Digital Culture

How Instagram Is Going To Help Creators Make Money

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Instagram (via Aïda Amer | Axios)

Per Facebook CEO Mark Zuckerberg, Instagram is in the process of developing multiple new monetization features for video creators. 

On popular video streaming platform TikTok, users can generate money off their videos’ views. This gives owners of large pages a steady, exponential source of income. For many, this feature has been a draw towards TikTok and away from Instagram. 

However, in the future, Instagram’s platform may be more viable for those looking for profits off of their videos. Although no dates have been officially released, and the initial announcement did not contain any view-based payout system, the presented features certainly seem to improve the big tech giant. 

As the frontrunner of their incoming line of services, they announced that a new “creator marketplace” would be debuted.

Through the creator marketplace, brands would be efficiently matched with pages that offer promotional services. 

Instagram would likely take a percentage cut of the transaction but would nonetheless be opening up various sponsorship opportunities for large niche pages. 

Similarly, they plan on expanding access to Instagram shops, where creators can sell products directly to their audience through Instagram. Instagram shops have been around since last year, but they haven’t been fully optimized. 

Instagram’s new moves play two essential roles, both of which have incredibly substantial implications. 

First, It will allow them to retain steady content streams from influencers who now have a profit incentive to stay on the platform. Currently being a viable alternative to TikTok, Instagram may become more heavily saturated with content creators. As such, the reels feature may increase in popularity. 

Second, the new middleman service will create a new source of money for Instagram (through the transactional fees, which will inevitably be part of the creator marketplace). This will hopefully lead to more revenues and thereby a better OS for users to experience. 

Instagram hopes to capitalize on the rising trend of e-commerce, and they recognize that connecting brands to creators can create some serious profits. It’s a great move for everybody involved and will hopefully positively impact the platform and its users.

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