Digiday: Kevin Goodwin on How a TikTok Ban Could Impact Advertisers
SEATTLE, WA - The U.S. House of Representatives put TikTok back in the hot seat last week when it passed legislation that would force the company to either divest from its Chinese-owned parent company or face a nationwide ban. The bill isn’t guaranteed to become law, but advertisers are nevertheless on edge - and trying to figure out what their future investment will, and should, look like.
Here’s what Kevin Goodwin, VP of Strategy at New Engen, shared with Digiday:
We don’t have many clients where TikTok is more than 5% to 10% of budget, and that’s on the higher side for a number of businesses as well. I think the short-term risk is not that significant. It’s not going to be incredibly hard to go replace that revenue. What are the long-term ramifications of that for brands? That’s a lot harder to say because what’s really hard to measure and replicate is the virality of TikTok and the cultural influence of it and how Gen Z’s specifically shops in a much more nonlinear way. So I do think there will be an outside impact relative to budgets of losing a platform like that.Kevin Goodwin, VP of Strategy
Read the full article on Digiday.
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