TikTok has taken the world by storm, quickly becoming one of the most popular social media platforms. With over one billion active users, it’s no wonder that many people are wondering just how much money they can make from it.
The TikTok Creator Fund: How Does It Work?
To support the growing number of influencers on the platform, TikTok has established the TikTok Creator Fund. This fund pays creators based on their popularity and the number of views they receive. But you may be wondering, how much money does TikTok pay for 1 million views?
Short answer: TikTok pays between $20 and $40 for one million views. However, it’s important to note that the actual earnings can be significantly higher, depending on various factors.
Factors That Determine TikTok Creator Earnings
The specific calculations that TikTok uses to determine creator earnings are not publicly revealed. However, reports suggest that the platform considers factors such as geographic location, engagement rate, genre of content, and account health.
To give you an idea of the potential earnings, TikTok pays between $0.02 and $0.04 per 1,000 views. Keep in mind that in order to be eligible for earnings, a TikTok user must have received at least 100k views within the past 30 days.
Let’s take the calculations further. If we extend the initial calculation, we can estimate payouts for five million and ten million views. But how do these numbers compare to other platforms?
TikTok vs. Other Platforms
When comparing TikTok creators’ earnings per view to other platforms, such as YouTube, the numbers are substantially lower. YouTube influencers can expect to earn between $1,200 and $6,000 per million views, which is over a thousand times greater than what TikTok pays.
The reasons for this disparity are largely due to the types of videos native to each platform and the demographics of their respective audiences. YouTube videos are typically longer, allowing for the display of ads, and the older audience demographic makes advertisers willing to pay more.
Having said that, besides the TikTok Creator Fund, there are various other ways in which TikTokers can monetize their audience. Let’s explore some of these methods.
Ways to Monetize Your TikTok Audience
While earning substantial income from TikTok may be challenging for most creators, there are still opportunities for monetization. Here are a few popular methods:
1. Promotional Posts with Brands
Working with big brands to promote products or services is one of the most lucrative methods for influencers. In fact, creators charge between $0.01 and $0.02 per view for sponsored posts, earning them between $10,000 and $20,000 per million views. The amount varies based on the number of followers and the reach of the account.
2. Live Streaming
Live streaming allows creators to connect with their audience on a more personal level. Viewers can show their support by sending virtual gifts, which can be redeemed for payouts. For example, top ASMR creator Lucy Davis earns $300 per live stream, while interacting with her 600,000 followers.
3. Selling Own Products
A growing trend among influencers is selling their own physical or digital products. This allows creators to leverage their audience and generate significant income. Miss Excel, for instance, markets her online courses on TikTok, earning her an estimated $250,000 to $300,000 per month.
Top TikTokers and Their Earnings
2021 saw a significant increase in creator earnings on TikTok, with the top five influencers earning a combined total of $55 million. In particular, Charlie D’Amelio, the most followed creator on TikTok, earned an estimated $17.5 million. Her income came from various sources, including a clothing brand deal, influencer marketing, and a TV series.
In Conclusion
TikTok offers creators opportunities to earn money through the TikTok Creator Fund, promotional posts, live streaming, and selling their own products. While the exact earnings may vary, it’s clear that there is potential for creators to generate income on the platform.
As the world of influencer marketing continues to evolve, it will be interesting to see what other trends emerge and how creators adapt to monetize their audience. So, what are your thoughts on this topic? Where do you see the next influencer trends coming from? Share your comments below!
Note: This article is based on information available in 2023. For more insights and trends in the creator economy, you can check out our Creator Economy Statistics article.
