and sales. This revenue stream is the fastest growing on the app.
The video-sharing app has announced plans to share some of the ad revenue it earns with popular creators. TikTok said Tuesday that it had 1 billion monthly active users worldwide and was set to launch a new program for advertisers called TikTok Pulse. TikTok Pulse will allow advertisers to place ads next to top videos in 12 categories, and the revenue will be split 50/50 with creators.
TikTok makes money through In-App purchases
TikTok makes money through a few different channels. The app sells branded hashtags and effects to generate revenue. Users buy in-app items for a certain amount, usually a hundred or ten thousand coins, to enhance their videos and receive other rewards. The company is also profitable through advertising. In October 2018, users spent $3.5 million on in-app purchases. This revenue is generated by in-app purchases and affiliate revenue.
TikTok users can purchase virtual items called diamonds or gifts. This money is then added to the user’s account. TikTok pays 50 percent commission on each dollar the user withdraws, and the rest is returned to the user’s account. This revenue stream has helped TikTok to reach its revenue goals of 176 million dollars in 2019. This revenue is made by the company when users buy virtual items or request withdrawals from the app.
TikTok makes money from fake coins
One of the ways that TikTok makes money is through its currency, which changes from day to day based on exchange classes. For example, a hundred Coins will cost you $0.99, but you can purchase up to 10,000 Coins in a day. TikTok uses a system similar to Twitch’s Bits, where 80 percent of the money goes to creators and 20 percent goes to the platform.
You can send TikTok Coins to your favorite creators only if they are at least 18 years old. This is to protect its younger audience from scammers. However, it’s not that difficult to send gifts after purchasing coins. Simply click on the “Gifts” tab in your wallet and then select the creator you want to give a gift to. The value of the gift depends on the monetary value of the TikTok Coin.
TikTok makes money from referrals
As a social media influencer, you can earn money through referral marketing. You can create videos about a product you like and include personalized links to the product on your video. TikTok also offers a creator fund where you can make money from generating great content. If you make quality videos, you can earn from TikTok’s referral program. You can cash out your earned points through Swagbucks, a money-saving app.
The main source of gain is the TikTok reference system. If you refer a friend, you’ll earn 0.50 euros for each referral you send to the app. To get your referral link, simply click on the TikTok banner on the homepage. Then, you can use this link to send invitees the referral link to other social media platforms, like Facebook. Once you have earned 25 points, you can cash out your points for free Amazon gift cards. You can also donate bonus points to a charity of your choice.