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TikTok In-Feed Ads are one of the most popular and effective ad formats on the platform, appearing directly in a user’s feed as a native video. With their ability to blend into the viewing experience, this type of ad helps brands easily reach their target audience. However, the TikTok in feed ads cost depends on many factors, such as budget, campaign goals, target audience, and the level of competition. Therefore, understanding the pricing mechanism will help advertisers optimize their return on investment. Let’s explore the ad costs in this article with Adsupport!
In-Feed Ads on TikTok are one of the most popular and preferred ad formats today. This is an ad type that appears directly in the feed, interspersed among the videos users are watching. Thanks to this native display method, brands can easily reach their target audience and introduce products or services in a subtle yet captivating way. With TikTok’s unique nature as a short-form video platform that is highly entertaining and quickly captures attention, In-Feed Ads are an ideal choice for businesses seeking to boost brand recognition and drive sales.
One of the standout advantages of In-Feed Ads is their strong ability to reach a young audience – the demographic that makes up the majority of TikTok users. These users love creative, concise, memorable, and highly entertaining content. Additionally, brands can leverage TikTok’s built-in creative tools, such as effects, music, and filters, to create dynamic, engaging, and more relatable ad content. Characteristics of TikTok in feed ads
In Feed Ads are displayed just like regular videos on a user’s timeline, allowing the ad content to blend in naturally and feel less intrusive. The goal is to get the brand’s products or services to reach potential customers directly.
The duration of In Feed Ads typically ranges from 5 to 60 seconds, with 15-30 seconds being the most common. This is just enough time to convey a clear message while fitting the short-form video viewing habits on TikTok.
TikTok is famous for its ability to generate strong engagement through features like likes, comments, shares, and follows. Therefore, In-Feed Ads don’t just stop at being displayed; they also encourage viewers to interact, which helps increase the conversion rate.
Businesses can customize their ads as needed, from choosing the video length, adding a title and description, to including a call-to-action (CTA) link to drive viewers to a website or product page. This offers flexibility in optimizing campaign effectiveness.
TikTok provides numerous creative tools for advertisers, from a huge music library and diverse filters to special effects. This makes it easy for brands to create captivating content, stand out, and increase the potential for going viral.
The majority of TikTok users are between the ages of 16 and 34, a young customer group with dynamic consumption habits who are easily attracted by new and fresh content. This makes In-Feed Ads an effective bridge between the brand and this generation of potential customers.
In feed ads on TikTok are a form of advertising that appears directly in a user’s feed, mixed in with regular videos. This is considered one of the most popular choices because it’s both native and easy to reach the right target audience. However, the cost of this ad type isn’t fixed and depends on many factors, such as the target audience, budget, duration, and the level of competition within the industry.
TikTok typically uses two main pricing models for In-Feed ads:
Example: Suppose you run an In-Feed ad campaign with an average CPM of 50,000 VND for 1,000 impressions. If you want to achieve 100,000 impressions, the formula is:
Cost = (100,000 / 1,000) x 50,000 = 5,000,000 VND.
Similarly, if you choose the CPC model and the average cost is 3,000 VND/click, with 2,000 clicks, the cost will be:
Cost = 2,000 x 3,000 = 6,000,000 VND.
TikTok often requires a minimum budget to launch an ad campaign. For example,
This helps ensure the ad has enough distribution to provide accurate data and measure effectiveness.
Running in feed ads on TikTok is not always cost-effective. Without a clear plan, the budget can be quickly depleted without delivering commensurate results. Here are some common reasons:
If advertisers choose a target audience that is too broad, the ad will be shown to many people who are not actually interested in the product or service. This leads to a high CPM (cost per 1,000 impressions) with a low conversion rate.
Example: You run a campaign with a 10,000,000 VND budget, targeting the entire country, with an average CPM of 80,000 VND. You’ll only get 125,000 impressions. However, if only 1% of those are interested, you’ll only get 1,250 clicks, and the average cost per click goes up to 8,000 VND/click, which is much higher than a typical effective rate.
TikTok is a platform that values creativity and a video’s potential to go “viral.” If the ad content is too monotonous or resembles a traditional ad, users will easily skip it. When the engagement rate is low, TikTok will assess the ad as low-quality, resulting in higher distribution costs.
Example: An ad video only achieves a CTR (click-through rate) of 0.5%, while the average on TikTok is usually around 1.5%–2%. If you spend 5,000,000 VND and only get 250 clicks, the cost per click will be as high as 20,000 VND/click – too expensive for a low-cost product.
Some sectors like fashion, cosmetics, or tech products have fierce competition on TikTok. When many brands are bidding for the same audience, the ad bidding price will automatically increase.
Example: If you normally pay 1,000 VND/impression, during a peak season (like Black Friday), this number could increase to 1,500–2,000 VND/impression. With a 20,000,000 VND budget, you could lose 5 –10 million VND just because of increased bidding costs.
A common mistake is setting the budget too high from the start, which causes TikTok to distribute the ad too quickly without proper optimization. This leads to the budget being “burned” quickly before you have a chance to collect data and make adjustments.
Example: You set a budget of 3,000,000 VND/day, but the video content is not yet optimized. After 3 days, you’ve spent 9,000,000 VND and only received a few hundred clicks, making the cost per click tens of thousands of VND.
TikTok ads require regular monitoring and adjustment. If you let a campaign run automatically without analyzing the data, the ad will continue to be distributed to an ineffective audience.
Example: If after 7 days, the conversion rate is only 0.3% with a cost of 15,000,000 VND, you might only get about 45 orders. This means the cost per order is up to 333,000 VND, while the product value is only around 200,000 VND, resulting in a loss.
The TikTok in feed ads cost can be flexible depending on the advertiser’s goals, audience, and optimization strategy. By properly allocating your budget, testing creative content, and optimizing your targeting, you can absolutely control costs while still achieving high effectiveness. This is the key to turning In-Feed ads into a smart investment channel for your brand on TikTok.
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Frequently Asked Questions
Generally, TikTok requires a minimum budget of about $20/day for an ad group and $50/day for a campaign. However, the actual cost can vary depending on how you set up your goals, choose your audience, and the level of competition in your industry.
This is often due to factors such as targeting too narrowly, high-competition hours, or unengaging ad content that leads to a low engagement rate. For example, if 1,000 impressions (CPM) during peak hours cost $6 instead of $4 during off-peak hours, the total cost will increase significantly. Therefore, testing different time slots and optimizing content is a way to help save your budget.
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