According to new data from data.ai, TikTok users spent $3.8 billion on the app throughout 2023, up 15% year-over-year, and highlighting the massive opportunity that TikTok has to become a broader marketplace.
And it’s not just in Asian markets where that spending is occurring.
𝗧𝗶𝗸𝗧𝗼𝗸 𝗖𝗼𝗶𝗻𝘀 𝗮𝗿𝗲 𝘁𝗵𝗲 𝗯𝗶𝗴𝗴𝗲𝘀𝘁 𝗺𝗼𝗻𝗲𝘆 𝗲𝗮𝗿𝗻𝗲𝗿 𝗳𝗼𝗿 𝗧𝗶𝗸𝗧𝗼𝗸 𝗮𝘁 𝗽𝗿𝗲𝘀𝗲𝗻𝘁
Based on data.ai, which tracks app activity, TikTok Coins are the biggest money earner for TikTok at present, enabling users to purchase virtual gifts in the app, who can then trade them for real-world currency.
𝗘𝗮𝗿𝗻𝗶𝗻𝗴 𝗮 𝗣𝗹𝗮𝗰𝗲 𝗔𝗺𝗼𝗻𝗴 𝗧𝗵𝗲 𝗠𝗼𝗻𝗼𝗹𝗶𝘁𝗵𝘀 𝗼𝗳 𝗠𝗼𝗯𝗶𝗹𝗲 𝗠𝗼𝗻𝗲𝘁𝗶𝘇𝗮𝘁𝗶𝗼𝗻
TikTok has surpassed the $10 billion gross revenue milestone, becoming one of only five mobile apps and the first non-mobile game to do so. It ranks alongside Candy Crush Saga, Honor of Kings, Monster Strike, and Clash of Clans as top earners.
𝗗𝗢𝗨𝗬𝗜𝗡: 𝘁𝗵𝗲 𝗺𝗮𝗶𝗻 𝘀𝗼𝘂𝗿𝗰𝗲 𝗼𝗳 𝗿𝗲𝘃𝗲𝗻𝘂𝗲 𝗳𝗼𝗿 𝘁𝗵𝗲 𝗖𝗵𝗶𝗻𝗲𝘀𝗲 𝘃𝗲𝗿𝘀𝗶𝗼𝗻 𝗼𝗳 𝘁𝗵𝗲 𝗮𝗽𝗽
TikTok’s Chinese app, “Douyin,” now relies on in-stream shopping for revenue. Despite efforts to expand this in Western regions, Western consumers have shown less interest in shopping. However, TikTok has seen success with in-app shopping in other Asian nations, including Indonesia, where restrictions were imposed to protect local businesses.
$𝟭𝟬 𝗕𝗶𝗹𝗹𝗶𝗼𝗻 𝗼𝗻 𝗪𝗵𝗮𝘁?
TikTok, a popular mobile app, is expected to reach $15 billion in consumer spending by 2024, with users spending over $11 million per day tipping content creators. This growth is driven by TikTok coins, which are used in one-time in-app purchases (IAPs) for virtual gifts. Data.ai Intelligence predicts that TikTok will become the highest-earning mobile app ever, surpassing Candy Crush Saga. By the end of 2024, TikTokers are expected to spend a 40-hour work week on the app, a 22% increase from 2023.
