Content makes the world go ’round (at least for marketers), but it can’t create itself. This week we’re exploring the top creator economy predictions for 2024 that marketers need to know.
Chances are, your brand has worked with creators in the past and likely will again.
Currently valued at $250B, the creator economy is expected to reach $480B by 2028. This growth is fueled by increased cash flow from brands and higher demand for content.
Per a recent study by IAB:
- 44% of advertisers plan to increase spend with content creators in 2024
- Brands anticipate increasing creator content budgets by 25% in 2024
- 39% of consumers watch more content now than the year prior
Creator content is no longer just a top-of-funnel play. In 2024, a well-rounded marketing strategy has content embedded throughout, and strong relationships with creators are essential to making these strategies work. Here are the top predictions of how the creator economy will evolve in 2024.
2024 Creator Economy Predictions
The Growth of YouTube Shorts
YouTube launched Shorts, its short-form video feature, worldwide in 2021. Two years later, Shorts continues to grow. In February it crossed 50B daily views and rolled out a revenue share program for creators who share videos on Shorts.
While Shorts haven’t yet matched Reels which garner 200B views daily across Instagram and Facebook, the feature still has a lot of untapped potential for marketers.
YouTube is a powerful search engine with a large global user base. Pew just released research stating Gen Z now spends more time on YouTube than TikTok each day. With this in mind, the potential to get in front of a large audience by creating SEO-rich short-form videos is high.
Additionally, as creators look to diversify their presence on platforms, many will likely repurpose their content on Shorts to get in front of new audiences. This could generate additional engagement on Shorts that is appealing to marketers.
B2B Brands Embracing Creators
A majority of creator’s work has been centered around getting their audiences to opt into B2C products.
B2B companies have been a bit slower to get on board with creators and have relied on more traditional sales and marketing channels, but we could see that change in 2024 as more B2B brands embrace working with creators.
Beyoncé isn’t the only person having a renaissance. In 2024, micro-creators (those who have followings between 10K and 100K) will be in high demand for brand partnerships.
As mentioned above, many brands are looking to increase their spend with creators in 2024. From a brand perspective, micro-creators typically offer the most value. The average micro-creator has an engagement rate of 9%, which is far higher than the average engagement rate of macro-creators and celebrities at just 2%.
In addition to having an audience that is more likely to engage with and trust their content, micro-creators tend to have lower rates, making them more affordable to work with and often delivering better campaign results.
Creators who have niche, hyper-focused communities are uniquely positioned to establish mutually beneficial working relationships with brands that want to reach their audiences.
The Rise of Creator-Led Media Companies
The media industry has had a turbulent year with companies like Vice, CBC, Jezebel, and Starz undergoing recent layoffs. As the industry recalibrates, creator-led media companies have the potential to pave new roads to success.
Unwell founded by podcaster Alex Cooper, and Hello Sunshine created by Reese Witherspoon are examples of lifestyle brands turned media companies founded by creators. Creator-led media companies have the agility to innovate in ways legacy media companies don’t and could have a lasting impression on the space.
Companies Recruiting In-House Creators
While contracting work with creators will continue, we will likely see more and more brands fostering in-house content creator talent.
Working with independent creators to get in front of their audience is a strong play, and having a team of skilled creators in-house to create high-quality content your company owns, distributes, and has more control over is incredibly valuable.
This has been our norm for some time here at HubSpot, where our media team creates content to distribute among our newsletters, blogs, podcasts, and YouTube channels generating valuable impressions for our business.
In 2024 and beyond, more companies will follow suit, hiring in-house content creators and personalities to round out their owned channels.
More Creators Will Become Founders
Over the past few years, there has been a rise in popular creators becoming successful brand founders in their own right, and this trend has the potential to continue.
From Emma Chamberlain’s Chamberlain Coffee to Marianna Hewitt’s Summer Fridays, creators are expanding their influence to create stand-alone products and build their empires.
Though not every creator may be in a position to fully develop their own product lines, we will likely see an influx of co-branded products between brands and creators to expand working relationships beyond sponsored content. Creators may also be inclined to white-label product lines as a way to directly sell to their audience instead of constantly promoting other brands.
If your brand intends to work with creators in 2024, it will be prime time to think beyond the transactional brand-creator partnership of the past and find new ways to establish innovative, mutually beneficial collaborations.