What exactly is the "Creator Economy"?" The Future of Monetization in 2022
Everyday, the world learns about a brand new video or social media posting by a content creator that's gone viral. But who are these creators and what is inspiring their work to produce content people want to engage with?
The creator economy is a brand new category of companies consisting of over 50 million content creators that are eschewing corporate gatekeepers and writing new rules which allow anyone who has a desire and a smartphone to communicate their ideas across the globe.
Before we dive too deep into what these creators are up to in spreading their message, let's start to unpack what the creator economy means in its simplest terms.
What exactly is the "creator economy?"
The creator economy consists of self-employed creatives who've found ways to use their knowledge and skills as a side hustle or full-time business. The creator community includes bloggers, social media influencers, videographers, and the tech companies that fuel their ability to spread their knowledge to all of the world. The unique group of creators uses technology to sell their knowledge as products that can include ebooks, courses, or books or specialized services more.
Chances to be a creator of content
Video and live streaming
Painting, photography Illustration, graphic design
If you are drawn to the artistic arts, the media platforms like Instagram, Snapchat, Pinterest, etc. permit you to showcase your artwork along with text that delve further into the subject matter your work has to say. Invite your readers to post a comment, or even tag you on some of their own work in the spirit of one of your blog posts. It is possible to direct them to an online store that will allow users to purchase original items as well as other merchandise featuring your designs. Develop a membership plan which allows you to provide exclusive content to customers who pay using Patreon.
Podcasts and Music
Are you a singer or musician looking to bypass the record labels to get your work right before your desired public? Maybe you're a thought-leader that has a strong message you want to share on your radio show. Platforms for media like iTunes, Spotify, Pandora as well as Soundcloud could be the perfect instruments you're searching for. It's never been simpler to make, record and share your work with thousands of users across the globe. You can make your music and other items and services on the market with easy-to-use tools which simplify the process of selling digital goods.
Writing of all genres
Bloggers, essayists, humorists, consultants, authors, and others are able to post and tell their stories on a number of platforms like Twitter, Medium, Quora, and Substack. Make a network with your ideas and thoughts. Become known to be"the "go-to expert" within your area of specialization. Build a library of digital or printed books and other resources that your followers can refer to at any time.
What is the size of the creation economy?
If you want to know the amount you could earn when you create content for YouTube and different platforms, reality is that it can vary. It all depends upon a variety of variables like the number of people who follow you, the type of video content that you make and the algorithm that is the most powerful, as well as a myriad of other touchpoints that are not necessarily under your control. But let's take a look at how many dollars YouTube's most popular creators of content earn an entire year from ad revenue.
- The ten year old Ryan Kaji, creates videos for kids to help them learn more about the world. In January 2022, Ryan's channel with around 31 million subscribers pulled in a whopping $26 million dollars for advertising revenues alone.
- The gaming enthusiast MrBeast, made the sum of $24 million dollars between June 2019 and June 2020 across various channels, with the number of subscribers reaching 87 million.
- Social media and boxer, Logan Paul, has more than 23 million subscribers on his main channel . He makes roughly $20 million dollars per year.
The creator platforms are expanding rapidly thanks to one of new social media's most exciting options, TikTok. However, are they as effective than creators of YouTube? In contrast, YouTube creators earn profits directly through ad revenue, TikTok uses built-in monetization tools like virtual "gifts" that are transformed into cash, and the Creator Fund which offers creators with minimum 10,000 followers and 100,000 views in a 30 day period. While Creator Fund payments don't pay for all the bills some creators are turning towards deals with brands to earn more money.
Is it feasible to achieve success with millions of users on YouTube or TikTok? The answer is yes however just for the people that devise an approach to business that is in line with the intensity of their desires.
Start your own website to make money from content
Which model of subscription will work most effectively for your business? Let's have a look.
#1. Develop exclusive content exclusively for paid subscribers.
Are you a creator of specialized material that you would like to make available to serious students? Perhaps you are a teacher of paint with watercolors, vegan cooking, or interior design. Membership-based subscription models let you create content for people who are willing to spend money on exclusive information that meets their requirements. Members can opt to access the pre-made content in their own way. You, as the creator, could also incorporate live stream demonstrations or answer the questions of your viewers in real-time.
2. Become your personal Netflix by creating your own niche-specific entertainment.
No, you don't have to be a giant media corporation such as Netflix in order to develop an online streaming service. What you need to do is focus on creating high-quality, original content that keeps users coming back.
Utilizing an entertainment model that is niche in its monetization it allows you to perform more of what you do best : create amazing content. Subscribers can stream your content on-demand. In addition, you'll have the ability estimate your annual or monthly income and make plans to scale.
3. Make a library of contents that is available throughout the year.
If you've got a business that depends on certain times of the year or activities that require time it is possible to create a content library that users can access whenever they want. If you're conducting a book tour, speaking appearances, or product release, your customers are able to go home and communicate to you via their devices or device of their choice.
Why does this model work for artists? It allows you to stay in touch with your followers and followers throughout your appearances, without having to skip out for a new source of income. Keep in touch with your followers whether you're on the move or in your home.
4 Hook subscribers will receive free content. Then, they can transition into paid.
There are times when it is logical that a creator would want to get new subscribers to sign up by offering free content. It allows them an opportunity to get to know the person behind the content before they are requested to pay for sophisticated content. These are called invested subscribers - or people who recognize the value of the content they are connected. This is ideal for fitness instructors or others who create content that is highly focused on the results.
#5 Create a community on the internet as well as offline.
This content can be past sermons or classes, audio recordings from special guests, and more. The cost of membership may offset the price of the tickets of events that attracted lower than expected numbers of attendees or events that had to be pulled entirely.
Examples of brands/content creators monetizing by OTT OTT
ISC Sports Network is Indiana's premier sports streaming channel with live sporting events and online streaming for the state's die-hard sports fans. What is the way it earns money? It is possible to purchase an ongoing subscription to those who don't want to miss an event. There are also methods to promote paid ads and ticket sales for one-off occasions. The app can accept payment directly in-app as well as increase opt-ins for pay-per view events.
Speed51 is the online home of short-track and grassroots racing for the U.S. Speed51 is the preferred site for live and editorial streaming coverage of races. They made waves during the pandemic with pay-per-view live streaming in addition to their usual video-on-demand services. They were able to make money back some of the cash lost from tickets sold at live events.
GazeboTV is the producer of the most loved Canadian film classics , such as "Anne of Green Gables." In lieu of waiting for a limited distribution on television, the company decided to take their creations from home video and DVD sales and launch a worldwide live streaming service in the year 2015. OTT enabled the company to provide a transactable video on demand (TVOD) service, which allowed clients to purchase digital copies of their favorite content.
DIRTVision, World Racing Group's live and on demand streaming service, has more than 7700 hours of dirt racing-related content streaming in the U.S. The business realized that they had outgrown the platform they had initially used and moved to OTT because of its ease of use. They required a single partner and one reliable platform on where they could run their shows. Along with no-cost content The channel also hosts more than 400 races, generating revenue from live events that pay per view and purchases in-app.
Are you looking to include subscriptions in your creative business?
When the economy of creators begins to create more professional content and turn it into profitable businesses They will require tools to enable them to take greater control over their work. OTT offers a continuous subscription-based service that allows creators to develop new content, in addition to repurpose their material that could be transformed into multiple streams of income. Creators can build community, create live streaming content and create exclusive content and more.