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Author: Nicol Lee | Founder of The NextComms
Published on October 1, 2025
TikTok is one of the fastest-growing platforms in Singapore, with millions of active users and some of the highest engagement rates among social media apps. For SMEs, TikTok Ads Singapore represent an opportunity to reach younger audiences, boost brand awareness, and generate high-value leads.
But TikTok Ads are not a “start-small” platform like Facebook or Instagram. With its $50/day minimum budget requirement and a cost per lead (CPL) that often ranges from $50 to $120, TikTok is best approached once you already have a solid foundation on other channels.
At The Next Comms, we typically recommend TikTok Ads as a scaling strategy, not the first step in lead generation.
TikTok Ads are priced differently compared to Facebook or Instagram.
Average Costs in Singapore (2025)
With these costs, TikTok is best suited for businesses with higher-ticket services (e.g., interior design, renovation, fitness, education, beauty) where one client can easily cover the ad spend.
Even with higher CPLs, TikTok Ads deliver benefits that make them worth considering once your FB/IG funnels are stable:
Massive Reach Among Younger Audiences
High Engagement Rates
Lower Competition Compared to FB/IG
Virality & Organic Boost
Great for Storytelling
Strong Branding Impact
Cross-Platform Synergy
While TikTok Ads can generate leads, the higher CPL ($50–$120) means it isn’t the best first step for SMEs focused on daily enquiries. For most service-based businesses, Facebook Ads and Instagram Ads provide cheaper CPLs ($10–$45) and faster ROI.
At The Next Comms, our approach is:
This way, TikTok becomes an amplifier of growth, not a risky first move.
While CPL is higher, TikTok delivers strong ROI for the right industries and scaling businesses:
The true value of TikTok Ads is in brand lift, awareness, and reaching new demographics — while still generating high-quality leads if paired with strong offers and retargeting.
The best TikTok Ads don’t look like ads. They look like content.
Thinking of expanding into TikTok Ads in Singapore?
Let The Next Comms guide your growth. We’ll help you establish Facebook & Instagram lead funnels first, then scale into TikTok to reach new audiences and dominate your market.
TikTok requires a minimum budget of $50/day, no matter which ad format you run. This means businesses should be prepared to spend at least $1,500/month to start.
The CPL typically ranges between $50–$120, which is higher than Facebook or Instagram. That’s why TikTok Ads are more suitable for SMEs with higher-ticket services.
Yes. TikTok offers Lead Generation Ads with instant forms, plus retargeting options. But because CPL is higher, it works best for established SMEs that already have strong offers and budgets to support scaling.
We don’t recommend it. For SMEs focused on lead generation, it’s smarter to first build consistent results with Facebook and Instagram Ads (where CPL is $10–$45). TikTok should be added later as a scaling channel.
TikTok works well for interior design firms, renovation companies, fitness, education, F&B, beauty, and wellness brands — especially those targeting younger demographics.
Engagement often starts immediately. Leads can appear within the first week, but optimisation is usually needed for 2–3 weeks before consistent ROI is achieved.
TikTok is discovery-driven. Its algorithm pushes content beyond your target audience, which means your ads can go viral organically. However, the trade-off is a higher CPL compared to FB/IG.
Yes, TikTok is a video-first platform. The good news is our 100% in-house creative team produces unlimited TikTok-style videos designed to perform like native content.
We measure ROI by leads generated, CPL, conversions, and revenue growth. For some SMEs, just one converted lead can cover an entire month’s TikTok Ads budget.
We help SMEs build the right foundation first on Facebook and Instagram, then expand into TikTok when it’s time to scale. With our performance-first approach, unlimited creatives model, and in-house expertise, your TikTok Ads won’t just get views — they’ll generate real business results.
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