TikTok delivers a 22% higher ROI for CPG brands compared to other measured media according to new research presented at the social media platform's inaugural consumer-packaged goods (CPG) event in Australia.

The event last week attracted over 200 CPG marketers and aimed to showcase TikTok's effectiveness and efficiency as a marketing platform for CPG brands in Australia.

TikTok's Head of Marketing Science for Australia, Japan, and Korea, Rory Dolan, presented new research at the event, 'TikTok AUNZ MMX CPG Meta', conducted by Nielsen in 2023, which positioned TikTok delivering 22% higher ROI for CPG brands compared to other measured media. The research also indicated TikTok drives twice the sales effectiveness for CPG brands.

Further research conducted by Kantar, 'TikTok Marketing Science, Cross Media Meta-analysis, APAC, 2024', positioned TikTok is the leading digital platform for cross-channel motivation in the APAC region.

Head of Marketing Solutions at TikTok AUNZ, Hayley Saddleton, explained how TikTok's effectiveness for advertisers is supported by the research presented.

"Our research shows why TikTok's 'magic', like its trending moments, and engaged community of users, as well as the 'logic' based strategies which drive meaningful and measurable impact, are so important for brands who rely on TikTok for advertising effectiveness," she said.

During the industry leader panel discussion, insights and advice were shared by Chris Colter from Initiative, Fern Shannon from Unilever, and Tracy Hardwick from PepsiCo. Fern Shannon, Director of Digital Marketing, Media and Commerce at Unilever, stated TikTok is crucial for CPG marketers as it taps directly into current consumer behaviours.

"TikTok is crucial for CPG marketers because it taps directly into current consumer behaviours. Trends like product reviews and user-generated content drive consumer trust and engagement," Shannon said.

"The platform's recommendation engine amplifies these authentic voices, making it a powerful tool for influencing purchasing decisions. For CPG brands, this means our products can be seen, discussed, and recommended by real users, creating a ripple effect that significantly boosts brand awareness and sales."