The number of working creators has exploded since 2020. For brands looking for advertising partners, this is a boon: there are specialist creators for every niche and industry. Is it a boon for creators, too?
In this issue, guest writer Brea Cubit explores the topic:
📱 The anatomy of a successful brand partnership
🧠 Mitigating intellectual property risk in brand partnerships
🔮 A look at the future of the brand partnership industry
— Francis Zierer, Editor
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By Brea Cubit
Back in May, I grabbed breakfast with some friends, and we started discussing the job market’s changing landscape — casual table talk. “Kids these days want to be influencers and content creators,” one of them said. She was awestruck, realizing that the times they are a-changin'.
Fast-forward to a recent conversation I had with Magda Marchowska-Raza, an assistant professor in the department of marketing and management at North Dakota State University. The educator recalled hearing her 8-year-old daughter’s best friend say she wants to be an influencer when she grows up. “It’s a full-time job now,” said Marchowska-Raza, who has researched digital consumer behavior, brand engagement, and social media communities.
According to WPP Media, content creator earnings will hit $184.9 billion this year and more than $376.6 billion by 2030. Brand partnerships, in particular, have become a cornerstone of creators’ incomes.
Just ask Nicole Phillip, a travel content creator and social media strategist who’s collaborated with the likes of Microsoft, CashApp, and TripAdvisor. “From last year to now, I’ve made around $40,000 through brand partnerships,” she told me in early August. User-generated content (UGC) projects also contributed to this profit, she said.
Creators are eager to cash in, but it takes strategy, especially in a competitive space. With that, let’s crack open the creator-brand partnership playbook.
What are some common partnership formats?
Sponsored content: Brands pay creators to produce content that promotes a product or service.
Affiliate marketing: Creators earn a commission on sales and clicks through a unique link or code.
Product seeding: Brands offer free products or experiences (e.g., staying at a hotel) for potential organic promotion.
Event appearances: Creators attend brand-hosted events to generate buzz.
Co-collaboration: Creators co-design or launch products with brands.
Where to start: matchmaking
When should creators pursue brand deals through direct outreach vs. platforms like TikTok Creator Marketplace vs. representation? I asked Olivia Wedderburn, the executive social influence director at TMW Tomorrow.
She said creators can self-represent when they’re starting out, especially with just one or two partnerships per month. When they want more brand deals without representation, they can join a creator marketplace, “a safe entity to dip your toe in,” she added.
Once content creation becomes a primary income source, professional representation can help navigate nitty-gritty details like legal requirements, monetization models, and compensation, Wedderburn explained. For instance, before working with an agency that helps her negotiate rates, Phillip said she accepted $2,000 for a four-video, multi-platform brand deal, shortchanging herself by “at least $16,000.”
Partnership impact: then vs. now
During the creator boom between 2015 and 2020, creator-brand partnerships were more transactional and judged by likes and follower counts, according to Stacy Jones, the founder and CEO of Hollywood Branded. She said brands wanted to work on “one and done” collaborations with various creators.
Now, they value enduring partnerships with creators more than vanity metrics. Campaign KPIs such as clicks and conversions still matter, but touchstones like brand recall and community engagement are more substantive.
Wedderburn said the pandemic helped enforce this shift. With captive digital audiences, creators saw business potential; meanwhile, brands invested more in creator-led campaigns that tapped into our desire for connection.
The anatomy of a successful creator-brand collaboration
Authenticity: Compelling collaborations reflect a creator’s genuine voice. Audiences can sense a forced partnership.
Alignment: Shared principles between a creator’s community and a brand help avoid disengagement. Phillip suggested creators only pitch content that aligns with their audience and a brand's requirements.
Clear expectations: Creators and brands need to have an “honest and transparent conversation” to maintain alignment, Marchowska-Raza said. Outline deliverables, timelines, creative input, and success metrics upfront.
Creativity: Share content with strong storytelling and creative direction. Jones said having a detailed brief from the start helps, because poor communication is “where things typically go to die.”
Timeliness: Jones added that providing content drafts and other assets on schedule builds trust with brands, allows time to course-correct if necessary, and encourages repeat collaborations.
Mutual value exchange: Creators receive payment, credibility, creative freedom, and exposure; brands gain increased revenue and access to an engaged audience they otherwise wouldn’t reach.
The fine print
Influencer Marketing Hub cites a “monetization barrier” as a hurdle in brand partnerships. A report from the company said most creators struggle to make more than $15,000 in annual revenue.
Only a select group of creators can sustain themselves solely on partnerships. They typically have large and highly engaged audiences: roughly 100K to 1M+ followers and engagement rates of 3% or higher. They also work within lucrative niches like travel, fashion, beauty, finance, gaming, and technology.
Case in point: TikTok duo Hannah Williams and James Daniels of Salary Transparent Street made over $1 million in 2023. Per CNBC, 97% of their revenue came from brand partnerships.
TL;DR: Brand deals are accessible to any content creator, but sustainable earnings come only to an elite few.
Creators should also be wary of intellectual property (IP) risks. Specifically:
Content ownership. Some binding agreements give brands full rights to creators’ works.
Perpetual usage. Contracts might allow brands to indefinitely reuse creators’ image/content without additional compensation.
Copyright and trademark issues. Unlicensed music, logos, or imagery can land creators in legal trouble.
Reputation liability. Misuse of IP can harm a creator’s personal brand.
Imitation. Aesthetic theft is difficult to protect legally, but creators should still learn the gray areas of licensing.
The commoditization conundrum
As more creators enter the market, brand partnerships are becoming a commodity. The upside is standardization that could streamline processes, reduce barriers to entry, and scale revenue.
The downside is dilution. Creators touting the same products as their peers might lose touch with their individuality. This could reduce the very authenticity that partnerships are supposed to deliver.
Algorithms also ride roughshod over creators’ desired visibility on sponsored posts. “Once you put that ‘paid promo’ label on, the algorithm fights it,” said Phillip. The result? Increased pressure to commodify unique value, not just reach.
The need for diversification
Given these limitations, creators should diversify and treat partnerships as one revenue stream, not an entire business model. Some might branch into UGC projects, paid subscriptions, or educational services such as courses and workshops.
Jade Walters, a content creator, consultant, and marketer, supplements brand deals with income from 1:1 career coaching. “These are high-touch opportunities to work with me outside of my content creation,” she said in a previous interview with Creator Spotlight.
What’s next for creator-brand partnerships?
The global influencer marketing agency Billion Dollar Boy predicts “high-quality, informative, and entertaining” long-form content will increase in value and drive diverse partnerships.
Additionally, Phillip said she expects to see brands working more with micro-creators, which could weaken the monetization barrier. “It’s a smart move for brands that are trying to reach hyper-niche or localized audiences,” she explained.
Meanwhile, Jones said she anticipates more co-creation on limited-edition products that audiences can connect with: “That's the magic of creator-brand partnerships: getting everyone together to leverage what each party has to offer.”
