Why Creator Influence is Poised to Grow in the Aftermath of Hollywood Strikes
Introduction
The recent strikes by the Writers Guild of America and the Screen Actors Guild have created a void in the entertainment industry, leading to an opportunity for social media influencers and creators to fill the gap with their content. As a result, the creator economy is expected to experience a shift, and marketers will need to reconsider their media strategies. In this article, we will explore the reasons why creator influence is primed to grow in the aftermath of the Hollywood strikes and how marketers can adapt to this changing landscape.
The Rise of the Creator Economy
The Hollywood strikes have indirectly bolstered the creator economy, according to a report by Insider Intelligence and eMarketer. Creators have the potential to be a goldmine of talent and content, extending their power beyond social media platforms. While many creators are standing in solidarity with striking writers and actors by refusing content deals or partnerships with studios, there is still an opportunity for creators and media companies to produce fresh content.
The Growth of Influencer Marketing
Influencer marketing is projected to grow 3.5 times faster than conventional social spending in 2023, according to Insider Intelligence. While social ad spending, including platforms like YouTube, still dominates the market, influencer and creator marketing is gaining momentum. Creators are not limited to social channels anymore; they are branching out to other mediums such as free ad-supported television or creating their own multi-channel media brands. Social platforms are now seen as launchpads for creators, leading them to become business owners, investors, and entertainers.
The Power of Creator Star Appeal
Consumers have shown a growing appetite for content featuring their favorite creators. A survey by CivicScience found that nearly two-thirds of US consumers aged 18 to 24 and almost half of those aged 25 to 34 were likely to watch a scripted TV show or movie featuring their favorite creator. Despite this demand, many social and entertainment platforms have yet to fully leverage creators as performers, producers, and revenue generators. As creators gain more recognition and influence, entertainment companies and platforms will need to change their mindset and expand their strategies to reach creators’ audiences.
Diversified Revenue Streams for Creators
Creators are no longer solely reliant on brand sponsorships through social media. They are diversifying their revenue streams by monetizing their blogs and email newsletters. Mavrck data cited by Insider Intelligence reveals that the number of creators making money from first-party platforms, such as blogs and newsletters, has increased, while the share making money from brand sponsorships through social media has decreased. Additionally, some creators, like podcaster Alex Cooper and YouTuber MrBeast, have even launched their own networks. This shift in revenue sources gives creators more power, as they generate engagement and advertising dollars for social media platforms.
Adjusting Creator Relationships for Marketers
In light of the changing dynamics between creators, marketers, and platforms, marketers need to adjust their relationships with creators. In addition to paid ads, marketers should consider partnerships with creators that include other media, particularly television and video. By partnering with creators or incorporating creator content into their libraries, struggling video and TV producers can appeal to younger viewers and proactively stave off competition from creators. According to the Insider Intelligence report, social platforms now need creators more than ever, and marketers should recognize the value that creators bring to the table.
Reevaluating Media Strategies for Media Companies
As media companies grapple with the effects of the Hollywood strikes, it is crucial for them to reevaluate their work with creators. A survey by CivicScience found that nearly two-thirds of 18 to 24-year-olds would be likely to subscribe to a streaming service that offers creator content. By partnering with creators, media companies can attract new subscribers and justify subscription price hikes. Incorporating creator content into their libraries can help them appeal to younger viewers and stay competitive in the evolving entertainment landscape.
Conclusion
The Hollywood strikes have created an opportunity for creators to gain more influence and fill the void in original content. As the creator economy continues to grow, marketers need to adapt their strategies to effectively work with creators. By considering partnerships with creators and incorporating creator content into their media strategies, marketers and media companies can tap into the power of creator influence and reach new audiences. The future of entertainment lies in the hands of creators, and it’s time for marketers and media companies to embrace this shift and collaborate with creators to create engaging and compelling content.
