As Apple hosts their annual Worldwide Developers Conference, Instagram and Facebook chose this moment to experience their first-ever Creators Week. This three-day event is geared towards aspiring and emerging digital creators, complete with virtual DJ sets and panels at 9:45 a.m. on “Algorithm Mythbusting” and raising the bar for “zillions of a nonprofit you care about.”
During the first day of the event, Mark Zuckerberg released an ad offering new ways for creators to make money. In the coming months, Instagram will begin testing a native affiliate tool, which allows creators to recommend products available at checkout, share them with followers, and earn sales commissions paid for by their posts. When content creators publish these posts, the text “Eligible for Commission” will appear under their username in the same way as sponsored content labels.
Available immediately, content creators will be able to associate their stores with their personal profiles, not just business profiles. By the end of the year, eligible creators in the US will be able to partner with one of Instagram’s merchandise partners (Bravado/UMG, Fanjoy, Represent and Spring) to drop exclusive product launches on the app.
During Instagram Live videos, viewers can tip creators by sending them a badge, which costs between $0.99 and $4.99. Facebook Gaming has a similar feature called Stars, where a single Star is worth $0.01. Starting this week, creators can earn rewards for completing certain challenges, such as going live with another account. In a promotional image, for example, Facebook offers a $150 bonus to content creators who earn 5,000 stars, which equals $50.
“To help more creators make a living on our platforms, we will continue paid online events, fan subscriptions, badges, and our upcoming independent news products that are free to creators through 2023,” Zuckerberg wrote in a Facebook post. “And when we offer a share of the profits, it will be less than the 30% that Apple and others get.”
These updates represent Instagram’s latest push toward affiliate marketing and in-app shopping, such as the redesigned Instagram Store and Shopping in Reels, which debuted over the past year.
“Our goal is to be the best platform for creators like you to make a living. And if you have an idea that you want to share with the world, you should be able to create it and publish it easily and simply – via Facebook and Instagram – and then earn money for your work,” Zuckerberg added during Creator Week .
Creators may be tempted to try these affiliate and shopper features, because for now they are not going to lose a portion of their Instagram earnings. But platforms like TikTok and YouTube offer monetization strategies that go beyond e-commerce.
Last July, TikTok announced a $200 million TikTok Creator Fund, which allows popular posters to earn money from their videos. It is unclear exactly how TikTok determines how much money to spend, but it depends on the number of views, interacting views, and other factors. In August 2020, YouTuber-turned Hank Green estimated he’d be coming home About $700 from 20,000,000 TikTok views In one month, it averages about 3.5 cents per 1,000 views.
Meanwhile, YouTube announced $100 million in funding last month for the top creators of YouTube Shorts, rival TikTok. The platform indicated that over the past three years, it paid $30 billion to content creators. Snapchat pays creators $1 million a day on their TikTok competitor, Spotlight.
For users who don’t have millions of followers, this creator’s money may not pay the rent. However, it does provide an income stream based on views, outside of e-commerce or viewer tips. At the moment, Instagram can’t say the same.