TikTok Whiplash: How Brands Can Navigate Uncertainty

It actually happened. What consumers lamented and advertisers (and creators) feared, became a reality—at least for 12 hours—when TikTok went dark on January 18, after the Supreme Court upheld the proposed law that the platform be sold or it would be banned in the U.S. TikTok had previously told advertisers that it would automatically pause campaigns following the decision, but the pause on the consumer side came as a shock to some.
The app going completely dark was short-lived though. TikTok came back online early January 19, for consumers and advertisers, with a message to users that indicated President-elect Trump would delay the ban when he took office. On January 20, Trump issued an order to delay the ban for 75 days, giving TikTok until the end of March to either sell or risk being banned for good.
Where Does this Leave Advertisers?
MediaRadar reports that TikTok’s 2024 ad revenue reached $4.8 billion in the U.S., with top advertisers like Coca-Cola and Walmart dedicating at least $45 million to the platform. With a permanent ban looming, advertisers are now faced with reallocating TikTok ad budget to other platforms, without a one-to-one “replacement” for the app’s consumer base.
We’ve pulled together three key considerations that brands should be evaluating as the clock ticks down (pun intended) toward the end of the 75 day extension:
- Diversify, diversify, diversify. Social platforms have been volatile for years, and as privacy parameters get squeezed and regulatory measures are rolled out, brands should consider multiple platforms as they plan their paid social strategy.
- Follow the audience. Look for audience consumption trends to shift if TikTok is banned, and closely monitor where different cuts of your target audience are now spending time. While Instagram Reels and YouTube Shorts are seemingly close matches to the TikTok short-form video format, they might not be where consumers and creators decide to shift their attention.
- Adjust social performance content strategies accordingly. TikTok’s success is driven by short-form video content, but the same content strategy you had on TikTok may not be right for other short-form video platforms like YouTube, Instagram, and Snapchat. Brands should consider consumption trends on the platforms they invest in, and mold content for that platform. Leaning into creators is an effective way to connect with an audience through content.
As TikTok’s future remains uncertain, advertisers must remain agile, adapting their strategies to account for shifts in platform dynamics and audience behavior. By diversifying paid social ad spend and aligning with evolving consumption trends, brands can mitigate risk and continue reaching their target consumers effectively.
This article is featured in Media Impact Report No. 61. View the full report here.