The social network Tiktok shows good numbers in France. In 2022, the company declared a turnover of 44.3 million euros, according to figures from the l’Informed site. An amount that increased by 49.7% compared to the previous year (29.6 million euros of turnover in 2021). The increase is even more impressive since 2020, when the company alone achieved a turnover of 2.5 million euros in France.
In 2023, there is no doubt that Tiktok’s revenue will have increased, especially with the growing popularity of “donations” that users can make to each other. By 2023, users had spent $3.8 billion in donations worldwide. A sum on which Tiktok charges at least 50% commission. This money is sent by users, in particular, to influential people who need income or to young women who offer to be monitored remotely.
However, if the numbers skyrocket, taxes will remain modest. In 2022, the social network only paid one million euros in corporate taxes, with a profit of three million euros, according to l’Informed, which was able to consult the accounts published by the company.
Most activities outside France
This is because most of the activities carried out by Tiktok France, in addition to marketing, public relations and some advertising services, are carried out in Dublin, Ireland. Here is the headquarters of Tiktok Technology, the parent structure of the social network in Europe.
A situation that does not differ from that of the largest digital platforms that also operate in Europe, such as Google, Facebook or even X (formerly Twitter). On the other hand, Tiktok stands out for its very rapid increase in value in the region compared to other social networks.
The Tiktok Technology headquarters works in particular with advertisers, including those interested in the French version of Tiktok, and is responsible for moderating the content of the social network, as well as managing users’ personal data.
Rising moderation costs
Activities that, according to l’Informed, will cost Tiktok 350 million dollars (about 320 million euros) worldwide in 2022, an increase of 72% compared to the previous year. These services are all the more important for the Chinese platform as they are widely scrutinized by governments.
In fact, Tiktok was under the influence of an investigative commission of the French Senate, which delivered its conclusions at the beginning of last July. A report that strongly urges the application to comply with the DSA, in particular in terms of moderation, transparency of its economic model and management of the personal data of its users.
Tiktok has since been questioned by the European Commission, which asked for clarifications on its management of “illegal” content in the context of the Hamas-Israel conflict. In its transparency report, published within the framework of the DSA, Tiktok indicated in particular that it had approximately one moderator for 30,000 users.
Source: BFM TV
