Erin McGoff, a content creator with 3 million followers, recently shared a frustrating reality: despite her online success, the earnings from Instagram and TikTok are barely enough to cover a plate of mozzarella sticks. “On Instagram, I’ll have a video hit 900,000 views and make six dollars,” she lamented. This meager compensation highlights a broader issue within the creator economy—creators generate immense value for social media platforms, yet receive little in return.
“TikTok and Instagram are making so much money off of ads, and they’re not sharing that with creators.”
— Erin McGoff
For most creators, income comes from brand deals, sponsorships, and subscription products rather than from the platforms themselves. This dependence on external revenue streams, coupled with the unpredictable nature of platform algorithms, creates a precarious situation. A single algorithm change or an unfounded suspension can drastically impact a creator’s income.
Matt Koval, a former YouTube creator liaison, notes that a typical creator’s career span is short, often lasting only five to seven years. This limited timeframe pressures creators to quickly capitalize on their fame. “If creators don’t turn it into some kind of sustainable business, they can find themselves asking, ‘What do I do now?'” Koval explained.
McGoff, who started her social media journey in 2021, has seen her earnings grow yearly. However, she remains acutely aware of the fragile nature of her career. “You have to act like your influencer money could go away tomorrow,” she advised. Many creators share this anxiety, knowing their income can vanish with little warning. This uncertainty prompts them to consider collective action for better working conditions and compensation.
A Lack of Transparency
Creators like McGoff and Hannah Williams, founder of Salary Transparent Street (STS), are increasingly advocating for transparency in the industry. Williams’ platform, which promotes pay transparency by asking people to share their salaries, has highlighted the discrepancies in compensation across various sectors. As STS grew to over 2 million followers, Williams noticed similar issues within the creator community. “We need standardized rates, advocacy, and people to stick up for us,” she stated.
Without industry oversight, brands can offer anything—or nothing—for creator collaborations. This inconsistency often leaves creators vulnerable to exploitation. Platforms like Instagram and TikTok exacerbate this issue by failing to offer adequate customer support. McGoff recalled a time when Instagram’s lack of support left her unable to access her account after it was hacked. “Instagram has no customer service at all,” she complained, underscoring the need for better platform accountability.
“There’s not enough regulation of people that copy your content… Instagram’s happy because they’re making money, but I’m not happy as a creator.”
— Hannah Williams
Williams also highlighted the issue of content theft. Creators frequently find their work downloaded and reposted without permission, with little recourse. This lack of protection further compounds the challenges creators face, as it undermines their ability to control and monetize their content.
The Call for Unionization
The growing labor movement across various industries has not gone unnoticed by content creators. The successful strikes by Hollywood writers and actors have inspired creators to consider similar collective actions. While past attempts to unionize, such as Hank Green’s Internet Creators Guild, lacked momentum, the current climate might be more conducive to such efforts. Ezra Cooperstein’s creators.org and the Creators Guild of America are new initiatives aiming to unify creators’ voices.
However, creating a cohesive movement is challenging due to the diverse nature of the creator community. “It’s difficult to find common ground with everyone because everyone wants different things,” Williams observed. Despite these challenges, platforms and brands could still take steps to support creators. Suggestions include giving creators a voice in algorithm changes and providing legal protections to recognize content creation as legitimate work.
“The people who are making the rules at the top, they’re so disconnected from it. It’s like deleting someone’s job if your page gets stolen.”
— Lindsey Lee Lugrin, founder of Fuck You Pay Me (FYPM)
As the creator economy continues to grow, the need for fair compensation, transparency, and protections becomes increasingly urgent. Creators like McGoff and Williams are at the forefront of this push, advocating for a more equitable and sustainable industry. Whether through unionization or other forms of collective action, the creator community is poised to demand its fair share of the digital economy it helps to fuel.
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