Tens of Millions Now Work in the $250B ‘Creator Economy’ – Slashdot

The creator economy is probably bigger than you think. The Washington Post reports it’s “now a global industry valued at $250 billion, with tens of millions of workers, hundreds of millions of customers and its own trade association and work-credentialing programs.”

Millions have ditched traditional career paths to work as online creators and content-makers, using their computers and phones to amass followers and build businesses whose influence now rivals the biggest names in entertainment, news and politics… In the United States, the video giant YouTube estimated that roughly 390,000 full-time jobs last year were supported by its creators’ work — four times the number of people employed by General Motors, America’s biggest automaker…

This spring, analysts at Goldman Sachs said that 50 million people now work as creators around the world. The analysts expect the industry’s “total addressable market,” an estimate of consumer demand, will jump from $250 billion this year to $480 billion by 2027. For comparison, the global revenue from video games, now at about $227 billion, is expected to climb to roughly $312 billion by 2027, analysts at the financial giant PwC estimated in June. YouTube’s report estimated that its creators contributed $35 billion to [U.S.] gross domestic product last year, a figure that would rank the group’s combined output ahead of U.S. furniture manufacturing but behind rail transportation, according to industry data from the U.S. Bureau of Economic Analysis….

Payments from advertisers to creators in the United States have more than doubled since 2019, to $5 billion, estimates from the market research firm Insider Intelligence show… Megan Pollock, a branding executive at Panasonic North America, said that the company now devotes about 10 percent of its marketing budget to creators and that she expects further increases amid a long-term shift away from traditional ad campaigns.
Other interesting details from the article:

• Last month people watched 53 million hours of video a day just on Twitch. But 74% of that went to the top 10,000 streamers (according to data from the analytics firm StreamElements).

• “Creators’ incomes are determined by giant tech and advertising companies that can change the rules in an instant, and a single mistake can unravel their careers.”

• When America’s youth are asked what they want to be when they grow up, “Influencer” is now one of the most popular answers — ranking higher than “astronaut” and “professional athlete”