From live streaming to short videos and product reviews, online video has acquired particular importance among content creators, proving to be one of the most suited formats to attract users, increase engagement, and gain brand deals. As of 2023, even traditionally text-based social platforms like Twitter and Reddit have started to embrace the format, allowing users to create and post video content.
YouTube made the video star
From affiliate marketing to selling merchandise, creators on YouTube are the proof that video sharing can morph into a recognized professional opportunity for many. As well as sharing part of its advertising revenues with creators, YouTube monetization features include ways for users to support their favorite creators directly, like channel membership, super chat, and buying merchandise. In 2021, it was estimated that YouTube facilitated or supported the creation of 425 thousand jobs in the United States and 122 thousand jobs in Brazil, contributing to the regions’ GDP with 25 billion U.S. dollars and six billion Brazilian reals, respectively. According to a survey of professional YouTube content creators in the United States, 81 percent of respondents reported that the platform helps them export their content to international audiences they wouldn't otherwise have access to. In the United Kingdom, eight in 10 creative entrepreneurs on the platform reported that YouTube gives them creative and earning opportunities they would not get from traditional media.However, a high number of views does not always translate into earnings for creators. The issue of ad revenue redistribution appears to have become even more important with the introduction of the YouTube Shorts monetization program, which launched in February 2023 and replaced the YouTube Shorts Fund. The new program calculates revenue shares based on the ads running in between videos and is used to cover music costs and reward creators. While creators are not fully convinced about monetizable Shorts, the format is ultimately useful to make their content more discoverable and visible.
TikTok new partner programs aim at keeping big creators onboard
Launched in 2017 as the international version of popular Chinese platform Douyin, TikTok has quickly risen in popularity worldwide. As of September 2022, the majority of content creators on TikTok were aged between 18 and 24 years old, a factor that contributes to the platform being popular among Millennial and Gen Z users.In 2023, TikTok added the possibility for creators to further monetize their content with a paywall and subscribers-only access to the “Series” feature. The platform’ s Creator Fund, which implements a payout system based on video views and other engagement metrics, is open to creators that have over 10 thousand followers and that have reached at least 100 thousand views in the previous 30 days. Additionally, in May 2022, TikTok started sharing its advertising revenue with top creators via its Pulse feature, which is available to creators with over 100 thousand followers.
OnlyFans keeps growing its talent pool
Founded in 2016, OnlyFans has become a well-known name for content creators. The platform, which is mainly known for hosting adult-themed content, saw approximately 141 thousand new accounts opened in September 2022. Onlyfans, which hosts celebrities, internet personalities, and small creators, saw over 22,5 million new pieces of content released on the platform in September 2022. Creators can choose to monetize photos and videos via monthly subscriptions, but also by engaging with fans via direct messaging and custom content requests. In January 2023, the OnlyFans website counted over 1.6 billion visits from users worldwide.The creator economy widens its scope
Companies supporting creators - especially the heavy-weights among the most popular online video companies – have claimed a spot within the digital economy. Financial opportunities around video content have been expanding beyond the direct capitalization of influencers’ presence, including the development of a financing industry tailor-made for high-profile creators. The scopes covered within the creator economy go from distributing courses and merchandise, to content creation and advertising. In 2022, companies supporting the creator economy with merchandise services generated over 511 million U.S. dollars in revenues on average, while companies offering management of subscription services saw approximately 308 million U.S. dollars in revenues.Companies like the Los Angeles-based Spotter and the New York-based Jellysmack have been providing creators with upfront payments to license their social media video libraries while securing rights over their ad revenues. In 2022, Jellysmak was among the highest grossing creator economy companies, with an annual revenue of 216 million U.S. dollars. Jellysmack, which counts in its library of top-tier creators MrBeast, PewDiePie, The Try Guys, and TikTok personality Kallmeris, reported the highest value per website visitor in the creator economy - almost 1,000 U.S. dollars – in 2022.
