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TikTok Introduces New Monetization Tools for Creators Amid US Ban Threat

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By facilitating content creators’ income generation on its shopping platform, TikTok is potentially strengthening its opposition to a US law that requires Chinese parent company ByteDance Ltd. to sell the video app by January or face legal repercussions.

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Although TikTok did not formally announce the change, users have noticed in the last few days that the minimum number of followers needed to join the affiliate program has decreased from 5,000 to 1,000. Affiliates who create videos endorsing goods available in TikTok Shop are eligible to receive commissions for any sales they bring in.

Proponents of the divest-or-ban law say ByteDance’s links to China put the data of 170 million US users at risk. The company sued the US, arguing that a ban would violate its free-speech rights. Earlier this month, a group of TikTok creators filed their own lawsuit based on a similar argument.

By giving more content creators an opportunity to make money, TikTok can shift the narrative to big government stifling small business. The company declined to comment.

Most TikTok users can easily get to 1,000 followers, so the change will open the affiliate program to more “micro influencers,” who are willing to make videos solely for commissions, said Mindy Yang, co-founder of TikSage, a consulting firm that helps brands market and sell products on TikTok Shop.

Creators with 5,000 or more followers often want to be paid directly by brands in addition to commissions, she said.

“It’s a numbers game,” Yang said. “Brands want to work with as many creators as possible to make it more likely their products go viral, which is easier when you are only paying commissions.”

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