TikTok ban threat forces creators to rethink Instagram and YouTube as revenue streams

Amid ongoing talks of a potential TikTok ban in the U.S., creators are rethinking platforms such as Instagram and YouTube to offset any potential loss of revenue streams from the embattled social platform. The Biden administration demanded ByteDance, the Chinese owner of TikTok, sell off its TikTok stake or risk being banned in the U.S., according to reports Wednesday. Creators who have solely focused their efforts on TikTok, as well as small businesses that have been relying on the platform for a bulk of their marketing efforts, have the most to lose, said Lia Haberman, who teaches social and influencer marketing at UCLA. Check out the latest Ad Age events and award programs “Professional creators will be fine,” Haberman said. “TikTok creators I’ve spoken with have spent the past year or two migrating their audiences to other platforms. Not because the platform was in danger of being banned, but because they struggled to monetize their presence on the app.” Those creators who have not done this yet are starting to re-evaluate where their audience is and if they should start migrating them to another platform. “My initial thought is, ‘Do I start directing people more towards my Instagram, in fear that TikTok might not be there anymore?’” said creator Eric Goldie, a real estate agent who is also a content creator. “A lot of brands now will almost require that you have a TikTok, because they want whatever video content you're producing on Instagram to also live on TikTok. So, if the U.S. gets rid of the platform, that’s a big chunk of change out of my pocket as a creator.” Jack Dolan, known as “Nameless James” on social media, has over 250,000 followers on Instagram, so that will “be my primary focus for short-form,” he said. “Otherwise, I'm committed to growing my YouTube channel. YouTube is stronger than ever, especially with how much they're pushing Shorts.” But Dolan added that he’s “not really worried about it right now.” Cyrus Veyssi, a strategist at M Booth who is also a content creator, agreed: “I think this is all just a reminder that social media can be very unpredictable and we, as content creators, need to make sure we're thinking about our brands holistically.” See all of Ad Age's 2023 Agency A-List winners here The Biden administration's ultimatum comes despite TikTok’s charm offensive in the last few months. Earlier this year, the app said it would impose an automatic time limit of 60 minutes on users under 18 years old, which could be circumvented with a parental code. It’s also trying to make the app a one-stop-shop for creators with the rollout of Series, which will let creators post paywalled content, meaning they can rely less on brand sponsorships and monetize directly through their fans. “Creators are savvy business owners, they're not going to let their fame, or fortune, disappear with a U.S./China data squabble,” said Cynthia Ruff, CEO and co-founder at Hashtag Pay Me, a platform that calculates base rates for creators. “The nice thing about marketing budgets is that these dollars don't just evaporate from their marketing spend, so brands will likely invest in creator campaigns on other platforms with these dollars.” But marketers say that brands have yet to stop their campaigns. “We have not seen any of our clients halt or slow TikTok campaigns,” said Evan Horowitz, CEO of the agency Movers+Shakers. “There's a feeling that ‘we've seen this before,’ and we feel confident that it will get sorted out one way or another.” In a recent video about the ban, creator V Spehar, known as @Under the Desk News, spoke frankly about the ban. “A ban is going to take a while, a forced sale is going to take a while,” they said. “In the meantime, I think it's probably good news that the CEO of TikTok will be here to try to negotiate next week. So do we panic? We don’t. We’re going to be ok. Follow your favorite creators wherever they are.” @underthedesknews #tiktok #tiktokban #biden #socialmedia #breakingnews ♬ original sound - UnderTheDeskNews In another, musician Sarah Maddack Bell made a jingle about the potential ban. “I’m gonna keep creating with or without it,” she sings. “I love TikTok with all of my heart, but any platform works as long as you work hard.” @sarahmadbell RELEVANT AGAIN LOLS. MAKE UP YOUR MINDS. #tiktokban #ilovetiktok #originalmusic ♬ TIKTOKS GETTING BANNED - Sarah Maddack Bell

TikTok ban threat forces creators to rethink Instagram and YouTube as revenue streams

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