TikTok Taps Vimeo To Go After SMB Market
Google, Microsoft, and Facebook built a community of small and medium-sized companies to grow their respective ad businesses.
Small businesses feed Google and Facebook. Ten years ago, Ian Lurie answered the question of what percentage of Google’s ad revenue comes from SMBs. He wrote that for overall paid search, it’s something about 90% of their revenue, but SMBs did not drive a lot of that at the time.
Most SMBs, at the time, averaged less than $2,000 monthly. They had the numbers, but not the dollars.
Google in 2020 announced it would give $340 million to help SMBs hurt by the coronavirus pandemic. SMBs represent about 80% of revenue from Google Ads, which generated $147 billion in revenue last year.
The company continually launches new products for SMBs and tries to provide free services when possible,
Now short-form video company TikTok is making that same push — to support small businesses with help from Vimeo, the video software company. The two have teamed up to support SMBs and teach them how to use the platform as an advertising and a marketing tool.
The duo also plans to explore ways to support performance marketing, according to a spokesperson.
For now, the partnership focuses on helping small companies create content. “Vimeo and TikTok are solving one of the most significant pain points for SMBs in reaching customers: how to easily and affordably create professional-quality content at scale,” said Richard Bloom, senior vice president of business development at Vimeo, in a statement.
Participants in the pre-release test saw up to 50% higher clickthrough rates and were able to double the number of videos they created in a short time span.
Launch partners include Bridgeport, Connecticut-based NaturalAnnie Essentials, a family-run soy candle company that experienced a 5.5-time increase in conversion rate within the first two weeks of the trial campaign when compared with other forms of online advertising.
“We’ve saved thousands of dollars, the stress of shipping candles to a production studio, and lots of headaches by using Vimeo for our TikTok ads,” Annya White-Brown, CEO of NaturalAnnie Essentials, told TikTok. “… Now we create anywhere from 30-75 videos per month.”
Ahimsa Home, a stainless-steel kitchenware company for kids founded by Manasa Mantravadi in an effort to create plastic-free dinnerware options for her kids, ran ads for 7 days and saw over 120,000 impressions and more than 700 conversions.
Vimeo is the first creative SaaS platform to join the TikTok for Business Partner Program. This integration is available to Vimeo’s 200 million users.
The companies also partnered to develop exclusive custom Vimeo Create ad templates optimized for the TikTok platform.
It turns out the shelf life of videos on TikTok is short, according to the company, and requires publishing with more frequency. The recommended publish schedule is publishing TikTok ads at a minimum of three times weekly.