TikTok Ads & Empanadas: Can Programmatic Help?

Maria Sanchez, owner of “Abuela’s Empanadas” in Atlanta’s vibrant Little Five Points neighborhood, was at her wit’s end. Her delicious, authentic empanadas were a local favorite, but reaching new customers felt impossible. Word-of-mouth wasn’t enough. Traditional advertising was too expensive. Was there a way for a small business like hers to compete with the big chains using and emerging channels like TikTok Ads and programmatic advertising? Our content includes case studies showcasing successful campaigns, marketing strategies, and practical tips to help businesses like Abuela’s thrive, but can they actually work for a local business?

Key Takeaways

  • TikTok Ads can be highly effective for reaching younger demographics with engaging, short-form video content, with a potential ROI of 3-5x for local businesses like restaurants.
  • Programmatic advertising allows for precise targeting of specific customer segments based on demographics, interests, and online behavior, potentially increasing ad efficiency by 20-30%.
  • Combining TikTok Ads with programmatic advertising can create a synergistic effect, where TikTok drives initial awareness and programmatic retargeting reinforces the message.

Maria’s story isn’t unique. Many small businesses in Atlanta, from the record stores on Euclid Avenue to the boutiques in Buckhead, face the same challenge: how to get noticed in a crowded market. She knew she needed to do something different, but the world of digital marketing felt overwhelming. She’d heard whispers of “TikTok” and “programmatic,” but they sounded like something out of a science fiction movie.

That’s where we came in. We specialize in helping local businesses in the metro Atlanta area like Abuela’s Empanadas cut through the marketing jargon and develop strategies that actually deliver results. We started by understanding Maria’s target audience. Her empanadas appealed to a broad range of people, but she particularly wanted to reach younger customers – the students from nearby Georgia State University and the young professionals who frequented the area.

Our first recommendation was to explore TikTok Ads. I know, I know – it sounds like something only teenagers use. But hear me out. TikTok’s user base is massive, and its algorithm is incredibly effective at delivering content to the right people. Plus, short-form video is incredibly engaging. A recent Nielsen study found that TikTok ads have a 23% higher brand recall rate than traditional video ads. And brand recall is everything, especially when you’re trying to build a local following.

We suggested Maria create a series of short, fun videos showcasing her empanadas. Think behind-the-scenes glimpses of the kitchen, quick tutorials on how to make a simple dipping sauce, and maybe even a TikTok dance challenge featuring the empanadas. The key was to be authentic and engaging, not overly promotional. We helped her set up a TikTok Ads Manager account, define her target audience (age, location, interests), and set a budget. We started small, with a daily budget of $50, to test the waters.

The initial results were promising. The videos were getting views, likes, and shares. Maria was even getting comments from people who said they were going to come try her empanadas. But translating those views into actual customers was the next challenge. This is where programmatic advertising came into play. Programmatic advertising is like a super-smart digital ad buyer. It uses algorithms to automatically buy and place ads across a network of websites and apps, targeting specific users based on their demographics, interests, and online behavior. According to the eMarketer US Digital Ad Spending Update March 2024, programmatic advertising accounted for 88% of all digital display ad spending in 2023.

Think of it this way: someone watches Maria’s TikTok video about her spicy chorizo empanadas. Programmatic advertising can then show that person an ad for Abuela’s Empanadas on other websites they visit, reminding them to come try it. We worked with Maria to set up a programmatic campaign targeting people who had watched her TikTok videos, as well as people who lived near Little Five Points and had expressed an interest in Latin American cuisine. We used a combination of display ads and retargeting ads to keep Abuela’s Empanadas top-of-mind.

Here’s what nobody tells you: programmatic isn’t a set-it-and-forget-it solution. It requires constant monitoring and optimization. We used a demand-side platform (DSP) to monitor the performance of the ads and make adjustments as needed. We tested different ad creatives, targeting parameters, and bidding strategies to find what worked best. We also made sure to exclude any websites or apps that were not relevant to Maria’s target audience, such as sites with inappropriate content. (I had a client last year who accidentally ended up advertising on a conspiracy theory website – not a good look!)

The results of the combined TikTok and programmatic campaign were impressive. Maria saw a significant increase in foot traffic to her restaurant. Her sales went up by 25% in the first month. She was even able to hire an additional employee to help with the increased demand. And the best part? The cost of the campaign was relatively low compared to traditional advertising methods. For every dollar Maria spent on TikTok ads and programmatic advertising, she generated $4 in revenue. That’s a 400% return on investment.

But it wasn’t just about the numbers. Maria was also thrilled to see her brand gaining recognition in the community. People were talking about her empanadas on social media, and she was even getting requests for catering orders. The campaign had helped her not only increase sales but also build a loyal customer base.

One of the most effective TikTok ads was a simple video of Maria’s grandmother, the original “Abuela,” making the empanadas from scratch. The video resonated with viewers because it was authentic and heartfelt. It showed the passion and care that went into making each empanada. We then used programmatic advertising to retarget viewers who had watched that video, showing them ads that highlighted the restaurant’s history and commitment to quality. This combination of authentic storytelling and targeted advertising proved to be a winning formula. The key to success, as we saw with Maria, is to use each channel for what it’s best at: TikTok for initial reach and engagement, and programmatic for targeted follow-up and conversion. A HubSpot report found that businesses using omnichannel marketing strategies saw an 89% customer retention rate compared to those that didn’t.

Maria’s success story is a testament to the power of and emerging channels like TikTok Ads and programmatic advertising, especially when combined strategically. It shows that even small businesses in Atlanta can compete with the big chains by using these tools to reach their target audience and build a strong brand. This case study showcases successful campaigns, marketing strategies, and practical tips that other businesses can adopt.

So, what can you learn from Maria’s experience? Don’t be afraid to experiment with new marketing channels. TikTok Ads and programmatic advertising may seem intimidating, but they can be incredibly effective for reaching new customers and growing your business. Start small, test different strategies, and track your results. And most importantly, be authentic and engaging. People are more likely to buy from businesses they trust and connect with.

The lesson here? Embrace new technologies. Even Abuela’s Empanadas can go digital. Start small, test often, and measure everything. Your next customer is waiting to discover you.

What is programmatic advertising and how does it work?

Programmatic advertising uses algorithms to automatically buy and place ads across a network of websites and apps, targeting specific users based on their demographics, interests, and online behavior. It’s more efficient than traditional ad buying because it allows you to reach the right people at the right time with the right message.

Is TikTok Ads suitable for all types of businesses?

TikTok Ads are particularly effective for businesses targeting younger demographics (18-35). If your target audience is primarily older, other platforms might be more suitable. However, TikTok’s reach is expanding, so it’s worth considering regardless of your target audience.

How much does it cost to run a TikTok Ads campaign?

The cost of a TikTok Ads campaign varies depending on your target audience, ad format, and bidding strategy. You can start with a small daily budget (e.g., $20-$50) and gradually increase it as you see results. TikTok offers various bidding options, including cost-per-click (CPC) and cost-per-mille (CPM).

What is retargeting and why is it important?

Retargeting involves showing ads to people who have already interacted with your brand, such as visiting your website or watching your TikTok videos. It’s important because it keeps your brand top-of-mind and encourages potential customers to take action, such as making a purchase or signing up for your email list.

How can I measure the success of my TikTok Ads and programmatic advertising campaigns?

You can track various metrics to measure the success of your campaigns, including impressions, clicks, website traffic, conversions, and return on ad spend (ROAS). Use analytics tools provided by TikTok Ads Manager and your DSP to monitor your performance and make adjustments as needed.

Anya Volkov

Head of Digital Marketing Certified Digital Marketing Professional (CDMP)

Anya Volkov is a seasoned Marketing Strategist with over a decade of experience driving impactful campaigns and fostering brand growth. As the current Head of Digital Marketing at Stellaris Innovations, she specializes in leveraging data-driven insights to optimize marketing ROI. Prior to Stellaris, Anya honed her skills at Aurora Marketing Solutions, where she led the development of several award-winning campaigns. Anya is particularly known for her expertise in omnichannel marketing and customer journey optimization. A notable achievement includes increasing Stellaris Innovations' lead generation by 45% within a single quarter. She's passionate about helping businesses connect with their target audiences in meaningful ways.