Is TikTok Advertising Getting Easier? Understanding TikTok’s New Generative AI Offering

14 Nov 2024 Michelle Wiltz
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in Digital, Social Media, Strategy, Trending

TikTok has launched a new AI-powered tool, called Smart+, which internal testing indicates can improve ROAS by 52%. Smart+ automates various tasks including bidding, targeting, and actual ad creation. Like all AI advertising solutions, Smart+ seeks to reduce manual time while improving output.

The Stella TLDR: Smart+ will offer the opportunity to create and scale campaigns while staying in control of the overall strategy. Smart+, which combines automated content production with real-time optimization, allows advertisers to drive both awareness and conversions, which is different from all other TikTok advertising tools.

Smart+ was recently released from Beta—which we had access to—and new features are now added every day. To note: AI-powered offerings from competitors have proven unsteady out-of-the-gate; with our expertise, we deliver a balanced approach that blends automation with strategic oversight. Ultimately, Smart+ represents a significant step forward in social commerce innovation, offering automated content, real-time optimization, and unique offline integration.

 

THE NITTY GRITTY

While TikTok encourages brands to produce content for their feed, one of the key features of Smart+ is how it can be used in different campaign types. The platform encourages brands to drive traffic to their site, download apps, and increase sales, regardless of how they perform on social media. 

Campaign types available:

  • Smart+ Web Campaigns reduce friction in the user journey, requiring fewer actions to drive to your website, boosting conversion rates and decreasing overall cost-per-action (CPA). 
  • Smart+ Catalog Ads use TikTok’s deep understanding of user behavior to bring products most relevant to the individual user, boosting ecommerce performance as intent can be matched to any interest surface across the entire marketing funnel. 
  • Smart+ App Campaigns drive installs using relevant ads leveraging TikTok’s unique trade-of-discovery algorithm to promote apps.

Recognizing the importance of meme-like content, Smart+ has a creative engine called TikTok Symphony where AI learns from vast amounts of data about what audiences like and is capable of creating high-performing ad creatives on-demand to increase efficiencies for advertisers. TikTok Symphony can, therefore, reduce creative development costs and deliver relevant content to the audience. Brands should continue to develop assets for their campaigns, while testing the Smart+ creative development tool.

Again, internal tests for Smart+ at TikTok have indicated ROAS improvements by up to 52%, when compared to normal bidding processes and strategies. Smart+ achieves this boost in performance by making real-time changes to campaign variables such as bids and ad delivery to drive down the cost per conversion and find the most qualified buyers for the campaign. In theory, Smart+ is designed to automatically make the right decisions at the right time to maximize the return on every ad dollar spent.

 

FAST TRENDS, FAST RESPONSE

Smart+’s strength lies not only in its automation, but also in its operation as a platform that understands TikTok’s inner workings. This point is key. Trends change daily. Engagement soars and falls rapidly. Advertisers that succeed on TikTok tend to be fast moving, whether or not they have limited experience on the platform. Smart+ can identify TikTok signals and feedback so that content is shown at the precise moment that matters most to the audience.

Another important part of Smart+ is that it enables brands to display TikTok content in-store.

  • Out of Phone: Retail is yet another of Smart+’s features because it enables retailers to display TikTok content in-store, connecting online engagements to in-store activities. In our omnichannel world, this offline strategy is a unique value-add for both marketers and advertisers​.

 

AI + HI (Human Intelligence)

To truly maximize Smart+’s potential, we’re focusing on continuous experimenting and real-time adjustments. As we adopt this technology for clients, we will balance automation with strategic oversight to ensure that our campaigns remain aligned with our broader marketing efforts. We view Smart+ as another tool to be integrated across multiple touchpoints in an advertising funnel.

In embracing Smart+ AI, we aim to not only streamline campaign management and reduce costs, but also to create a dynamic, responsive advertising strategy that can evolve as quickly as the TikTok platform itself. As we continue to integrate Smart+ into our campaigns, we will be well positioned to drive both brand awareness and conversions, ultimately creating a more efficient and impactful presence on TikTok for clients.

With its capabilities in automated optimization, real-time responsiveness, and in-store engagement, Smart+ enables us to effectively reach targeted audiences, drive conversions, and stay aligned with rapidly shifting trends on TikTok.

 

Looking to learn more about how we can supercharge your marketing with an expert blend of AI and HI across platforms? Connect with us.

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