TikTok introduces a feature called "Small Gestures" for virtual gift giving. #Article

TikTok introduces a feature called "Small Gestures" for virtual gift giving. #Article

"Small Gestures" is a new feature in the TikTok app that allows users to send and receive free, virtual gifts from the application's various brand partners.

These gifts are intended for promotional purposes but are basically free to give.

As TikTok quotes, "By partnering with our brand partners on this new initiative, we are able to give users a forum to feel connected to their friends and family through the simple gesture of sending a gift to someone who may need it the most. And thanks to our generous partners, these 'Small Gestures' are provided free for all TikTok users to send gifts up to three separate times."

There is a digital rather than tangible dimension to the gifts on offer. The software offers tons of gift options, some of which are:

  • 1 month Free access to DashPass
  • 90 Day access to Adobe Premium Rush
  • 90 day subscription to Spotify, and so on
And you get the picture of such "gifts." These are free promotional deals which are targeted at bringing more customers to use their services.
Small Gestures gifts are easy to send, and can be easily navigated via the Discover tab.

Users will search on the discover page for "Small Movements" and then tap the purple banner for the software. Once you tap that, you'll receive a list of free and exciting deals you can send via message.

Using these promotional business strategies, we can witness a gradual transition from TikTok to an eCommerce app as an entertainment product.

Monetisation for small video apps like TikTok has always been a concern. Because of the short length of these videos, it is difficult to make money off the mid-roll advertising or other promotional material. Among these reasons, it may be that TikTok seeks various ways to profit from the choices among brand promotion and generate revenue not just for itself, but also for the top developers.

Monetization was a success in a Chinese version of the TikTok app named "Douyin." Their introduction of eCommerce into the app was a success in generating revenue and may have motivated TikTok to do likewise. This Chinese app reportedly generated last year revenue in excess of $122 million which is twice as much as TikTok made.

TikTok is exploring new eCommerce tools and influencer platform in the hopes of providing developers with more revenue-generating choices. TikTok is setting up its own commercials featuring its own creators to get more viewers. Nonetheless, inserting ads via eCommerce or UGC may not be enough to create a reliable revenue generation source.

For TikTok the situation is actually very difficult. It can take them a while to develop an effective revenue generation program. The longer it takes, however, the greater the chances of its developers to wander off the web to other sites such as Facebook or Youtube to make money right from the getgo.

The already reliable revenue generation source of YouTube can prove to be a challenge for TikTok, as Youtube tries to make its own TikTok version.

If TikTok can improve its eCommerce and enhance brand partners' promotion opportunities, its transition to the next step can be beneficial for TikTok to make a name for itself in the eCommerce sector

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