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Why TikTok is a Must-Invest Channel During Peak Periods
Smeg and Home Depot have dramatically increased their EMV through the use of the short-form media platform. Are you capitalizing on your TikTok marketing strategy?
Fospha's TikTok Playbook reveals why TikTok is an essential channel for marketers, particularly during peak periods like Black Friday and Cyber Monday.
Here’s why investing in TikTok during these critical times can significantly boost your brand’s performance.
1. Unmatched Potential During High-Traffic Periods
TikTok’s explosive growth has made it a powerhouse for eCommerce, especially during peak. As brands increase their TikTok spending, the platform has shown exceptional return on ad spend (ROAS), particularly during high-traffic times.
Fospha’s data shows that TikTok is becoming a crucial part of the marketing mix, with an average of 10% of brands’ marketing budgets now allocated to the platform.
By capitalizing on TikTok's unique ability to capture consumer attention during peak, brands can enhance visibility, drive conversions, and outpace the competition.
2. Effective Full-Funnel Strategy for Sustained Growth
Investing in TikTok during peak periods requires a comprehensive full-funnel strategy. Fospha’s playbook emphasizes the importance of engaging consumers at every stage—from awareness to conversion.
During high-traffic events, utilizing a full-funnel approach ensures that your brand not only captures immediate demand but also nurtures potential customers for future growth.
By investing in TikTok's entire funnel, brands can sustain their momentum beyond the peak period, driving continued engagement and sales.
🏠 Home Depot is leading the way
Possibly the most recognizable logo in the home improvement space, Home Depot has gained notable momentum on TikTok, bolstered by a robust partner program. From October 2021 to September 2022, the retailer saw a 46% year-over-year increase in Earned Media Value (EMV) from TikTok content, pulling in $5.4M via the short-form video platform.
This gain can be largely attributed to impactful activity from official ambassadors who promoted Home Depot as part of themed TikTok campaigns. While the McFarland family, known for their wholesome humor, revamped their backyard as part of the brand’s June #THDxUpgradeYourSummer initiative, college student Bailey Weaver participated in August’s #THDBacktoClass promotion by showing off her chic dorm room.
Across all social platforms, mentions of #HomeDepotPartner generated $5.9M EMV from 189 creators during the time period monitored, contributing to the brand’s 24% YoY growth in net EMV ($66.1M).
3. Maximizing New Customer Acquisition
TikTok excels at attracting new customers, with a significant percentage of purchases coming from first-time buyers. The platform’s broad reach and engaging content format make it ideal for product discovery.
By investing in TikTok during these high-traffic times, brands can tap into a vast audience of potential new customers, maximizing their acquisition efforts and driving long-term growth.
4. Creative Optimization for Peak Engagement
TikTok’s success hinges on creating content that resonates with its audience. During peak periods, the competition for attention is fierce, making creative optimization more critical than ever.
From October 2021 to September 2022, Smeg saw a 6% YoY growth in overall EMV ($10.6M), with its TikTok EMV ($787.5k) surging 589%.
Fospha’s playbook highlights the need for platform-native, trend-driven content that feels organic to TikTok users. By focusing on creative optimization, brands can enhance their visibility and engagement, ensuring that their campaigns stand out when it matters most.
A poster child for effective influencer marketing in the home industry, Smeg might be best known for its appliances’ cult following on Instagram. However, TikTok creators are just as eager to bring the brand’s signature retro aesthetic to their kitchens.
While TikTok’s home decor enthusiasts have championed a variety of the brand’s offerings, from toasters to juicers, Smeg’s pink fridge enjoyed particular notoriety: lifestyle guru and self-described “maximalist” Rachel Martino declared that she was “obsessed” with the item, while comedy TikTok creator Kendy Du proclaimed her “love” for the unique appliance.
Notably, the vast majority of TikTok content about the brand was organic, rather than tied to sponsored partnerships. Smeg did, however, benefit from inclusion in affiliate campaigns by e-tailers like Riverbend Home, which invited brand partners to highlight Smeg in posts touting sitewide discount codes.
5. Accurate Measurement for Informed Investment
Investing in TikTok during peak periods is only effective if backed by accurate measurement. Traditional metrics often undervalue TikTok’s impact, leading to underinvestment.
Fospha’s advanced measurement approach reveals that TikTok deserves far more credit than it typically receives. By accurately measuring TikTok’s performance, brands can make informed decisions, optimizing their budgets and strategies to maximize ROI during peak periods.