With almost 18 million users in South Africa, TikTok has become a powerful marketing platform for businesses including SMEs (small and medium-sized enterprises).

According to Lawrance Ramotala, Area Manager, Business Partners Limited, TikTok is at the forefront of the rise of short-form video content that has taken the digital marketing world by storm.

Traditional advertising, which can be expensive and often impersonal, is losing to digital storytelling, whereas authentic and engaging content connects brands with their customers.

Ramotala said that TikTok offers a unique opportunity for SMEs to reach a broad and engaged audience with minimal investment.

“The app’s algorithm is designed to display content from accounts with little to no following, making it easier for small businesses to gain visibility. This is perfect for smaller businesses that may not have large marketing budgets but still want to make an impact.”

How to turn engagement into revenue growth

South African entrepreneur Jared Fynn, founder of CloudHaus, is an example of how leveraging authentic content and storytelling can result in a thriving business without traditional advertising.

Fynn, who has a background in architecture and a passion for design, noticed a gap in the market for locally made furniture.

Instead of settling for what was available, he decided to create something he and his friends were looking for.

"No one was making the kind of furniture that myself and my friends wanted, at a price we could afford. So, I decided to make it myself instead," Fynn said.

He started posting videos on TikTok to showcase how he designed and built his furniture, giving people an inside look at his craftsmanship, inspiration, and challenges along the way. His approach resonated with viewers, leading to organic engagement and growing sales.

As CloudHaus grows, Fynn plans to expand his offerings to include custom interior design services and a new furniture collection.

Another example of a South African entrepreneur thriving on TikTok is 25-year-old Chioma Asomugha, owner of Aesthetics by Chioma, who promotes her business on the platform.

Asomugha said that TikTok has opened so many doors for her as opportunities and connections came flying in when she started to take the platform seriously.

TikTok has played a huge role in helping the entrepreneur reach a wider audience and growing her skincare brand's presence online, according to Asomugha.

“TikTok is pretty much the only way I grow my audience and reach customers. I used to focus on other platforms, and my reach was capped. But on TikTok, it is so much easier to grow a community and widen your audience, which easily converts your community into customers,” Asomugha said.

“I believe that TikTok is offering small businesses previously unimaginable access to potential customers.“

Lessons for SMEs

Instead of focusing solely on the product, businesses should highlight their journey as well as the people behind the brand to foster trust, engagement, and ultimately, conversions.

Fynn shares three key lessons for SMEs

- Prioritise storytelling: People engage with relatable stories and genuine insights, not hard sales pitches.

- Use content to build relationships: Fynn incorporates feedback into my designs and content, allowing his community to see their ideas come to life.

- Leverage digital platforms strategically: Fynn said that he has spent time analysing his style of his favourite creators and refining his content to create a distinct visual and narrative style for CloudHaus.

Ramatola has also shared his top five tips to help SMEs find success on TikTok:

Embrace creativity

TikTok allows small businesses to humanise their brands and connect with potential customers on a personal level, which is vital in the current competitive market, according to Ramotala.

He said: “Whether it’s a behind-the-scenes look at how your product is made, customer testimonials, or educational content that offers value to your audience, the possibilities are endless.”

Understand your audience

Ramotala said that before small business owners take the TikTok dive they need to understand who their target audience is and whether the customers they are targeting are active on the platform.

“TikTok’s user base tends to skew younger, with the majority being GenZ and Millennials. However, these younger consumers are influencing purchasing decisions and account for a growing percentage of the workforce and entrepreneurs themselves,” Ramotala said.

Small business owners need to keep in mind that even if their customers are not on TikTok, the children, employees, or business partners of their customers may be on the platform which is enough of a reason to consider TikTok.

Stay genuine

According to Ramotala, TikTok success relies heavily on authenticity.

“Users are drawn to genuine, unpolished content that feels more like entertainment than traditional advertising, to effectively market on the platform, staying on top of trends is crucial,” Ramotala said.

“TikTok thrives on viral sounds, challenges, and themes, and creatively aligning your product or service with these trends can increase your chances of going viral and reaching new audiences.”

Share educational content

Ramotala said that users can turn to TikTok for quick tips and insights.

If the small business that you own offers a specialised product or service then sharing how-to videos or informative content can position you as an expert in your field.

Collaborating with micro-influencers who have smaller but highly engaged followings can be a cost-effective way to promote your small business, according to Ramotala.

Cybersecurity

As small businesses explore TikTok online security should not be overlooked as small businesses are often easy targets for cybercriminals due to limited security resources, according to Ramotala.

“A few simple steps, like using strong passwords, enabling two-factor authentication, educating employees, and monitoring account activity, can go a long way in keeping your business safe online,” Ramotala said.

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How SMEs can be successful on TikTok