2/12/2025
As digital marketing continues to evolve, selecting the appropriate ad format is crucial for success, especially on platforms like TikTok. With over 150 million active users in the U.S., TikTok has become a powerful tool for brands aiming to engage with a younger audience, particularly Gen Z and Millennials. According to SOAX, 56% of Americans between 20 and 29 use TikTok, making it an extremely popular platform for that demographic.
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Jump to Ad Formats: In-Feed Ads, TopView Ads, Brand Takeover Ads, Branded Hashtag Challenges, Branded Effects
What to Keep in Mind When Choosing Paid Creative on TikTok
TikTok continues to expand its advertising ecosystem, with a strong emphasis on immersive, short-form video content designed to drive engagement. According to Unchained Music, 92% of users take action after viewing content on TikTok, whether that’s visiting a website, making a purchase, or following a brand. This makes TikTok one of the most action-driven platforms available for advertisers.
At FanIQ, we believe that TikTok’s success stems from its ability to seamlessly integrate entertainment and commerce. Unlike traditional social platforms, TikTok is increasingly being used as a search engine, with users actively looking for recommendations, tutorials, and product reviews, making it essential for brands to optimize their ads with relevant keywords and engaging content. To capture this intent, keyword-targeted ads should blend entertainment and information, using a strategic mix of Video for storytelling and Carousel to showcase multiple product benefits or features in a visually compelling way.
Additionally, TikTok is constantly evolving its advertising products. With interactive ad formats like Branded Effects, In-Feed Ads, and Brand Takeover Ads, brands have more opportunities than ever to connect with engaged audiences and drive measurable results.
Ad Formats
TikTok offers a variety of creative ad formats, each designed to match specific campaign objectives such as brand awareness, app installs, website traffic, lead generation, and conversions.
In-Feed Ads
Description: Full-screen vertical videos that appear within a user's "For You" feed, blending seamlessly with organic content.
What Works: Engaging, quick storytelling with a clear call-to-action (CTA) to encourage user interaction.
Ad Formats: Vertical Video
Placements: For You Feed
Common Campaign Objective: Awareness, Traffic, Lead, Conversion
Target Audiences: Past Buyers, Lower Funnel Prospects
Aspect Ratio: 9:16
TopView Ads
Description: Ads that appear at the top of the "For You" feed when a user opens the app, offering an immersive viewing experience.
What Works: High-impact visuals and sound integration to make a strong first impression.
Ad Formats: Vertical Video
Placements: Top of For You Feed
Common Campaign Objective: Awareness
Target Audiences: Broad Audience, Interest-Based Targeting
Aspect Ratio: 9:16
Brand Takeover Ads
Description: Full-screen ads that appear immediately upon opening the app, either as a 3-second image or a 3-5 second video, capturing user attention instantly.
What Works: Strong branding and concise messaging to deliver your message quickly and effectively.
Ad Formats: Image or Video
Placements: App Launch
Common Campaign Objective: Awareness
Target Audiences: Broad Audience, Interest-Based Targeting
Aspect Ratio: 9:16
Description: Encourage user participation by creating challenges that users can join, often leading to viral trends.
What Works: Clear instructions, incentivizing participation, and collaborating with influencers to amplify reach.
Ad Formats: Video
Placements: Discover Fades
Common Campaign Objective: Engagement, Awareness
Target Audiences: Mid-to-Upper Funnel Audiences, Interest-Based Targeting
Aspect Ratio: 9:16
Branded Effects
Description: Create custom stickers, filters, and effects that users can incorporate into their videos, enhancing brand visibility.
What Works: Aligning with brand identity and encouraging sharing to increase user-generated content featuring your brand.
Ad Formats: Augmented Reality (AR)
Placements: Camera
Common Campaign Objective: Engagement, Awareness
Target Audiences: Mid-to-Upper Funnel Audiences, Interest-Based Targeting
Aspect Ratio: Dynamic (AR experiences adjust to user interaction)
What is TikTok's Cost per Thousand (CPM)?
FanIQ’s clients had an average CPM of $8.64 in 2024. For the month of January 2025, FanIQ saw our clients CPM decrease by over 20% below the average. FanIQ also saw an increase in CPM by as much as 20% during the holiday season, which is lower compared to the 75% increase in CPM on Snapchat and 25% increase on Meta platforms.
Summary and Additional Paid Social Resources
Understanding TikTok’s unique ad formats is key to driving successful campaigns in 2025. Whether you're looking to raise brand awareness, drive conversions, or engage with younger audiences in creative ways, TikTok’s diverse ad offerings can help you achieve your marketing goals. By leveraging formats like In-Feed Ads, TopView Ads, Branded Hashtag Challenges, and Spark Ads, you can craft compelling, immersive campaigns that resonate with TikTok’s highly engaged user base and drive real action.
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Like this article? Check out our pieces on Meta, Snapchat, Reddit, and the TikTok Ban. Stay informed with FanIQ about platform updates and keep experimenting to maintain a competitive edge. Ready to elevate your Snapchat marketing strategy? Start planning your next campaign now!
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