When running a tiktok ad cost ad campaign, there are several factors that can influence the cost. The key is to make regular optimisations throughout the campaign – changing up creative assets, testing different audiences and formats, and keeping an eye on your ROI are essential to keep costs low.

TikTok offers a variety of ad formats, including in-feed video ads, Top View Ads, carousel ads, and brand takeovers. The latter is a special ad format that features an immersive full-screen experience and is linked to a brand profile or branded hashtag challenge. TikTok allows only one brand to monopolize this feature per day, making it a bit more expensive than other advertising options on the platform.

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The ad pricing model used by TikTok is CPM, which means the advertiser pays for 1,000 impressions of their video ad. The average CPM for a paid ad on TikTok is $10, which is the same as the average price for a standard Facebook or Instagram ad.

While TikTok’s ad prices are high, the platform is still relatively new, so there’s plenty of opportunity for advertisers to reach a large audience at an affordable rate. Many smaller e-commerce businesses are finding positive outcomes on the platform, and can start with cost-effective standard feed ads before gradually increasing their budget based on performance data. The key is to create videos that feel natural and blend in with user-generated content, rather than being overly scripted or polished.