While the country’s economy was taking a nosedive during the Covid-induced lockdowns, the creator economy was picking up pace.
Many people, who were staying indoors, became content creators on social media platforms and got new opportunities to earn money.
The creator economy has grown to Rs 1,300 crore in the last couple of years with many small, medium, and even some multi-national brands opting for social media influencers to promote their products.
Also read: Paytm Payment Links: Transforming digital payments for retailers, freelancers, social media sellers
“Creator economy is a beneficiary of decentralised entertainment section. The supply chain which was restricted to a select few on TV, print media or orthodox channels like billboards have been democratised by and large. A lot of people have been chosen their hobbies as their professions. The internet is looking for more and more things to engage with, in a short period. The winner is who can manage to speak everything in a very short time,” said Saloni Arora, influencer marketing expert and founder of Rabbit and Turtle LLP.
The creator economy rose from $1.7 billion in 2016 to $6.5 billion in 2019 and $9.7 billion in 2020.
The growth saw a minimal effect due to the global lockdowns. Many people started a full-time creator business on social media platforms such as Instagram, Facebook, and other short video apps.
This has also helped several small and medium businesses. Arora said homemade products have got a great advantage in leveraging social media platforms.
“The barriers of the supply chain that existed only to benefit deep pockets have been shaken. A lot of consumers are willing to try homemade products. Social media give the advantage of reaching out to people across the sphere and especially to the right set of audiences. For example, a homemade pickle might not interest a rural audience but might be very appealing to a professional residing in a metro city. Social media give this exact advantage to its content creators or sellers,” said Arora.
In India, according to new studies, the influencer marketing spends in 2022 will be around Rs 1,300 crore as it has witnessed a skyrocketing growth of 40 per cent during the last year.