The news: Direct-to-consumer (D2C) brands spent 231% more advertising on TikTok in Q2 than last year, with expenditures totaling $30 million, per analytics firm Triple Whale.
A home for large-to-midsize brands: Spending on TikTok was driven mostly by brands with revenues of $1 million to $5 million, rather than larger companies—a sign of the app’s strength with brands of various sizes.
Those ad formats allow advertisers on TikTok to curate their messages in ways that “speak or resonate with consumers,” said global head of marketing science at TikTok Jorge Ruiz in an exclusive interview with Insider Intelligence.
TikTok’s appeal goes beyond short video. The app has solidified its reputation in pop culture and has become a go-to for teens looking for content or recommendations of all sorts, eating even into Google’s market.
Looking down the road: TikTok may be soaring now, but its future may eventually resemble that of its embattled social media counterparts.
The big takeaway: TikTok’s advertising lead over its social media competition is growing. Its appeal to brands of all sizes and high engagement makes it a reliable platform for ad spending at a time when advertisers are precious about where to put their money.
This article originally appeared in Insider Intelligence's Marketing & Advertising Briefing—a daily recap of top stories reshaping the advertising industry. Subscribe to have more hard-hitting takeaways delivered to your inbox daily.