A recently released report titled The Rise of the Creator Economy provides an in-depth look at the digital creator economy. The report provides insight into how digital creators define their work and the size of the economic movement they drive. It also details the motivations, challenges, and opportunities enabling their growth and that of the global economy.
The Rise of the Creator Economy report was conducted by Richard Florida, author of the best-selling book, The Rise of the Creative Class and the Creative Class Group.
Meta commissioned the report, which tracks the evolution of the larger Creative Economy, where creators are shifting the balance of power away from large corporations. Among these are its scope, economic impact, and what motivates individual creators who use digital technology to create and publish content that audiences can access and respond to. It also looks at how they monetise their efforts in various ways.
Digital platforms accelerate this process by giving creators direct access to creative productions and marketplaces where their work can be monetised. This is in addition to the shift to flexible and remote employment.
Richard Florida, the writer of the report, sees this shift as the “most profound economic and social transformation since the Industrial Revolution.” Key analyses from the report include:
- Some exploratory studies forecast the Creator Economy to reach more than $100 billion: Creators number between 30 and 85 million Americans, and between 200 and 300 million people globally, with as many as 17 million creators earning money by selling their digital content as of 2017, according to data and studies reviewed by the report.
- Up to 60 million Americans now make up the “creative class,” according to estimates. Representatives of more than 40 per cent of the national workforce, up from 15 per cent in 1980, these are scientists, techies, artists, designers, entertainers and professional knowledge workers in fields like management, healthcare and law.
- Most creators are motivated by intrinsic rewards: Many are passionate hobbyists, and a growing number are social and political activists, principally motivated by the desire to make an impact and serve causes bigger than themselves rather than money, fame or follower accounts.
- There is an immense opportunity to forge a “Creator Middle Class,” which supports the idea that more creators who choose to can make a decent living. In the decades to come, equal distribution can create a more robust, more sustainable Creator Economy if it is championed and protected well by organisations, communities, and local governments.
“A new and more robust social compact for Creators is important not just for Creators and the Creator Economy, but for our economy and society writ large,” Florida writes. “Our economy’s ability to grow and deliver rising living standards hinges on innovation and creativity—and not just of the few, but of the many.”
As an invaluable source of economic growth, the Creator Economy also offers meaning and purpose to millions of people. It provides a sense of community in a world where people are increasingly isolated. “For all those reasons and more,” Florida says, “we need to stoke the creative furnace that lies deep within every human being.”
The report synthesises over 75 published studies on the Creator Economy, including interviews with platform executives, academics, thought leaders, and prominent creators. In future phases of research, Florida and his team will develop detailed data and explore the Creator Economy in greater depth. You can access the full report here.
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