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Influencers are putting together their post-TikTok plans as a potential ban looms

14 December 2024 at 04:19
Joseph Arujo
Lifestyle and fashion creator Joseph Arujo said he no longer solely relies on TikTok for his business.

Joseph Arujo

  • TikTok faces a potential ban in the US if ByteDance doesn't divest by January 19.
  • The ban could impact creators relying on TikTok for income through brand deals and e-commerce.
  • Instagram and YouTube may benefit from a ban as creators shift their efforts.

TikTok creators and their teams are starting to take the threat of a ban in the US more seriously β€” and some wish they had begun preparing earlier.

TikTok could be yanked from US app stores as early as January 19 unless its Chinese owner, ByteDance, divests. TikTok is challenging the law in court but was just handed another legal defeat this month.

While a ban might annoy many of TikTok's 170 million US users, it would be far more impactful for those creators who use it to make money through brand deals, its Creator Rewards Program, or other methods.

"Looking back, I wish I had encouraged my talent to focus on YouTube Shorts about a year ago β€” but no time like the present," said Estella Struck, founder of Viviene New York, referring to YouTube's short-form video product. Viviene New York is a marketing agency that works with brands and several TikTok-native creators.

"We're already preparing to diversify by focusing heavily on Instagram, YouTube, and even LinkedIn for short-form video content," Struck added.

Other creator-economy insiders expressed similar sentiments to BI about diversification. They generally felt that they could continue to build up audiences on other platforms or income through other gigs.

"The creator economy would take a blow, but it wouldn't be fatal," said Jasmine Enberg, VP and principal analyst at EMARKETER. "While over half of US companies use TikTok to work with creators and influencers, TikTok accounts for 17.2% of total spending."

Some parts of the creator economy could be hit harder than others, however.

Barbara Jones, CEO of Outshine Talent, said a ban "would be crushing for the e-commerce side," like those creators and brands earning money through TikTok Shop.

"Live e-commerce is really just getting started in the US, and TikTok Shop is leading the way," Jones said. "So, I think that side would be devastated. I think for content creators that make short-form content, they will be less affected."

Sam Saideman
Sam Saideman, CEO of talent firm Innovo.

Sam Saideman

'We are acting as if it may actually be gone in January'

Jones said she's gotten "a lot of calls of concerns and worry" about a potential TikTok ban.

Many creators and managers are putting together post-TikTok plans, even if they think there's a chance it could stick around.

"We are acting as if it may actually be gone in January despite, in my opinion, not thinking it will actually be gone," Sam Saideman, CEO of talent firm Innovo, told BI. "Best case, it doesn't go away."

Some ways of preparing are easier than others, Saideman said.

"Low-hanging fruit is to migrate fans to other social platforms," Saideman said. "Harder sells are to migrate those audiences to a place that is not reliant on algorithms such as SMS lists, email lists, or exclusive membership groups."

TikToker Joseph Arujo, who has over 830,000 followers, said he believes that even if TikTok is banned, it'll be short-lived, and ByteDance would be forced to sell.

"I think it's scary now that there is this deadline," Arujo said. "But I'm weighing out my options and going to other platforms."

Arujo isn't the only creator thinking about making changes. Justine, a content creator who has almost 260,000 followers on TikTok, said she isn't too worried about the potential ban but is thinking about "shifting a lot of focus" to Instagram and YouTube.

"I think regardless of what job you have, what role you have, having more streams of income, especially in this economy, is almost essential," said Justine, who asked her last name not be used for privacy reasons.

Creator Lauren Schiller, cofounder of the clothing company OGBFF, said that in the short term, she would post to Instagram reels, and then look to make longer-format videos for YouTube and post on her brand's blog.

A TikTok ban wouldn't impact all creators equally, Enberg said.

"A ban would be detrimental to up-and-coming creators and small businesses that rely solely or primarily on the app," Enberg said. "Big brands and established creators would also be disrupted, but can better withstand the upheaval as they're more likely to have diversified their channels and have large, engaged audiences on other platforms."

Megan, who asked her last name not be used for privacy reasons, is a stay-at-home mom who uses TikTok Shop as a side hustle to earn extra income through affiliate commissions.

"It's good to save, to take the trips, to buy Christmas gifts, to live a little more not so paycheck to paycheck," she said, adding that she earned nearly $8,000 in TikTok commissions one month.

She said she planned to allocate time to her other side hustles to make money if TikTok is banned.

OGBFF
Lauren Schiller (L) and Angela Ruis (R) run a "Y2K"-inspired clothing company that has grown an audience thanks to TikTok.

Courtesy OGBFF/@chloegolan

The platforms creators and brands are turning to

"If there's a shift, I believe Instagram will likely take center stage, especially with its direct product-linking capabilities," Struck said.

Enberg said she thought Instagram and YouTube would be the biggest beneficiaries as they both have short-form video products that are natural fits for TikTokers.

"But even if a platform can replicate the technology, they can't force a change in culture," she said. "The type of viral, FOMO and trend-driven behavior doesn't exist on reels, even as the platform has tweaked its algorithm to better serve relevant content, including from smaller creators, to users."

Nya-Gabriella Parchment, cohead of brand partnerships at influencer firm Digital Brand Architects, said a lot of brands are betting on Instagram reels.

"It's easier to convert on Instagram, with ways to link out, so usually brands still use Instagram as their bedrock," Parchment said.

Parchment said creators are also interested in Snapchat again.

Arujo is one of them.

"Ever since the first threat of a TikTok ban, I decided I'm not going to rely on just this," Arujo said.

"Snapchat has been my No. 1," he said.

EMARKETER is owned by Business Insider's partner company Axel Springer.

Read the original article on Business Insider
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