Web3 will enable users to earn by consuming content on social media. Therefore, Web3 will benefit all the stakeholders of the Creator Economy.
On every social media platform, scores of creators have emerged in different niches. Rapid digitization has created the Creator Economy. Pandemic has forced everyone to take to social media either to consume or create content.
Market for Indian Social Media Creators
The market size of India’s Social Media Influencer market was INR 950 crores, according to a report by GroupM India.
It is growing at of CAGR 25%.
So in the current year, the market is projected to reach INR 1,250 crores.
Content creators are riding the wave of digital revolution.
It all began in 2016 with the Jio effect and was catalysed by the pandemic.
Indian Influencers have the advantage of immense following due to the country’s massive population.
Another segment of vernacular social media platforms and Influencers has made its mark in the Creator Economy. They are different from Instagram, YouTube, Twitter, etc. as they cater to a specific vernacular audience.
India being a diverse country cannot have a homogenous market for Influencers.
Short video platforms and social media such as ShareChat, Moj, MX TakaTak, Chingari, etc. dominate the vernacular market.
Social Media Influencers play an important for e-commerce and Social Commerce as they drive traffic to endorsers products and services.
Social Commerce means a person’s entire shopping experience — from product discovery to the check-out process — takes place on a social media platform.
A report by Recogn, WATConsult’s analysis division, estimates that India has 15.7 crore Social Commerce users. It will grow by 45% to 22.8 crores in 2022.
Accenture says that the global Social Commerce market can grow two-and-a-half times from $492 billion in 2021 to $1.2 trillion by 2025.
Therefore, it is a good time to become a content creator.
Web3 Can Benefit Both Creators and Viewers
Most of the earnings made in the market are raked in by the Influencers, and the product sellers.
Users are just consume the content.
With the advent of Web3, users too can earn for the time they devote to social media.
Crypto has not just empowered digital art creators through the creation of Non-Fungible Tokens (NFT).
It has further given rise to Creator Tokens or Social Tokens and Metaverse.
Social Tokens are digital asset-backed by the reputation of a brand, influencer, or community. Users can buy them and tip the creator.
Through Social Tokens, even the users can bet on the popularity of a creator and earn by redeeming the tokens as their values rise.
It is held that when something is free, you are not the customer rather you are the product.
Social Tokens are an attempt to mitigate this tenet as users will be in some way compensate for the time they spend on social media.
Fan Tokens will help the content creators in monetizing the content further. Through Fan Tokens, fans get exclusive access to different services and perks offered by the creator such as merchandise, rewards, exclusive content. Right now, creators earn most of the revenue from endorsements. So, the Creator Economy is poised to be disrupted in this decade, especially by Web3.
Further, Metaverse will be the next phase of social media. People will get to enjoy social events in digital space rather than just being confined to chats and games.
In future, there could be a time when Metaverse will be used for e-commerce. Fans will go shopping with favourite creators in a departmental store, in a Metaverse. The items will then be delivered to the user in the real world.
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