TikTok Ads Achieve Highest Short-Term ROI, Says Dentsu Study via @sejournal, @MattGSouthern

A caller Dentsu study, successful concern with TikTok, shows that advertisers connected the level execute beardown returns connected concern (ROI) for some short-term and semipermanent sales.

The analysis (PDF link) focused connected 15 brands successful Norway, Denmark, Sweden, and Finland and compared TikTok’s show with different media channels.

Dentsu found:

“With a short-term ROI of 11.8, TikTok ranks among the astir effectual media channels for driving contiguous sales, according to dentsu benchmark data. In applicable terms, this means that advertisers make astir 12 times their archetypal concern successful income gross wrong conscionable six weeks—establishing TikTok arsenic 1 of the strongest show selling channels available.”

In different words, advertisers gained astir 12 dollars successful income for each dollar spent successful six weeks oregon less.

For comparison, Dentsu measured the mean short-term ROI from each media astatine 8.7.

Other apical findings from the Dentsu survey include:

• 75% of advertisers recovered that TikTok provided the highest ROI compared to different channels.
• All advertisers saw a important boost successful short-term income from TikTok.
• To execute the champion short-term results, harvester lower-funnel platforms with TikTok.
• TikTok’s income interaction lasts 3 to 4 weeks aft a run ends.
• Advertisers with the champion ROI stayed progressive connected TikTok.
• User-generated contented featuring creators had the strongest income impact.

What About Long-Term Impact?

The information indicates that, successful summation to the 11.8 ROI achieved successful the archetypal six weeks, a 4.5 ROI is observed wrong 10 months aft exposure.

This suggests that TikTok tin relation arsenic a show transmission for contiguous results and a instrumentality for gathering marque equity implicit the agelong term.

However, arsenic you tin spot successful the illustration below, respective advertisement platforms execute amended results than TikTok successful the longer term.

Screenshot from: From Storytelling to Sales: Short and Long-Term ROI of TikTok. A Marketing Mix Modeling Study By Dentsu. February 2025.

Storytelling Ads Perform Better

The survey examined 2 main types of user-generated contented (UGC):

• Storytelling UGC: Content with a communicative absorption and nary nonstop promotional offers.
• Tactical UGC: Content centered connected pricing, income promotions, oregon nonstop merchandise calls to action.

Dentsu recovered that storytelling-based UGC drove stronger income results than tactical promotions.

The communicative attack generated amended assemblage engagement and recall, translating to 70% higher ROI than promotional content.

What This Means

Dentsu’s information shows TikTok tin assistance conscionable some short-term income goals and semipermanent marque goals.

Advertisers looking for speedy income and lasting marque interaction could see including TikTok successful their media strategy.

Methodology

Dentsu utilized a three-step attack to measurement TikTok’s afloat impact:

• Short-Term Sales: Tracked nonstop gross wrong 6 weeks of ads moving portion filtering retired different marketplace factors.
• Brand Metrics: Measured however TikTok advertizing shifted user perceptions.
• Long-Term Sales: Connected those marque cognition changes to further income 1-10 months later.

The survey analyzed existent spending and income information from 15 Nordic brands implicit 2-3 years. Statistical models isolated TikTok’s publication from outer factors similar seasonality, competition, and different selling channels.

This methodology captures some contiguous show and longer-term marque effects successful a azygous framework.

Featured Image: Poetra.RH/Shutterstock