What do businesses think of the Creator Economy (and what you can do to create a business model to benefit profit) --

      As a content producer you have a variety of opportunities to earn money by selling goods or services, sales of course materials, as well as by promoting content.      

Many content creators build on their passions: through blogging or course development, as well as developing merchandise for their brand. Sponsored content is another great option to grow your income.

With a little bit of knowledge, some data to back up your pitch, and some outreach with a little effort, you'll be on the way to making more and creating relationships which pay off.

      What is the Creator Economy? Economy Function?      

The Creator Economy is the creation of media (education or entertainment information) that is made available via the internet and web app platforms to users of all ages. As per Signalfire The Creator Economy is comprised of "over 50 million content creators, curators, and community builders such as bloggers, influencers on social media, and videographers, plus the software and finance tools that help with growth and monetization."

Creators

Creators form the foundation of the Creator Economy. Creators create content that people love to consume. From dancing on TikTok to images posted on Instagram, tutorials on YouTube (and all the way to), Creators give us each and every day a reason to look in order to be educated, be entertained, and enjoy ourselves.

Creativity is desired and will always be a demand. Creators are the ones who bring it to the masses.

Consumers

Think of consumers as a creator's customer. On most platforms, consumers don't pay for contents. Consumers vote with their thumbs , scrolling quickly, or stopping on a creator's account to take in their content.

While consumers aren't required to pay for the contents they like however, they often are affected by the creators of content to make purchases or goods that are either blatantly being shared, or subtly present.

Between 2020 and 2021, TikTok creators began displaying The Coldest(tm) containers of water in their 60-second videos. Although the company has not shared their sales due to this placement of their product, based on the longevity of the product placement, and the number of content creators that were involved, one can assume that there was at a minimum, modest growth, if not even expansion. If you do a quick search on the internet for the product will show numerous pages of reviews and sales opportunities.

People can be influenced by the creators they admire and follow.

Platforms

Content creation platforms move and disappear - or come and stay. Vine was one of them. was an American video-hosting service which allowed users to upload six-second-long looping videos. (Wikipedia.) Vine was short-lived. Others social-sharing platforms (like Facebook, YouTube, Instagram, Snapchat, and TikTok) have endured.

Platforms allow creators to publish their work, as well as a community of users to consume it.

Businesses

The Creator Economy, businesses are any or a combination of many contributing parties. Creators themselves may become enterprises. The social sharing sites are definitely companies. However, what we're going to pay attention to is businesses as content sponsors.

Businesses (like The Coldest(tm) previously mentioned) look for content creators as influencers who they can work by putting their products on display or sponsorship.

Content sponsorship is an integral part of a business's advertising strategy. Find influencers who will use and share your products to ensure that their followers be your new customers.

      The Creator Model for Business Model      

Based on our definitions above, the connections between the creators of content as well as their platforms and corporate sponsors can be used to earn revenue for content creators. There are a variety of ways it could happen.

Platform Revenue Sharing

Often called "creator funds," platforms provide more prominent creators with funds to keep producing media. Since creators such as these drive the use of their social media platforms, giants such as Facebook, Instagram, Pinterest, Twitter, and yes, TikTok, pay creators to continue to drive traffic.

Advertisers pay for platforms to provide ad space and airtime. (How many times have you had to endure 515 or 10 second ads on YouTube to be able to watch videos?) They rely on their creators for traffic. So having content that drives the traffic to your site is worth investing in. That's where you, the creator of content, step into the picture.

Platforms have the capacity to pay willing to pay for media which provides something (information and education, as well as entertainment).

Affiliate Marketing

Content creators have been part of affiliate marketing from the moment social sharing began. With affiliate links in hand, social media users, YouTubers, bloggers and others share information about products and services that they are using in their work They then distribute their affiliate links with their followers, which they can purchase from.

Affiliate marketing (like the placement of brands and products below) can be effective since followers are conditioned to believe that the creator of the content uses and endorses the content they share. Sometimes referred to as "social evidence," endorsements and reviews aid consumers in making purchase decisions based on the trustworthiness.

Product Positioning

Similar to the coldest Water(tm) previous example, product placement is usually subtle. (With this example, TikTok users simply had their signature blue bottle in the video.)

The placement of a product also indicates endorsement by the content creator. If you notice somebody you admire wearing the product, it is likely that they like it - and assume that you would, too.

In the article published by Elite Daily, the users of platforms become obsessed with products that they've discovered through influencer use. From skin care products to food storage containers, the placement of products is effective.

Brand Sponsorship

Brands pay for content. If you're offering videos, newsletters podcasts blogs, or some courses companies will offer you a fee to promote your material.

A lot of TikTok creators' entire accounts are focused on Amazon "finds" that they wish you to purchase and try. In many instances, these products are able to sell by leveraging endorsements. The benefits of sponsored content are both for the brand and you.

A majority of companies seek to fund content that is in relation to the services and products they offer, but this doesn't mean that it is always the case. The larger brands, like Coca~Cola as an example are sponsors of events and other content simply because they see opportunities for selling as well as the content can be seen by a large number of. The most well-known CocaCola commercials was a football player "Mean Joe Green" drinking a Coca~Cola during a match. Athletes seldom consume beverages like that at sporting events, but this commercial did a great job with people and continues to be a reference over 40 years later.

Many brands tend to seek sponsorships for content that aligns to their services and products. If you provide online classes related to photography, as an example then you could seek sponsorships from products or websites for sharing photos that cater to professionals. Professional photographers, cameras and equipment for photography.

Courses offering cooking recipes and other content could have sponsors with the manufacturers of kitchen utensils and food preparation equipment, as well as food and beverage companies.

The more aligned your brand's content and the greater your target audience is, the more likely a company will agree to sponsorship opportunities.

      Collaboration with sponsors to make money from your content      

Although sponsors may offer to collaborate together, it's much more likely (at at the very least, when you're just starting out) you'll need contact potential sponsors. There are certain things you'll want to have prepared prior to that so that you can make your presentation professional, and have the ability to address questions that they have.

Develop Your Sponsorship Offerings

Start by deciding what your sponsorship offerings will beand the price you'll be charging for sponsorships. Think about all the information you publish, and how frequently you publish, and finally how you want to set charges for it.

Certain content you should include in sponsorships

• Main site
• Courses
• Lessons
• Blog posts
• Newsletters
• Podcast episodes
• Social media content

Define the length of the content sponsored by the sponsor:

• Per blog post
• Per social post
• Per course/lesson
• In the form of a newsletter
• Per podcast episode
• or for a specified duration of time, such as weekly, monthly, annually

Make a landing page for your website (or a downloadable PDF) with a description of sponsorship opportunities. It is then possible to direct advertising efforts to this pageas well as any inquiries you receive.

Design the Media Kit

Your media kit can be an opportunity to shine! It should contain all the elements necessary to show off the brand you represent. The kit can also include details from your About Us webpage, but it isn't as big an outline as it is easily digestible information chunks. Short paragraphs and bullet points can be great for the form of a media kit.

Make sure you include:

• Statistics on brand names
• What number of students attend your courses?
• What number of site visitors do you have
• Amount of newsletter subscribers
• Podcast listenership
• Course information (how many lessons? How many lessons?)
• Audience demographics
• Social media following per platform
• Brand information
• Logo
• Tag line
• Testimonials
• The timeline of your beginning up to the point you're at, showing progress

An effective media kit can help potential sponsors decide whether your brand would be a good fit for them, and which direction they'd like to direct their sponsorship money.

Develop a List of Potential Advertisers

Spend some time creating a list of potential sponsors/advertisers. Utilize a spreadsheet for adding their site contact information, email address (or the contact page) and contact person (if you have one) as well as their phone number as well as any other relevant information.

Make an email that you can send to potential advertisers (or to include in the body of their contact form) in which you describe your personal identity, the brand you've created, and the sponsorship opportunities that you're promoting. (You may also apply this loosely as a script for calling prospective sponsors.)

Note in the section of your spreadsheet that details the date of the outreach and any subsequent conversations you may have with sponsors as well as the result.

All of this data all in one location will help in coordinating your outreach and make sure you're not missing out on any potential chances.

      The future of the Creator Economy      

Since the advent of printing presses, to the latest social platforms and the capability to publish everything you'd like to the internet the internet, content is consumed in huge amounts.

As young people get older using technology for making a more self-managed living grows. Innovation and understanding of the many ways content creates revenue can allow to lead a nomadic life (van living, DIY and bicycling, to name just a handful) as well as funding the dreams of those who have no money (like tiny sustainable farm, tiny houses, and photography), and supplementing day jobs with more passive income (like sponsorship of content, online sales merchandise), and course creation).

The future is content, and you're on the precipice of making something extraordinary (and being paid in the process).
     Download our creator business canvas template and create your own path to sustainable financial viability by creating content that matches your interests!