Yesterday, the House passed a bill that could lead to TikTok being banned in the United States. The “Protecting Americans from Foreign Adversary Controlled Applications Act” calls for ByteDance to divest TikTok, or the app will no longer be available here in the U.S. The measure passed by a 352-65 vote, and now heads to the Senate.
A TikTok ban could be damning for influencer marketing as we know it. Brands that rely heavily on the platform as a key pillar in their marketing strategy are likely to feel the hit quite hard. Especially since the pandemic, the app has become a vibrant marketplace for brand-influencer collaborations. TikTok’s unique algorithm and creative functionality have empowered influencers to create content with unparalleled engagement rates – a goldmine for brands targeting Gen Z and Millennials. So, a TikTok shutdown would not just silence creators; it would unravel a key element of modern digital marketing.
According to a study from Influencity, 55.5% of brands preferred TikTok over other platforms for influencer marketing in 2023. The U.S. accounted for the largest number of active users on the platform, clocking in at 170 million. More than 7 million businesses rely on TikTok as part of their marketing strategy. And with the current value of influencer marketing worldwide estimated to be more than $21 billion, the potential loss of revenue for U.S. brands would be monumental if the app is banned.
Brands and influencers alike are being forced to reassess marketing strategies, identify alternative channels, and prepare to quickly pivot. If they haven’t already, brands should immediately begin diversifying their influencer portfolios. Investing in multi-platform presences and maintaining relationships with influencers across Instagram (used by 50.8% of brands), Facebook (used by 42.1% of brands), YouTube (used by 38.3% of brands), and other emerging alternatives can help ensure continuity in engagement and brand presence. Experimentation with new content and platforms could become the norm, and those who adapt swiftly are best poised to maintain a competitive advantage over other brands.
So, while a prospective exit of TikTok from the U.S. market poses a notable challenge to influencer marketing, it offers an opportunity for brands to reassess and transform their marketing strategies. The ultimate goal is always to connect with audiences where they are – and if not on TikTok, brands must be ready to meet them where they head next.
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