The marketing budget for the majority of the companies accounts for a share attributed to the TikTok ads business. Companies have become confident in spending more on the platform as an ad agency, Mekanism’s budget for social media marketing accounts for 10% to 20%. Brands spend a handsome amount on TikTok either on takeovers, brand effects, or hashtag challenges. The reason why TikTok has achieved a unicorn status is that the app drives nine times more engagement than Facebook, plus, TikTok advertisers’ reach is 21 times more than on Instagram and Facebook. Additionally, the engagement rate per follower on TikTok is 8% as compared to 0.09% on Facebook and 1.6% on Instagram. In short, TikTok is an all-rounder, leading in e-commerce, searches, and app downloads, achieving performance advertising.