There’s no question that TikTok is the latest phenomenon in social media. And extending from that is continued positioning as a brand marketing powerhouse to challenge Snap, Instagram and Facebook for ad spend. It has surpassed 1-billion global users and estimated revenues approaching $5 billion.
But what about local businesses? As we’ve examined, there are certain aspects of TikTok’s video formats that make it conducive to SMB marketing, such as its raw and unscripted vibes. A pair of L.A.-based businesses at last month’s Localogy 2022 were living proof of this opportunity (see more here).
Now, TikTok has extended its potential in local marketing with a partnership with Foursquare. Integrating Foursquare’s Attribution product, TikTok can now offer local businesses – including SMBs and multi-location brands – the ability to monitor how their TikTok presence drives real foot traffic.
Restaurants to Retail
Going deeper, this partnership will offer TikTok advertisers conversion insights resulting from their ads. This builds from an existing partnership that positioned Foursquare as TikTok’s exclusive location provider. The new integration with Foursquare Attribution will let advertisers answer…
– How many incremental visitors does TikTok drive to my store?
– How much do I need to spend on TikTok to drive one more person to my real-world business?
– Which audiences are driving the most value for my business?
This should appeal to a segment of TikTok advertisers and would-be advertisers with greater ROI clarity. That’s especially the case for offline businesses – everything from restaurants to retail. Given that TikTok is still somewhat new and experimental, analytics like this will be crucial to attract ad dollars.
To that end, these foot traffic and conversion insights will only be available to paid TikTok advertisers, as opposed to creators who produce organic videos. As such, it could be a customer-acquisition play for TikTok to get more creators and brands to convert to paid advertisers on the platform.
Foursquare’s Power Play Continues with Relaunched Places and New API
Power Play
In addition to TikTok’s strategic drivers and benefits from this deal, it could likewise advance Foursquare’s interests. The company continues its power play to be the go-to location-intelligence backbone for brands and publishers. Tieing itself to the rocket ship that is TikTok could be smart.
Furthermore, Foursquare’s location data gets stronger as it’s used in more places. For example, its APIs empower third-party apps to have better location functionality. And in return, it’s able to gain access to those apps’ opted-in first-party user data (privacy friendly) which in turn boosts its own capabilities.
Zeroing in on the attribution product that’s the subject of TikTok’s new partnership, it’s used by 1000+ brands and 500+ platforms and publishers. TikTok now joins that list, which could be one of many Foursquare software integrations to come for the social giant. We’ll be watching closely for that.
“Foursquare’s location-based attribution product helps businesses maximize the real-world impact of their marketing,” Foursquare director of business development Scott Townsend said in a statement. “We’re thrilled to be working with TikTok to help advertisers reach the right customers and understand the true impact of their campaigns in driving foot traffic to their stores.”
