How TikTok fuels Canada's luxury auto dreams

In the fast lane of digital discovery, TikTok has emerged as a pivotal platform for Canadians who take an avid interest in luxury automobiles. It's not just about scrolling through entertaining content; it's about igniting the spark of aspiration through a trusted platform embraced by affluent shoppers.

We partnered with AYTM, for an extensive deep dive into audiences who are luxury auto intenders, including current buyers who have leased or purchased a luxury vehicle in the past year, or aspiring future buyers. For these luxe-auto audiences, the platform has become their digital showroom, offering a glance into the world of opulence on four wheels. Put your seatbelts on as we navigate the world of luxury auto on TikTok.

The engine of discovery

TikTok is swiftly becoming a go-to destination for those aspiring towards a higher-end vehicle. According to our research, 3 in 5 luxe-auto audiences on TikTok are discovering content related to luxury vehicles on the platform.¹ Additionally, TikTok races ahead as the top platform for discovering luxury vehicle content, showcasing its unparalleled influence among this younger, affluent audience.¹

For the fifth year running, TikTok has been recognized for its innovative approach to advertising , ranking it as the top media platform for innovation, in the Kantar Media Reactions 2024 Report.³ With audiences in mind, TikTok continues its commitment to innovating a marketing ecosystem for brands and businesses to meet consumers where they are now and where they'll be in the future. For instance, when it comes to researching luxury vehicles, luxe-auto audiences on TikTok truly engage and explore by searching for more information or content about high-end vehicles. In fact, 1 in 2 of luxe-auto TikTok users turn to the platform in their quest for the perfect premium vehicle, highlighting the platform's role as a critical touchpoint in the luxury auto market.¹

The drivers behind the decisions

The search for splendour on TikTok doesn't end at mere inspiration, it impacts the decision journey through the funnel. In fact, according to our survey, 89% of Canadians with a high household income (HHI) agree that TikTok encourages them to try luxury brands.² As one of the top platforms driving influence, TikTok continues to play a crucial role in the purchase, rental, or leasing journey of luxury vehicles.¹ Whether audiences are looking to buy their first car, upgrade due to lifestyle changes, or desire for a more premium alternative, TikTok supports in-market drivers through their buying decisions.

Nearly half (48%) of luxe-auto TikTok audiences admit to content on the platform fueling their decision to invest in luxury wheels, but what makes TikTok an engine of influence in the luxury auto world? The answer lies in the diverse creator communities and the dynamic content that populates the platform. A staggering 71% of luxe-auto TikTok users influenced by the platform, credit content from creators for steering their purchase decisions.¹

TikTok connects loyalists and enthusiasts, allowing users to find their niche auto passions, from a love for vehicle accessories to understanding car heritage and history. Luxury vehicle reviews are the most sought-after content type, followed by content featuring well-known creators.¹

Furthermore, 42% of Canadians who are luxe-auto intenders are swayed by content from luxury vehicle brands themselves, showcasing the powerful synergy between creators, brands, and the community in driving luxury auto aspirations. ² As a platform where brands can show up in unexpected ways, 80% of HHI audiences agree that TikTok allows luxury brands the freedom to express themselves, which serves as a great indicator for brands to lean in and connect with these communities to build lasting relationships. ²

Shifting gears into the future

TikTok has undeniably enhanced how luxury auto enthusiasts in Canada discover, research, and decide on their next premium vehicle. As a platform built on creativity, TikTok offers both a window and a mirror to the world of high-end auto — reflecting audiences' aspirations and opening them up to new possibilities. Whether it's through the lens of a creator or the polished showcase of a brand, TikTok is where upscale auto dreams accelerate into reality.

Ultimately, luxe-auto brands can truly lean in and tap into affluent TikTok shoppers with HHI and refine their targeting strategy further. Whether you're a brand looking to showcase your latest model or attempting to unlock a new audience base, TikTok is your racetrack. With TikTok's latest and revolutionary Automotive Ads suite*, you can harness the power of a multi-link carousel or showcase your vehicles on top of sleek, captivating video creatives. Now in Beta, Automotive Ads is already proving to drive efficient leads and high value site actions for luxury auto brands, powered by its cutting-edge algorithm designed to engage Tiktok’s auto enthusiasts. Join the luxe-auto TikTok community in Canada and deepen your understanding of these audiences by leveraging TikTok Insights. Plus, explore our array of ad solutions tailored to both dealerships and advertisers to help you discover where your next journey could take you.

*The Automotive Ads suite solution is currently in beta testing. Get in touch with your TikTok representative to learn more. To get insights like these straight to your inbox, sign up to our TikTok Canada newsletter.

Sources:

1: TikTok Marketing Science CA TikTok as a Luxury Platform via AYTM, May 2024 (n=50). Base: TikTok users 18+, who have purchased a luxury vehicle in the past 12 months

2: TikTok Marketing Science CA TikTok as a Luxury Platform via AYTM, May 2024 (n=348). Base: TikTok users 18+, who have purchased a luxury product (e.g., clothing, beauty, experiences, subscriptions) in the past 12 months.

3: Kantar Media Reactions Report 2024