We are pleased to share with you our recent Creator Economy Webinar Takeaways.
We had a great turnout and are excited to share some of the insights from our panelists with you.
Creator Economy Key Takeaways
Anand Kishore – CEO of Aspire
- Increasing rates of consumer privacy and tracking concerns are making it more difficult to rely on third party platforms to drive sustainable growth. This has incentivized many Shopify merchants to look for new ways for growing independently of Facebook and other Big Tech platforms.
- We are seeing a universal scale up of budgets for promotion in the creator category (influencers, affiliates and ambassadors) from large retailers all the way to small businesses. While larger retailers might be able to afford to keep up with rising ad costs, most small businesses cannot, which has created a huge urgency for them to focus on reaching customers through the creator space.
Aaron Day – CEO of Amaze
- One of the biggest challenges for new, small and medium size creators today is finding the right tag-along products to sell with their main product, in order to offer a ‘complete solution’ to the consumer. Ultimately, helping brands and creators do this is key to them growing and scaling rapidly.
- Within the emerging creator economy, it is integral for brands to have the opportunity to share their individual narratives and connect with their consumers to maximize their monetization strategy.
- Economies around the world with less distribution channels for physical goods are adopting the creator space more rapidly than others, as it is the first chance that these consumers have had to access these goods and services.
- With increasing pressure on small and medium sized retailers to keep up with Amazon and their affiliate program, it is expected to see affiliate budgets growing rapidly. It is likely that most retailers, if they haven’t already, will reach double digit growth in their affiliate marketing budgets in the near future.
Amir Elaguizy – CEO of Cratejoy
- Niche passion products are some of the hottest sellers in the subscription box business model, and they can provide unique insight into up and coming spaces that users may not even know exist yet.
- Social media influencers and movements can be leveraged to enhance the demand for subscription services by directing user traffic to marketplace sites and encouraging continual engagement with the products.
- It is critical for merchants and ecommerce platform operators to stay attuned to consumer preferences and behavior to drive growth of a marketplace site.
Matt Roche – CEO of Extole
- People sell products best. Consumers are seeking real connections with others, but most companies are still focused on ‘pumping out’ ads through large platforms like Facebook.
- Paid advertising CPMs through traditional channels are continuing to get more and more expensive. As a result, brands need to find new ways to profitably acquire and retain customers long term, one of the key methods being ‘customer-led growth’ (CLG).
David Shadpour – CEO of Social Native
- We are still in the very early stages of the creator economy. Big publishers at top of creator hierarchy such as Kim Kardashian and Pewdiepie, have historically taken the majority of revenue, however we see this is beginning to change, as freelancers, micro influencers, and even consumers willing to create content for recognition (UGC), are starting to drive more and more revenue in the creator space.
- Businesses are leaning into creators and influencers to promote their products and believe that authenticity in pictures is a way to sustain growth.
Author: Rohan Bhatia, Investment Banking Analyst at ComCap
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