The creator economy could be a more than $100 billion industry, but market sizing is difficult
There is no industrywide definition for the constantly evolving space. One commonly cited figure sizes the creator economy at $104.2 billion in mid-2022.
Meanwhile, the leading companies across the top 10 types of creator economy services collectively brought in roughly $9.50 billion in revenues in 2022, per influencer marketing software company NeoReach. But that’s just a small slice of the market, and there is a long tail of other creator-focused companies that bring in revenues.
Investment dropped by around $1.5 billion in less than two years
VC funding for creator economy startups slowed to just $270 million in the fourth quarter of 2022, down from a peak of $1.70 billion in the second quarter of 2021, per The Information’s “Creator Economy Database.” That’s led some industry experts to assert that the creator economy was overblown.
Brands should prepare for the funding chill to continue into 2023 as economic conditions remain tough, but remember that investment is only one part of the picture.
“It’s called the creator economy, not the investor economy,” said Brendan Gahan, partner and chief social officer at Mekanism.