Small creators are big business

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You may have already heard of the “producer economy” – it’s no longer a new concept, although some people are more familiar with it than others. But the producer economy needs creators. It says right there on the label.

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Essentially, what we call a producer economy consists of two groups. The first is a large, decentralized and amorphous group of mainly independent creatives connected with the digital sector in one way or another. This includes musicians, visual artists, filmmakers, graphic designers, bloggers and influencers. There are other companies and platforms that provide the tools that enable this creation, and by extension, distribution and monetization.

Unsurprisingly, the business side of the maker economy is fundamentally digital, and thus the domain of the tech industry. It has made it easier than ever for independent creators to make a living through their work.

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It has, rather remarkably, kick-started the long-unsolved revelation of the superstar model – the old school way of doing the entertainment business, in which a small group of famous stars created content for everyone, and that was it. That’s not to say that the subcultures haven’t evolved over the decades — they have — but they’ve never made a huge amount of cash.

Maker economy and maker technology emerged relatively organically. The change was initially enabled by virality and audience reach through new social media channels, but maker technology is now a world of its own. As such, its survival depends on the continuation of this slide away from the superstar model.

Piercing Superstar Model

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In a July 16 letter to shareholders, Netflix accepted TikTok is going so far as to note its “astonishing” growth, as a real competitor. One could also argue that Netflix’s early acknowledgment of TikTok’s competitive edge came last year when the platform launched Fast Laughs, a copycat video feed consisting of short clips from its comedy catalog.

Regardless, Netflix has long stalled its wagon for superstars: Zac Efron travels the world, Paris Hilton Cook, every household name comedian has at least one special, and original movies and series. The likes of Timothée Chalamet, Jane Fonda, Sandra Oh and Anthony Hopkins, to name but a few. This is the old guard.

Meanwhile, the biggest stars on TikTok aren’t “stars” at all, but regular people who are funny or clever or sharp and captivate audiences based on the luck of the algorithms and their creativity alone. They are not names that everyone knows, but many creators have found their niche and a devoted following. They are the new defenders, and they are taking away precious attention and viewership.

There are no “tents” in the producer economy, a term used to describe a given studio’s big-budget blockbuster that does so well that it secures the financial health of the studio. This applies to major labels as well: most albums barely cover the costs required to produce them, but then Adele comes along, drops a record, and pays for all the records that didn’t go well. and then some.

Not so in a producer economy. Yes, Tiktok has molded its own kind of stars like let’s go wrong, whose hilarious excitement over complicated life hacks propelled him to global fame – He’s shilling for meta now,

But people who follow Khaby Lame don’t open the app, watch its latest video, then close it. (The algorithm is specifically designed so that you don’t, but that’s a different story.) They follow any number of smaller creators in addition to the following Those stars, and most of the videos they watch, are only statistically bound to be made by creators who aren’t internationally famous.

Small producers finding distinctive success and dedicated audiences are changing everything, and producer technology is on the rise to meet their needs in real time. This is where producer welfare comes in – and why maintaining it should be paramount.

good ethics = good business

It is easy to formulate the producer payment question purely ethically. But it is a good argument. Obviously, artists should be paid well for their work. So let’s look at it in a different way.

For the Creator Economy tech platform, fair compensation for small creators should be the heart of our business model. Doing so is vital to our sustainability as platforms and companies. This drives demand for our platform by pulling in and retaining creators for our platform.

It is realistic too. It’s not the 90s, and there are no tentacles in this game. Creator technology requires a creator number. A large number of small creators create the same demand on which the manufacturing technology depends.

Creator tech should go all-out to support smaller creators. Without supporting smaller creators and fair payments, and without continually improving the platform that connects creators with sponsorship and patronage opportunities, all progress made against the superstar model will be for naught. Creator Tech will shoot in the foot.

Business plans in which shareholders receive returns that dwarf those of the creators themselves are neither laudable nor sustainable, especially in an environment where audiences are so demanding and willing to pay. Algorithms that penalize content creators for taking a day off are ridiculous and they need to go. The time has come for an overhaul of these models and the companies that use them.

Creator Tech must continue to embrace and innovate modern conservation. Creator Tech is already fueling a competitive market of mentor platforms that meet the needs of specific creators and, in some cases, connect brands with creators for profitable partnerships.

Substack is changing the game for freelance writers. Patreon considers itself ideal for creators of all kinds, but it’s unofficial for podcasters. The platforms offering the most – the most money, the most visibility, the most opportunities, the most reach – will win.

Continuous innovation in terms of licensing, distribution and blockchain certification is as good for artist welfare as it is for the companies that enable these innovations. How can art auction platforms move more people away from legacy galleries? Digital music, footage and image licensing is only getting faster and represents an important link within the producer economy, for example, video content creators, photographers and songwriters.

In cold words, money is to be made, and not to exploit anyone in the process.

Investing in small creators is good for economic mess

In the age of the individual creator, the responsibility of creator tech to creators is as much an ethical position as it is one of self-preservation. (To err on the side of the obvious there is no creator technology without a full thriving ecosystem of smaller creators.) The superstar economy is handing out land to independent creators with dedicated followers scattered across platforms and mediums.

If the maker economy is to thrive, creators must first thrive. Patrons must come up from unexpected places and down. The audience should be easy to reach. Creator technology cannot take the lion’s share and leave money for creators. In other words, the success of Creator Tech is inextricably linked to the success of the Creator.

Tech has a bad habit of thinking that its fate does not lie with its users. From a purely business standpoint, the manufacturer tech shouldn’t make this mistake. From a moral, it would be glad that didn’t happen.



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