How to run ads on Tiktok Shop effectively and optimize costs

Although it has only recently appeared, TikTok Shop has become a popular sales platform for many businesses due to its large potential customer base and diverse sales formats. However, if you are starting to build your channel and have a limited budget, consider running ads on TikTok Shop to promote your brand and boost revenue. In today’s article, Optimal Agency will share how to run ads on Tiktok Shop effective and low-cost. Check it out now!

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Why should you run ads on Tiktok Shop?

TikTok Shop ads are a form of advertising on the TikTok app platform to introduce products, services, or brands. When you choose to run TikTok Shop ads, your business will reap the following benefits:

Why should you run ads on Tiktok Shop?

Reach a large number of target customers

The number of users on TikTok is growing, especially among young users aged 18-40. This is also the potential customer base for every business with a high demand for online shopping.

Furthermore, TikTok Shop creates and provides appropriate content based on customer shopping behavior. By analyzing data and effective content standards, it identifies and reaches potential customers efficiently.

High interactivity

TikTok leads in creating new trends in social media content creation. This attracts the interest and attention of young users on the platform. Therefore, businesses can create short videos to introduce products uniquely and attractively. Combining this with running TikTok Shop ads helps spread the word widely and increase customer interaction.

High conversion rate

To promote products and services on TikTok Shop, businesses need to create creative, unique content combined with the latest visual and audio effects. This quickly and effectively conveys the brand message. Additionally, the platform provides a feature for online shopping directly on the app, increasing the chance of converting views into purchases quickly.

Low cost

Compared to other e-commerce platforms, TikTok Shop is relatively new and less competitive. Moreover, advertising costs on TikTok Shop are reasonable and effective for businesses. Particularly, the platform has many cost-support policies for new shops. Businesses can attract target customers through appropriate product advertising formats to enhance sales effectiveness.

What do you need to prepare to run Tiktok ads?

If you want to run successful, effective, and low-cost TikTok Shop ads, you need to prepare the following elements:

Register an account and set up a Tiktok Shop

This is the first step before starting to run TikTok Shop ads. Depending on the business, there are different conditions for creating a shop. You should thoroughly research the categories of products allowed or prohibited to avoid account deactivation.

Once you have a valid TikTok Shop account, you need to create a landing page to attract customers to stay on the product page longer, increasing traffic effectively. The landing page should include information about product images, promotional programs, contact information, prominent products, etc. The landing page should be placed in the introduction section or signature on the TikTok Shop page.

Create attractive promotional videos

For your product or shop introduction videos, besides providing product information, you should blend in entertainment elements to attract more viewers. Choose appealing video topics suitable for your target audience. Make the video content engaging and provide a great user experience.

Focus on impressing viewers within the first 3 seconds with questions or intriguing statements. Add popular music and effects to enhance interaction and emotional connection with viewers, increasing brand recognition. Include calls to action at the end of each ad video.

Some video ad ideas include product reviews, unboxing videos, spontaneous outfit combinations, demonstrating product effectiveness, etc. Before posting the video, you should place a direct link to the product on TikTok Shop to facilitate easy purchasing for viewers.

Use a TikTok Agency advertising account

There are three main types of ads on TikTok Shop: Live Shopping Ads, Video Shopping Ads, and Catalog Listing Ads. Catalog Listing Ads are not available to all users. To use this ad type, you need a TikTok Agency ad account. Additionally, this type of account allows sellers to access and use all ad formats.

Moreover, you can promote products and target audiences in all countries where TikTok operates. Besides, you can use the account to run unlimited ad campaigns. If the account is deactivated, the agency will support you by providing another account for use.

Top-up coins in the account

Unlike regular TikTok ads, TikTok Shop ads use coins for payment. The minimum number of coins required to top up each time is 30 coins. You can receive coins directly or from fans. To top up coins in the TikTok Shop ad account, visit the link: TikTok Coins and enter the number of coins you want to top up.

Instructions on how to run ads on Tiktok Shop

If you want to create an advertising campaign on Tiktok Shop, go to Tiktok Shop Ads Manager and select the Campaign tab, then select Create and select Custom Mode. For each form of Tiktok Shop advertising, there will be its setup method:

Instructions on how to run ads on Tiktok Shop

Live Shopping Ads

In the advertising goals section, select Buy at store. Next set up ad information: ad group name, Store settings (in the Ad type section, click LIVE Shopping), location, targeting, budget & schedule, bid & max Optimize.

In the ad detail settings section, complete the following items: ad name, ad format, ad details, and tracking (if necessary). When setting up your ad, you can choose one of two ad video formats: standard video or Live Video. After completing the setup, click Submit and wait for Tiktok’s approval.

Video Shopping Ads

Select Buy in Store as the campaign objective. In the Ad Group settings, select the desired Tiktok Shop store, and then in the Ad Type section, select Video Shopping. In the Identity section, select your business’s Tiktok account. As for location, you can only choose on Tiktok. Regarding targeting, choose ages 18+. Next, set up a Budget & Schedule, Bid & Optimization.

When setting up your ad, you name the ad, and then in the Products section you can choose One or more products as you like. Next, select the ad template as a Tiktok post belonging to the selected business Tiktok account. Then complete the ad settings and click Submit to wait for Tiktok’s approval.

Catalog Listing Ads

For this type of advertising, choose Product Sales as the campaign goal. When setting up an ad group, in the Ad type section, click on Product category ads. Next, choose a suitable catalog to advertise. Next, select TikTok pixel and click Complete payment in the Optimization Events section.

Now set up your targeting, Budget, and Schedule settings. In the Optimization Goal section, select Conversions and fill in the cost limit. Now complete the Ads section by selecting Identity to display in the ad. Enter ad video details. Finally, click Submit and wait for Tiktok to review.

Tips for running Tiktok Shop ads effectively

Not only do you need to understand the instructions for running ads on Tiktok Shop, but you also need to keep the following tips in mind to get the best advertising results:

  • Ensure full compliance with all regulations in Tiktok’s advertising policies.
  • Carefully research the characteristics and behaviors of the target audience to create appropriate content. At the same time, choose the posting time frame that receives the most interactions.
  • Create unique promotional videos with relevant and attractive content to attract customers’ attention. Take advantage of Tiktok trends, use trending music and effects, and compelling calls to action.
  • To improve outreach effectiveness and increase brand credibility, cooperate with appropriate KOLs/KOCs/Influencers to run ads.
  • Based on your business goals, set an appropriate budget and advertising schedule. Choose a smart bid strategy to improve advertising effectiveness.
  • Regularly monitoring the effectiveness of advertising campaigns ensures that goals are achieved. Use analytics tools to track metrics: clicks, conversion rates,… From there, adjust your campaign accordingly.

Now, you can run ads on Tiktok Shop successfully and get the best results with the detailed instructions we have shared above. Hopefully through the article you have learned more useful and interesting knowledge.

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Frequently asked questions

Should I run TikTok Shop ads or not?


Tiktok Shop is a powerful online sales platform that introduces products and brands through short, vivid, and attractive videos. Running Tiktok Shop ads will enhance the competitive advantage for businesses in reaching many customers. Diverse advertising formats for you to choose from are suitable for different industries to help optimize advertising effectiveness and increase revenue. Especially Tiktok Shop has many preferential policies and support for new Shops.

What should you keep in mind when running TikTok Shop ads?


During the process of running Tiktok Shop ads, you need to ensure full compliance with the platform’s policies. Constantly innovate and create attractive and authentic videos to promote products and brands. Don’t forget to create multiple ad groups and ads and conduct A/B testing to determine which ad group is most effective or ad videos with many interactions to choose from and increase your budget. Use good quality promotional videos to promote your products. Add a short, concise ad description with a strong, convincing call to action.

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