Influencer marketing has changed dramatically in recent years, and brands continue to see its potential for driving revenue. In fact, 67% of businesses intend to increase their influencer marketing spend in 2023, with 23% planning on spending more than 40% of their marketing budget on influencers.

Facilitated by accessible technology, innovative social platforms, and changing cultural norms, influencers have evolved from a simple way to boost brand awareness to an essential marketing tool for businesses of all kinds. 

Today, we’re seeing the next evolution: content creators are becoming brand owners themselves. 

Authentic, original, and driven, these creators are disrupting the traditional relationships between brands and their customers, and changing the way shoppers choose to buy. 

Read on to discover what the future holds for content creators and influencer marketing. 

What Are Influencers?

Influencers are already a well-established part of the marketing landscape. They promote existing brands through sponsored content in return for a financial or product reward. In short, businesses pay influencers to market a product for them.

What Are Content Creators?

Content creators, on the other hand, are a newer phenomenon. They typically create entertaining or educational content within a specific niche. Their main focus is on producing original, value-driven content to share knowledge or, in many cases, build a personal brand for their own business.

Content Creators vs Influencers - What's the Difference?

The terms “content creator” and “influencer” are often used interchangeably, and while there is overlap, there are key distinctions.

While influencers essentially monetise their reach, content creators are actively building a brand by producing specialised content.  

A helpful comparison can be drawn between entrepreneurs and employees. Like entrepreneurs, content creators are driven by business growth, and their success is measured by the value of their brand. Influencers, in this analogy, are similar to employees – they get paid, once the job is completed. 

Why Are Creator Brands Emerging?

78% of consumers have discovered a new product while watching creators’ videos, with a further 73% purchasing a new product as a result. The trust consumers place in the opinions of creators is clear to see, and content creators are primed to win as a result. (Get our insights on how to gain trust through influencer marketing here).

Consumer trust in creators is clear, and creators themselves are starting to realise their selling power. This has led them to move away from solely promoting other brands’ products to focus on building their own revenue streams through brand ownership. 

This shift has led to a surge of successful creator-led brands. A good example of this is Prime, the sports hydration drink created by YouTube stars KSI and Logan Paul. They leveraged their combined following of over 70 million subscribers to launch the brand which was valued at around £20 million in its first year. The drink’s immense popularity has sparked shopping frenzies and a lucrative resale market. 

Molly-Mae Hague is another example of this transition. The former Love Island contestant has successfully transitioned from influencer to brand owner, launching her own range of self-tanning products to her millions of social followers. 

These successes are part of a wider trend of creator-driven, direct-to-consumer (DTC) product launches. From MrBeast’s ‘Feastables’ to David Dobrik’s eponymous perfume, creators across various sectors are seizing the opportunity. At THG Ingenuity, we’ve seen a noticeable increase in content creators in the beauty and nutrition sectors looking to launch their own DTC brand.

The Impact of Content Creator-Owned Brands on the Influencer Industry

There’s a growing concern that creator-owned brands will diminish the reach of traditional sponsored influencers, leading to a significant shift in the industry. 

Creator brands are setting a new standard for authenticity. By producing original, genuine content and placing their efforts behind their own brands, these so-called “genuinfluencers” are challenging the transactional nature of the traditional influencer model.

Whilst the monetary value of authenticity is hard to calculate, its impact on the bottom-line and brand loyalty is undeniable.  

This is compounded by the fact that shoppers are becoming more marketing-savvy. 47% of consumers report feeling tired of repetitive sponsored content from influencers.

As a result, the sense of trust and authenticity influencers once built with their audience has started to erode, and customers are questioning the real value of these partnerships.

Content creators are perfectly positioned to capitalise on this by offering their own products that provide genuine value. 

But all is not lost for influencers. The recent ‘de-influencing’ trend, where influencers recommend products to avoid, offers a chance to regain trust. Honesty, authenticity, and originality remain key to winning over customers. 

However, it’s not just influencers who are feeling the pressure. As creators focus on their own products, the brands they once collaborated with may now face increased competition. In response, many brands are turning to collaborations and limited-edition products with creators. These partnerships leverage both the brand and the creator to develop unique products that appeal to their shared audiences.

The Future of Content Creator-Owned Brands and Influencer Marketing

So, what does the future hold for content creators, influencers, their followers, and brands trying to adapt to this evolving landscape? 

As the industry changes, so too will the way brands approach influencer marketing. Instead of focusing solely on sponsored influencer content, we’ll likely see more brand collaborations that capitalise on cross-vertical relevance. 

It’s also natural to expect that more influencers will make the move to creating their own DTC brands, tapping into the growing creator economy. 

But any transition will need to be built on a foundation of trust and authenticity. We can expect to see a renewed focus on building and maintaining audience loyalty. This starts with owning a direct relationship with your audience, moving away from algorithm-dependent social platforms to an owned domain where you have total control over marketing, design, and revenue

This is where THG Ingenuity can help. For creators looking to launch their own brand, we can host, build, and establish the value proposition for your DTC site, from the concept to go-live. Embrace the next stage in your content creator journey with a fully integrated marketing solution and start owning your success. 

To learn more about how THG Ingenuity could support your brand, get in touch today.