How to Improve Branded Hashtag Challenge Ad Performance

Branded Hashtag Challenge ads are an advertising format that can spread powerfully across many different groups of users. So what is a Branded Hashtag Challenge? And what tips can help you get the most out of a Hashtag Challenge? Let’s explore the details with The7 in this article!

What Is a Branded Hashtag Challenge Ad?

Branded Hashtag Challenge ads are an advertising strategy on TikTok that spreads your brand message naturally and captures users’ attention.

A brand creates a challenge or trend built around an exclusive hashtag. TikTok users are invited to take part by creating and sharing content related to the brand and using the designated hashtag.

More and more advertisers use Hashtag Challenges to promote on TikTok
More and more advertisers use Hashtag Challenges to promote on TikTok

How Do Branded Hashtag Challenge Ads Work?

Starting a Hashtag Challenge campaign is simple.

First, you need to create a distinctive hashtag and invite users to join the challenge.

You can partner with an influencer or KOL to “kick off” the campaign. Their influence will draw attention and engagement from the viewing community, especially their fans.

When users tap the hashtag, they are taken to a landing page with detailed information such as the brand logo, a link to the website, a description of the challenge, and a list of videos that use the hashtag.

How Branded Hashtag Challenge ads work on the TikTok platform
How Branded Hashtag Challenge ads work on the TikTok platform

The key metrics for measuring the performance of a Branded Hashtag Challenge campaign include:

  • Total number of viewers of videos with the hashtag.
  • Banner clicks.
  • Number of videos submitted for the challenge.
  • Hashtag page views.
  • Number of engagements with videos.

With a Hashtag Challenge, the content is created by users themselves (UGC), so it tends to feel relatable and authentic, and viewers don’t feel like they are watching an ad campaign.

As a result, businesses can boost their reach, earn millions of follows and engagements, and strengthen brand awareness. Notably, this type of campaign requires a relatively low investment compared with the benefits it delivers.

How to Improve the Performance of Branded Hashtag Challenge Ads

To run a Branded Hashtag Challenge campaign that is engaging and attracts plenty of participants, keep the following principles in mind:

Keep the Hashtag Challenge Simple and Easy to Understand

Avoid challenges that are too complicated or confusing, as this can dampen participants’ enthusiasm.

Instead, create challenges that are fun and easy to do, so participants feel relaxed and have a good time.

Baskin Robbins boosts ad performance with a simple, easy-to-join hashtag and challenge
Baskin Robbins boosts ad performance with a simple, easy-to-join hashtag and challenge

Use a Relevant Hashtag

Your hashtag should contain keywords that are easy to understand, easy to reach, and directly related to your product or brand.

For example, the cosmetics brand Maybelline used the hashtag #Maybeli (“Mấy bé lì,” a pun meaning “these long-lasting ones”), which sounds like the brand name while also introducing its super long-wear lipstick.

Maybelline uses wordplay in the hashtag #Maybeli for its newly launched lipstick
Maybelline uses wordplay in the hashtag #Maybeli for its newly launched lipstick

Promote the Hashtag by Partnering With KOLs

Partner with influential people on TikTok (influencers, KOLs, etc.) to amplify your campaign, because they understand TikTok user insights better than anyone.

Influential TikTokers bring creativity and authenticity to the challenge while drawing in large numbers of followers and fans to take part.

Partnering with KOLs and influencers to run effective Branded Hashtag Challenge ads
Partnering with KOLs and influencers to run effective Branded Hashtag Challenge ads

Successful and Effective Branded Hashtag Challenge Campaigns

Spotify’s Hashtag Challenge Campaign

Spotify, one of the biggest names in music streaming, partnered with TikTok on the hashtag campaign #SpotifyPEGAOplaylist, aiming to raise awareness of the PEGAO playlist among Spanish music lovers on TikTok.

Although the Hashtag Challenge lasted only 6 days, it was a resounding success, with nearly 200,000 videos created by more than 79,000 users, making a strong positive impact for the brand in the Spanish market.

Spotify's Branded Hashtag Challenge #SpotifyPEGAOplaylist drew more than 912M views
Spotify’s Branded Hashtag Challenge #SpotifyPEGAOplaylist drew more than 912M views

ZALORA’s Hashtag Challenge Campaign

ZALORA, an online fashion and beauty retailer across Asia, skillfully tapped into TikTok’s influence among young people to promote an upcoming fashion festival in Singapore through the hashtag campaign #ZStyleNow.

The campaign results far exceeded expectations: the #ZStyleNow challenge videos attracted nearly 1 million views and active participation from 62,000 people. Notably, cost per click (CPC) dropped by 54.3%, and cost per app install (CPI) dropped by 27%.

The #ZStyleNow challenge helped ZALORA attract nearly 1 million views on TikTok
The #ZStyleNow challenge helped ZALORA attract nearly 1 million views on TikTok

Branded Hashtag Challenge ads deliver major benefits, with significant organic reach thanks to user-generated content. However, only TikTok agency accounts are currently allowed to run this ad format.

If you are interested in running a Branded Hashtag Challenge, contact an authorized TikTok partner such as The7 for detailed support and consultation.

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Nguyễn Đình Bảo

As CEO of The7, I am committed to sharing practical, useful knowledge with every reader. Every article on The7 is based on my 7 years of hands-on experience in marketing — Facebook advertising, LinkedIn advertising, Google advertising, and marketing strategy. I hope you take away plenty of insight from these posts and apply it successfully in practice.

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