TikTok is a social media networking and entertainment platform that allows users to create content with audio and video, ranging from 15 seconds to 10 minutes. ByteDance Ltd. (from China) is the owner of the application and after they acquired Musical.ly, TikTok became a very known brand worldwide.
TikTok gained a lot more popularity during the Covid-19 pandemic which resulted in TikTok becoming one of the fastest growing brands.
How much does TikTok pay you for 1 million views
Since TikTok being a media sharing platform, the most important metric for content creators is number of views. More views for the creator means more probability of earning money, becoming influencers and sponsorship deals.
In general, TikTok pays money based on the number of views, for every 1000 views the user earns between 2($ 0.02) to 4($0.04) cents. That equates to an amount between $40 to $50 for 1 million views. This does not include the other modes of payment like creator fund, brand promotions etc. For a video with 10 million views, the user will earn $500 approximately.
But do keep in mind, this is not their main source of revenue. The exposure that you get from viral videos and the followers that you get, can get you sponsorships, brand deals and other oppurtunities. All of these can really add up and result in you making a lot of money.
Let’s go into detail on this topic.
How do TikTokers monetize their TikToks
The TikTok app allows users to monetize their account in a lot of different ways. It was different earlier as TikTok only paid creators for views and there was no option like creator fund.
Also Read: How does Instagram make money?
TikTok content creators can use their content to earn money by sponsorship deals and by promoting brands in their videos. Each monetization method that TikTok provides has a few conditions that need to be met before the account can be monetized.
Let’s take a look at these monetizing methods:
1. Affiliate Deals
TikTok offers the creators the option to host their affiliate links to their videos or content. Affiliate marketing allows the creators to generate traffic or sales to the service of their choosing. Amazon runs a very famous affiliate program that is very easy to get into and link up with services like TikTok.
When a creator generates traffic or sales for a website or service, they get a commission on the amount of sale. The commission offered is different for each product.
There is also an option that many people use to point to a tree of their affiliate links using linktr.ee, since there is provision to host only one affiliate link in one content.
2. Brand Sponsorships
Brand sponsorships have turned out to be a boon for a lot of creators which has led to a lot of sponsored content in their TikTok videos.
The ad manager function of TikTok ensures that the creators find it easier to control and manage their TikTok ad revenues.
Sponsored content can also include old content to fit the theme of the product.
Brand deals offer the creators to monetize their content coupled with the options that TikTok provides, it makes it very easy to set up and control (both the content and ad revenues).
With TikTok having such a reach and so many users worldwide, companies find it convenient to advertise on TikTok (rather than old marketing methods) with help from popular content creators like Charlie D’Amelio, Addisson Rae, Loren Gray and upcoming ones like Hank Green and Vi Luong.
3. Influencer Marketing
The term influencer marketing can be used to describe the act of companies tying up with famous social media personalities to further increase their product reach. TikTok creators make content to promote their sponsors and influence their followers to drive purchasing trends.
Influencer marketing works to ensure that the product gets the required attention and a favourable rating due to the influencer. Businesses have used TikTok ads as an advertising and marketing tool for outreach at a global level, since the TikTok app became a global entity ever since 2020.
4. TikTok Creator Next
TikTok creator next is the name given to the specific options that TikTok provides to creators to create and monetize their content. There are to options that fall under TikTok creator next :
- TikTok creator marketplace
The TikTok creator marketplace offers TikTok content creators to get in touch with brands and sell their content. The only condition required to set up the TikTok creator marketplace is that the creator should have a TikTok ad manager account enabled.
- TikTok creators fund
TikTok creator fund was announced in March 2021, TikTok decided to reward creators for their content and their creativity. Only content with over 100K views are eligible to be added to the creator fund.
Creator fund is dynamic in nature and depends on the content and the views. There are some eligibility criterias on who can apply for the creator fund:
- Must be based in France, Germany, Italy, Spain, United Kingdom or USA.
- Should be over the age of 18.
- Number of followers on said TikTok account should be at least 10,000.
- The TikTok account should have had 100,000 video views in the past 30 days.
- TikTok Account should not be breaking any Terms or community guidelines set by TikTok.
5. Virtual gifts on live streams
Live streams are a very good way for followers to interact with creators and connect with them virtually. There is a provision on TikTok which is similar to twitch, where followers or fans of creators can give donations/tips on live streams.
Followers can use real money to buy TikTok coins, which they can gift to their favourite TikTokers.
This feature allows the content creator to directly thank the active users or followers that donated on the stream and mention their name.
6. Patreon membership and Tips
A lot of TikTok creators also have an option to use the Patreon service to offer memberships and exclusive content to followers who enrol for it. The membership offers benefits like, behind the scenes, bloopers, exclusive content etc.
Many fans are eager to know their creators up close and personal and want to contribute to them in any way they can. There is also an option of tipping which can be enabled in accounts that have fulfilled the criteria that are needed for receiving tips during TikTok live or using Patreon.
7. Selling Products and Services
A lot of influencers also launch their own products like info products, clothing lines etc. It’s easy to sell when you have a loyal fanbase.
How much do TikTokers make?
Among the various possibilities of generating money mentioned above, TikTok creators can also get music and movie deals which may really make their earning potential rise several notches.
We are only going to discuss how much money TikTok creators can make on an average from using TikTok, with a look at the different methods. Since there are many ways to earn money and many options to use, it will be difficult to cover all the possibilities.
According to an online resource, which helps to calculate TikTok’s earning potential, account with 100 videos with 1000 likes and 50k followers, the earning potential will be $80-$120 per post compared to an account with 500 videos, 100k likes and 500k followers the earning potential increases to $800 to $1200 post.
Who are the biggest earners on TikTok
Below is a list of the top 5 biggest earners from TikTok
Charlie D’Amelio is an 18 year old social media personality who has over 140 million TikTok followers which is the most for an individual on the social media application and 10.8 billion likes and counting. She has a net worth of $17.5 million. Charlie started out early in 2019 making dance TikTok videos. It earned her a lot of followers and many sponsorship deals and also made her the most famous TIkTok influencer and content creator on the app. With an estimated annual earnings of $12 million she is the highest earner from TikTok.
Besides being a TikTok star, Charlie has also lent her voice to the animated film Stardog and Turbocat as the character Tinker. She has had numerous tv appearances and featured in some music videos as well. She was also an initial member of Hype House, the group she left later citing differences with other members. Charlie also has a vlog on youtube and her own documentary series titled, The D’Amelio Show on hulu.
Khabane Lame, more famously known as Khaby Lame, started out doing sarcastic TikTok videos with no voice. His video content was mostly about sarcastic takes on 5-minute craft videos and the video views just kept on increasing.
He has a $13 million net worth with over 137 million TikTok followers. He has approximate annual earnings of $4 million from TikTok.
Khaby has collaborated with a lot of celebrities on his TikTok and youtube videos, especially professional football players like Kylian Mbappe.
Khaby is from Italy and he has been signed by Hugo Boss to market their products. More recently he also became a jury member at the Cannes film festival.
Bella Poarch is a social media personality from the USA. She has an estimated net worth of $12 million and she has over 89 million TikTok followers. Bella Poarch shot to fame doing lip-sync videos and currently holds the record for the most liked video on the social media platform TikTok.
Before becoming a TikTok star, she served in the US Navy. She currently earns $5 million annually through TikTok. In 2021, her first song was released under the Warner records banner with whom she also has a contract with.
Addison Rae is an American social media personality who is among the top most followed people on TikTok.
She has a networth of $9 million. With her TikTok followers being over 87 million and an estimated annual earning of $4 million from TikTok, currently, she is one of the most famous TikTok influencer and content creators.
Addison Rae also earned fame, like Charlie D’Amelio, through TikTok dance videos.
Addison has done numerous tv appearances, has a spotify podcast and has starred in a movie titled “He’s all that” produced by Netflix.
She has recently signed a new movie and also a $20 million multi-movie deal with Netflix.
Zach King is an American social media personality who shot to fame with his amazing video content and editing skills that made it seem like he was doing magic. Zach King has a net worth of $15 million his annual income from TikTok amounts to around $3 million.
He is among the top 5 of the most followed people on TikTok, excluding celebrities like Will Smith. He has amassed over 68 million followers on the social media app.
Zach King started out with youtube video tutorials for a video editing software. Zach King has quite a few tv appearances as well, quite notably appearing in “The Amazing Race 28” and has lent his voice for Disney’s Zootopia.