Founder and Director of Tantra Analysta consulting firm in the tech industry, with over 20 years of experience working for Qualcomm, Ericsson & AT&T.
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Unless you’ve been hiding in a cave for the past few years, you’ve probably noticed how traditional norms in advertising, marketing, and content creation are being challenged and transformed by neo-creators. They leverage a range of social media and other online channels, offering products, services and content that appeal to consumers who desire differentiated experiences, values and identity.
A visible recognition of the role this ecosystem plays in changing the world came recently, when Adobe released its inaugural “Creators to watchlist, both to celebrate these rising stars and to provide a platform for them to continue their pioneering work. I hope this marks the start of a trend. Let’s talk about the importance of the creative economy and why more companies should recognize these world-changing stars.
The Rise of the Creator Economy
Traditionally, content creation has been relegated to large companies due to the need for expensive tools and limited market access. The creative process was limiting, with no room for freedom or experimentation.
But thanks to advances in technology and a shift in consumer and business mindsets, all that is changing. There are many reasons for the spread of the creative economy, but in my opinion two are the most important:
1. Democratization of creative tools. Advances in computer science allow consumer/prosumer PCs and laptops to be used for creation. Powerful computers and tools for video production and other visual arts are now easily accessible. You just need a simple smartphone with a decent camera to make YouTube or TikTok videos or creative photography.
2. Democratization of marketing and business channels for easy monetization, such as social media channels and the Internet. Consumers are open to exploring this new world and are willing to spend money on products that allow them to express their identity and individuality.
Both have liberated the creative world and the creative economy is exploding. While market size estimates vary based on different ideas of what constitutes the creative economy, NeoReach Influencer Marketing Hub claims it represents a market size of $104 billion in May 2021. And the recently published Adobe “Future of creativity” study reported more than 303 million global content creators in 2022, of whom more than 165 million in the past two years. According to the study, “one in four people contribute to online spaces, reshaping the future of work, social causes and mental health.” They are not only driven by profit, but also by their passion, purpose, socio-economic reasons and others.
Creators like those on Adobe’s “Creators To Watch 2022” list are entrepreneurs, small business owners, hobbyists, and other ordinary people with ordinary resources who reach extraordinary heights. For example, Justina Blakeney runs a home furnishings company that sells products designed with Adobe Express and promoted through Instagram. Tejas Hullur posts his Tiktok videos through Adobe Premier and markets them through his social media channels. Of course, Adobe emphasizes creators who use Adobe products, but many other companies offer powerful, even professional, creative tools at similar price points, such as iMovie, Canva, Visme, Pinnacle Studio, Final Cut Pro, Da Vinci Resolve, and others.
The web, mainly social media platforms, has opened the floodgates for creative people to reach customers and monetize their creations. Instagram, YouTube, TikTok and Facebook have become mainstream platforms for influencers to reach their audiences. The public not only gets information and consumes content on these platforms, but also interacts directly with creators. Creator web pages and online marketplaces have significantly reduced the cost and complexity of setting up sales channels.
During the pandemic, when people were trapped in their homes and unable to go to shops, the creative economy boomed and consumer behavior changed dramatically. That behavior continues even if restrictions are removed.
Supporting the Creator Economy
This creator ecosystem is great for the global economy. According to the Adobe 2022 Study, 17% of creators were business owners, while 39% aspired to become business owners someday. Many creators already earn part-time or full-time income. according to an Oxford Economics study, only the YouTube ecosystem for creators supported 425,000 full-time equivalent (FTE) jobs in the US in 2021. If this trend continues, it will not only create more jobs; I believe it will also improve overall mental health because, as the saying goes, “If you get a job you love, you’ll never work a day in your life.”
Many Millennials and Gen-Zs have become part of this ecosystem, as creators, consumers, or both. HubSpot’s 2022 Consumer Trends Report found that: 38% of millennials and 30% of Gen-Z considered themselves content creators. Many major brands support these creators through sponsorships, making creators their brand ambassadors and in some cases even their sales channels. I expect this to increase in the coming years, especially with technology, creativity tools and market channels now reaching much further into China, India and several countries in Africa.
I highly recommend big brands and companies to embrace this creator ecosystem. Unlike celebrities, these creators represent ordinary consumers and express real experiences and passions. Companies can use content creators to build trust with consumers by partnering and supporting them and their goals. The industry should also further strengthen this ecosystem with even better tools and make existing tools more accessible.
Finally, I think recognizing the emerging stars of this economy and celebrating their successes will encourage even more creators to take the plunge and explore creative and artistic pursuits in new ways. So I think Adobe’s step in launching the annual “Creators to Watch” is a commendable way to help nurture this emerging ecosystem that’s going to change the world. How can your company address and recognize the new wave of creators?
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Janice has been with businesskinda for 5 years, writing copy for client websites, blog posts, EDMs and other mediums to engage readers and encourage action. By collaborating with clients, our SEO manager and the wider businesskinda team, Janice seeks to understand an audience before creating memorable, persuasive copy.