Social media and commerce go hand in hand as brands turn towards platforms like TikTok and Instagram to sell their products and services. The competition for audience attention is at an all time high as brands seek new ways to capture and hold potential customers long enough for them to make a purchase. The old method of pushing out a high volume of content isn’t as effective and content needs to be entertaining to stand out from the crowd.
According to Dash Hudson’s report The Renaissance of Content and Commerce, content marketing is experiencing a “renaissance moment.” Today’s social media landscape contains several opportunities for brands and influencers to move away from traditional social media techniques and towards creating high-value, entertaining content. Keep reading to learn more about the results of the report and what they mean for influencer marketing.
Who Conducted the Survey?
The Renaissance of Content and Commerce report was compiled by Dash Hudson, a social media management company whose platform provides insights and workflow tools to streamline an organization’s marketing operations. Dash Hudson hosts live and digital events and posts articles and videos regularly on their blog. Additionally, the company publishes case studies, global research reports, and eBooks on relevant topics within digital marketing.
Dash Hudson is a private Canadian-based company with under 250 employees. The company is headquartered in Halifax, Nova Scotia and continues to expand globally. Co-founders Thomas Rankin and Tomek Niewiarowski started Dash Hudson in 2015. Recent company data shows that Dash Hudson has raised a reported $2.7 million from their investor partners.
Dash Hudson used several data points when compiling The Renaissance of Content and Commerce. When measuring TikTok performance, they looked at the top brands in the world and created unique performance KPIs:
- Average Retention Rate: the average percentage of the selected video that people watched. Retention rate is equal to the average time watched over video duration.
- Average Completion Rate: the percentage of viewers that watched an entire video.
- Average Entertainment Score: a measurement of how entertained an audience was by TikTok videos using engagement rate and retention rate.
To measure how entertaining content drives sales and the power of social commerce campaigns, Dash Hudson used data provided by NielsenIQ. They analyzed some of the top beauty brands on TikTok and benchmarked how brands with high Entertainment Scores performed in their first six months of joining the platform. The performance of the most followed beauty brands on TikTok was also analyzed to define success metrics based on three tiers of audience size for each.
Three Key Takeaways
1. Most of the TikTok videos studied were between 11 and 15 seconds in length (26.4%). The data also shows that the shorter the video is, the stronger the retention and completion rates.
2. Analyzed beauty brands with an Entertainment Score of more than five grew by an average of 51% within the first six months of joining TikTok. Brands with an Entertainment Score of under five only grew by an average of 17% in their first six months on the platform.
3. Dash Hudson found that a brand’s number of followers is less correlated with the average number of views. Brands with medium-sized followings are able to create engaging content that receives similar views per post as the brands with the largest followings.
What Does This Mean for Influencer Marketing?
The first takeaway highlights the importance of keeping TikTok videos short and to the point. According to the data, the majority of TikToks are between six and 20 seconds in length. TikTok videos under five seconds in length had the highest levels of retention (81%) and completion (30.7%). As videos increased in length, there was a steady decline in both metrics. The steepest decline was observed between zero and 20 seconds and then the levels began to taper off.
As a content creator, good first impressions are essential to audience growth and retention, so it pays to keep your TikTok videos as short as possible. If you need to create a longer TikTok, make sure there’s value to the content to keep people engaged. Dash Hudson also found that 49% of TikTok users purchased a product after seeing it advertised on the platform. Keeping your videos short could enhance your sales conversion rates when posting content related to brand partnerships.
The second takeaway shows a correlation between brands with high Entertainment Scores and brands that experienced stronger sales growth in their first six months of joining TikTok. Dash Hudson found that brands that understand the importance of strong TikTok strategies are more effective at driving revenue.
The Entertainment Score metric includes both engagement and rates, both of which are important to your social media platform’s success. By creating engaging content and keeping things brief while getting your message across, you can increase your likelihood of rapid growth. Even if you’ve been on a platform for quite some time, shifting your content strategy can result in significant results in a short period of time.
The third takeaway highlights the power of engaging content and that a channel’s follower or like count has little to do with engagement rates. As shown in the chart below, the quality of a post is more important than quantity, as the average number of weekly posts between the different audience sizes varies only slightly.
Dash Husdon reports that because TikTok is an algorithm-driven channel, a brand’s number of followers is less correlated with the average number of views. They also suggest that influencers and brands should focus more on the entertainment value of their content rather than growing vanity metrics like followers or likes.
In summary, Dash Hudson’s comprehensive report on the state of content and commerce suggests consumers value entertaining content the most. Short-form video content, like TikTok videos and Instagram Reels, continue to perform the best. Today’s most successful brands and influencers are taking full advantage of these trends, which leads to audience growth and high engagement rates.
Link to the Report
The Renaissance of Content and Commerce can be found on Dash Hudson’s website, along with additional insights and research reports on digital marketing and social media trends.