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Creator Economy: A Buzzword for Live Wires

Creator Economy A Buzzword for Live Wired

What is Creator Economy?

Recasting entrepreneurs in an incumbent ecosystem of solopreneurs through digital and technological transformation is what the creator’s economy is all about. Creator economy is the industry wherein artists, hobbyists, professionals, influencers, moguls, and stars come together to exhibit and monetize their inert skills and passion. 

According to Taylor Lorenz, the term ‘Creator’ was first coined by YouTube in 2011. A decade earlier, no one knew the forthcoming opportunities created by the skill-sets that were once considered hobbies. 

There are 50 million content creators, which is expected to reach 100 million by 2022. The investment funding in the creator’s economy has tripled in 2021 to $1.3 billion. Altogether, the industry is worth $13.8 billion. 29% of American students claim to become content creators. 

Creators can be defined as anyone striving to create value in exchange for creativity like a school teacher, practicing lawyer, doctor, musician, artist, vlogger, bloggers, writers, influencers, motivational speakers, entertainers, etc.

History of the Creator Economy

As rightly stated by Say’s law, “Supply creates its demand,” the very commencement of the creator economy began even before the term was coined. The inception of Web 2.0 transformed the landscape of content creation and consumption. People realized the opportunity to use the internet as a medium to express themselves online, rather than just consuming knowledge.

With the advent of creator economy platforms like Youtube, Facebook, Instagram, Snapchat, among others,

it became child’s play for anyone to create their social media profiles and do what they are good at. Furthermore, the emergence of smartphones with breakthrough developments in the camera and superior voice recording quality makes the process simple, with almost zero capital investment required. Creator’s economy is less capital-intensive, making it a good option for anyone willing to start a side hustle or even for working professionals like doctors, lawyers, and teachers.

The hefty dependency of artists, performers, and creators on big production houses earlier was one of the critical phenomena behind the exponential growth of an ecosystem entirely designed for people who want to hustle and earn with the skills at hand. The advanced curation and AI algorithms developed by big tech giants solve the promotion and distribution challenges that creators earlier faced.

Creator Economy Platforms:

Challenges In The Industry

Even after earning millions of followers on creator economy platforms by content creators, there are little or almost no avenues for revenue generation. The challenge of monetizing the content persists as the industry is snowballing. Not getting paid for the content deflates the worth of creating it in the first place.

Various prominent content creation platforms deduct 20% to 30% from content creators’ revenue. Youtube creators only get a paycheck of $2000 for one million subscribers. Sixty thousand songs are uploaded by 7 million musicians on Spotify every day, yet only 3% of them earn $1000.

Creativity is becoming a form of service, and followers are transforming into customers or supporters. 

CallXP provides creators with all the tools needed to build their brand, monetize their skillset, and acquire a promising audience. Our platform is completely automated according to the needs of the creators—a creator and customer-centric ecosystem to communicate and organize meetings with customers.