The creator economy has a payments problem
Frank DeVito, president and Chief Operating Officer, XR Pay Brands and agencies are spending more money than ever on featuring famous faces in advertising, with creators commanding bigger roles and paydays. But the creator economy’s next challenge isn’t finding new talent or making more content. It’s simplifying the business of paying creators. Celebrity pay in […]
The creator economy is booming, with payments to celebrities and social media stars reaching unprecedented levels. According to XR Extreme Reach data, payments in the United States are projected to soar to $2.06 billion by 2026, up a staggering 70% over the past five years. This surge in celebrity pay is fueling the growth of the creator economy, as famous faces are appearing in more advertising campaigns across an expanding range of categories.
The rules of celebrity endorsements are being rewritten, with stars now signing deals with multiple brands at once – a practice that was once deemed impossible.
However, the industry's payment infrastructure has not kept pace with the rapid growth of creator advertising. As social media influencers and digital creators assume the influential roles once held by traditional Hollywood stars, the need for a streamlined and efficient payment system for these key players has become more urgent than ever.
The creator economy's next challenge lies in simplifying the business of paying creators, ensuring that the talent behind the content is fairly compensated for their influence and star power in the digital age.
Written by urgent.news from Digiday's reporting — not their text. Machine-written — may contain errors; check the original before relying on it.
