TikTok finally implementing an ad revenue sharing model with TikTok Pulse
On May 4th, TikTok launched its Pulse program – a contextual advertising solution that enables brands to promote themselves by placing their name right next to the top content in the app. In return, TikTok will reward the content creator by giving them a share of the revenue.
TikTok Pulse implements a rather familiar monetization model to the platform. In spirit, it is very much similar to the one already employed by YouTube. The ultimate goal of TikTok is to consolidate a monetisation model that guarantees that “creators feel valued and rewarded” by the platform.
So, how will TikTok Pulse actually work? The program is very straightforward. Brands will be able to advertise through the top 4% of all videos in TikTok. They will also be able to choose from a number of categories in order to engage with the relevant communities.
During the initial phase of the program, only content creators with at least 100 000 followers will be able to participate in TikTok Pulse. It remains unknown whether there are plas to change this requirement in the future.
The program essentially introduces a financial incentive for creators to continue producing content and to keep expanding. If executed correctly, this will place content creators at the heart of TikTok and will enable the latter to sustain its rampant growth.
Many other social media platforms are making efforts to stimulate creators. Instagram, for example, has implemented features that encourage the creation of original content, by giving it greater visibility.
Now would be a good time for a word of caution. When YouTube introduced their partner program in 2018, the decision was dubbed as controversial and was met with heavy criticism from users and content creators alike. In part, this was because small-scale creators felt marginalized.
Only time will tell if TikTok Pulse will experience the same pitfall. For the moment, the new model does not look particularly fair, but it sounds, oddly enough, somewhat just.