Creators will no more be just creators of viral videos and photos. They will be part of the creator economy.
Lately, the content creator platform has exploded with the help of many new technologies aiding its rise. It aides both the platforms and the creators, seeing an increase in revenue. To diversify the stream of revenue, they are expanding the creator economy.
This creator economy has been in existence for a decade now, but it was the pandemic that boosted them. It was this time they realized its huge potential of reaching the masses. The same realization also hit the brands that are set to use it.
The reason for this explosion was the increase in data consumption and digital video viewing. According to a Brain & Company report, during 2018—2020, the daily time spent per active user on online videos has grown from 60% to 70%.
Social commerce itself is the clear and visible sign of the creator economy. Right now, it accounts for 1.5% of Indian e-commerce. By 2025 this is expected to reach 6%.
Almost 200m Indians will watch at least one short-form video in 2020. That is why in the last one-year, video streaming platforms and social media have rolled out creator funds.
YouTube have introduced $100m (₹75bn) YouTube Shorts Fund last August, while Meta revealed its plan to invest $1bn (₹75tn) for creators by the end of 2022. This shows their enthusiasm for the trend.
India has emerged as the fastest-growing market for Instagram, which launched creator education and enablement programmes in the country. To capitalize and democratize it Meta has launched features like Facebook Stars, Reels and remix.
They are even targets to make it safer and a better space to increase creativity and also to make it more revenue intensive. Even brands seem to be embracing it as they started to partner and collaborate with the creators.
This will be reflected in their future marketing budget. It will contain brands across various categories, such as food delivery to FMCG. They will team up with content creators that will match with the brand ethos, and reach new groups.
The domestic short-video platforms are also full of this. With the development of quick and simple editing the number of creators and consumers has also increased.
Moj, a domestic short-video platform has partnered with Flipkart to introduce live streams enabling creators to monetise via virtual gifting. Similarly, Roposo is thinking about similar live commerce and also thinking about conducting ticketed live events.
Interestingly out of all popular content categories, gaming is becoming more popular. Even a good number of the most-followed channels on YouTube are gaming creators.
Another trend is the cross-platform engagement by the creators. It will maximise the revenue and build a strong base for themselves.
2021 introduced the revenue streams 2022 will be the year of its usage.