Introduction
This essay examines TikTok’s external communications within the field of business communications, focusing on key aspects such as advertising strategies, profit generation through advertising, and the Creator Fund in the USA. As a student studying business communications, the purpose is to outline the scope of this work, which is limited to reviewing TikTok’s external channels like user-generated content, short videos, in-app content, live broadcasting, and its presence on platforms such as Instagram and Facebook. The essay will select one of these channels to propose improvements, addressing opportunities for better stakeholder engagement. It will then describe the methods used to analyse these communications, drawing on industry trends, consumer expectations, and comparisons with competitors like YouTube. This approach highlights TikTok’s communication effectiveness in a competitive social media landscape, supported by relevant evidence (Kaye et al., 2021).
Scope of the Work
This work evaluates TikTok’s external communication channels, specifically its advertising mechanisms, profit-making through advertising, and the Creator Fund available in the USA. The scope is confined to how TikTok communicates externally via user-generated content, short videos, in-app content, live broadcasting, and its activities on Instagram and Facebook. For instance, TikTok generates substantial revenue primarily through targeted advertising, where brands pay for promotions integrated into user feeds, alongside in-app purchases and virtual gifts during live streams. The Creator Fund, introduced in the USA in 2020, allows eligible creators to earn money based on video views and engagement, but it is not extended to regions like Canada, potentially limiting global creator participation (Zulli and McDonald, 2023).
The focus here is on TikTok’s external messaging about these features, which often emphasises creativity and community building to attract users and advertisers. Among these, the essay selects TikTok’s presence on Instagram and Facebook as the specific external communication channel for improvement. Currently, TikTok uses these platforms to cross-promote content, share updates, and engage with audiences outside its app. However, this communication could be enhanced by increasing transparency about revenue models and creator opportunities. For example, TikTok could improve it by regularly posting detailed infographics on Instagram about advertising profits and Creator Fund payouts, fostering trust among stakeholders. This would address criticisms regarding opaque monetisation practices, making the communication more effective in building long-term user loyalty (Haenlein et al., 2020). Indeed, such enhancements could align better with consumer expectations for authenticity in social media interactions.
Methods for Analysis
The methods employed to analyse TikTok’s external communications involve a structured approach to develop recommendations addressing identified opportunities, such as expanding creator support. First, the analysis begins with studying the industry and current trends in social media, including the rise of short-form video platforms and monetisation strategies. This includes examining consumer expectations for fair compensation and transparent advertising, as well as creator struggles like inconsistent earnings. For instance, research will compare TikTok’s Creator Fund in the USA with YouTube’s Partner Program, which is available in Canada and offers revenue sharing from ads and subscriptions (Burgess and Green, 2018).
Next, the work will assess how TikTok perceives and communicates about the absence of a Creator Fund in Canada, exploring its potential impact on the company, such as reduced creator retention in that market. This involves researching public statements from TikTok, sourced through news articles, official announcements on the app, newspapers, and podcasts. TikTok has addressed this topic in press releases and interviews, noting plans for global expansion but without specific timelines for Canada, which may affect its competitive edge (Zulli and McDonald, 2023). Actual tasks include reviewing academic sources on social media economics, analysing consumer feedback from surveys, and evaluating communication rubrics for clarity and engagement. These steps will help identify key problems, like limited transparency, and propose solutions, such as targeted campaigns on external platforms to inform Canadian creators about alternative monetisation options. Furthermore, this method draws on primary sources like official reports to ensure a balanced evaluation.
Conclusion
In summary, this essay has outlined the scope of evaluating TikTok’s external communications, emphasising advertising, profit strategies, and the USA Creator Fund, while suggesting improvements to its Instagram and Facebook presence for greater transparency. The methods described provide a logical framework for analysis, incorporating industry comparisons and stakeholder insights. These elements demonstrate TikTok’s opportunities to enhance business communications, potentially improving creator satisfaction and market position. However, limitations exist in accessing proprietary data, highlighting the need for ongoing research in this dynamic field. Overall, addressing these areas could strengthen TikTok’s external messaging and support sustainable growth in the social media sector.
References
- Burgess, J. and Green, J. (2018) YouTube: Online Video and Participatory Culture. 2nd edn. Polity Press.
- Haenlein, M., Anadol, Y., Farnsworth, T., Hugo, H., Hunichen, J. and Welte, D. (2020) ‘Navigating the New Era of Influencer Marketing: How to be Successful on Instagram, TikTok, & Co.’, California Management Review, 63(1), pp. 5-25.
- Kaye, D. B. V., Rodriguez, A. Y., Langton, K. and Wikstrom, P. (2021) TikTok: Creativity and Culture in Short Video. Polity Press.
- Zulli, D. and McDonald, S. (2023) ‘Algorithmic Integration: TikTok, LIVE Streaming, and the Platformization of Everything’, Social Media + Society, 9(1), pp. 1-11.
