TikTok reached 68 Billion Hours of watch time, yet to figure out Monetization

2019 was TikTok's best year in terms of revenue and downloads.

TikTok had more than 738 million downloads and gross revenue of $176.9 million, which sums up to 71% of all time, according to Sensor Tower.

Though the app is banned in the U.S Navy and was banned in India for a short time, TikTok's downloads still went up to 13% in 2019 compared to 2018 [655 million].

In 2019, TikTok became the second most installed application across the Apple App Store and Google Play, as its Q4 became the best quarter with 219 million downloads since launch, which was an increase of 6% compared to 2018's Q4.

According to a recent report by Apptopia, a firm that calculates and analyzes applications growth and revenue, Tiktok is earning $50 Million per quarter.

The Sensor Tower claims that TikTok was the second-most downloaded app, but according to a recent report by App Annie, the app comes at the fourth position after Facebook, Instagram and the Messenger.

App Annie’s also revealed that the amount of time spent on the app was 210% up [68 billion hours] from last year.

Even though the app was briefly banned in India, the Indian market still managed to become a significant contributor in Tiktoks downloads, as, in 2019, 323 million downloads [44% of total] were registered from India - which is an increase of 27% compared to last year.

However, when it comes to generating revenue, china comes on top where its iOS users spent $122.9 Million [69% of the total] in 2019, followed by the U.S spending $36 million and the U.K with $4.2 million spends last year.

After all the eye-pleasing stats calculated by the third parties [Tiktok don't provide any official statistics about revenue or growth], the app is yet to find a permanent monetization method.

In 2019, Tiktok experimented various ad formats including hashtag challenges, in-feed native video, lens filters and branded videos.

Despite trying different varieties of ads, only a few users were able to earn money through tipping in live streams.

Tiktok's growth and revenue graphs are impressive but unmatchable when it comes to comparison with social media giants like Facebook, YouTube or Instagram that earns billions in revenue years by the year.

TikTok needs to work in its monetization department if they are looking to compete with YouTube and want content creators to join their platform.

One big reason for Tiktok to not being able to advertise precisely is the lack of users personal data that includes their likes/dislikes for various brands, topics, event and more.

The perfect example of this is Facebook that has access to users data which helps advertisers to run targeted ads.

TikTok is still a new app with enormous potential and its a bit unfair to compare it with companies like Facebook or Twitter since they've been around for more than a decade now.

TikTok's growth and engagement rate is quite impressive, but to become a billion-dollar company, they need to figure out a better monetization system.

Read next: ‘Misleading Information’ Banned on TikTok – Public Safety Beats Publicity
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