‘TikTok earns more from in-app purchases than other social media combined’

TikTok earns more from in-app purchases than all other social media combined. This is what analyst firm Apptopia claims based on its own figures. TikTok users spent more than $100 million per month on the app.

That is much more than other social media, according to the figures from Apptopia. While TikTok makes more than 100 million dollars per month, Snapchat, for example, makes around 3 million per month. Facebook is around $4 or $5 million per month and Instagram brings in less than $1 million per month for Meta. Twitter was also well below a million dollars per month at the end of last year.

Income from in-app purchases is a possible new revenue model for social media, now that advertising income has declined over the past year, especially on iOS. This is due to the pop-up asking permission for tracking. As a result, the apps can sell less targeted advertisements and they are therefore less valuable to advertisers.

Revenue comes from subscriptions and one-off expenses such as support for favorite creators. TikTok makes its money through in-app purchases through user creator grants, just like Instagram. Snapchat and Twitter have subscriptions.