North America Creator Economy Market Estimated To Witness Growth Due To Rising Demand For User-Generated Content
The North America creator economy market is estimated to be valued at US$ 127.65 Bn in 2022 and is expected to exhibit a CAGR of 22.5% over the forecast period 2023-2030, as highlighted in a new report published by Coherent Market Insights.
Market Overview:
The creator economy refers to creators such as influencers, freelance artists, writers, programmers, and designers who monetize their talents and skills through various platforms, especially social media. They typically work independently or launch their own startups to earn income from various platforms and tools such as YouTube, Instagram, Twitch, Patreon, and Spotify. Creators leverage these platforms to build audiences and monetize their work through advertising, subscriptions, e-commerce, and sponsorships.
Market Dynamics:
The growth of the North America creator economy market is majorly driven by the rising demand for user-generated content across industries. Creators leverage various social media platforms to produce and share their content with a wide audience. Secondly, the continuous emergence of new social media platforms and evolving technology is encouraging more individuals to become creators and monetize their skills. Creators can launch their brands and connect directly with their target audience without relying on traditional media platforms. Platforms are also introducing new features and monetization tools to help creators earn more.
Segment Analysis
The creator economy market is dominated by the social media influencer segment which accounts for over 30% share of the total market. This segment is leading as it allows individual content creators to directly connect and monetize their following on different social media platforms through sponsorships, affiliate marketing, direct sales etc. The content streaming segment forms the second largest segment and is expected to witness strong growth going ahead due to increasing popularity of streaming platforms like YouTube, Instagram, Snapchat etc.
PEST Analysis
Political: Favorable regulations related to content monetization and intellectual property rights help boost the creator economy.
Economic: Growth in disposable incomes and increasing internet & smartphone penetration globally expand the potential customer base for content creators.
Social: Rising popularity of social media influencers and digital content across age-groups drives significant market opportunities.
Technological: Advancements in technologies like AI, ML, AR/VR aid content creation and distribution while blockchains enable new monetization models.
Key Takeaways
The North America Creator Economy Market Demand is expected to witness high growth, exhibiting a CAGR of 22.5% over the forecast period of 2023-2030. The market size for 2023 is estimated to be US$ 127.65 billion. The high growth is attributed to growing social media engagement and increasing digital spending on platforms.
Regionally, North America dominates currently due to high smartphone and internet penetration. Going forward, Asia Pacific is expected to be the fastest growing market driven by a booming digital economy in countries like India and China.
Key players operating in the creator economy include Bytedance, Amazon.com Inc., Meta Platforms Inc., Alphabet Inc., Spotify AB, Netflix Inc., Snap Inc., Twitter Inc., Pinterest, Etsy, Shopify, Patreon, OnlyFans, Teespring, Twitch Interactive, Discord, Cameo, TikTok, YouTube, and Instagram. These players are investing significantly in tools and features to better support content creators.