The changing relationship between brands & creators

By Megan E. Collins, Cultural Anthropologist & Swiftie 

Social media marketing is a 219B dollar business annually. But it’s a relatively new phenomenon that’s built on the ever-changing landscape of social media platforms. Whether or not they’ve meant to, the algorithms of platforms like Instagram, Facebook, YouTube and now TikTok have fundamentally changed the nature of advertising forever. Now, in the midst of the shift to short form video content and at the dawn of AI, the only thing we can predict is the inevitably of change. We’re looking at 3 major shifts that are impacting the relationship between creators and the brands that work with them. 

Sponcon —> Sponsperience 

There was a time when social media was “the Wild West” but since then it’s become more regimented, regulated and therefore formulaic. Sponsored Content aka “SponCon” has gone from subtle and authentically integrated product placement to very sales-y and labeled pitches. While the intent of this is transparency, it’s also less attractive for marketing fatigued viewers.

To mitigate this, brands are better served creating longer lasting, deeper and therefore more authentic connections with  creators who will actually integrate the product into their lifestyle. Plus, every marketer knows the importance of repeated exposure. Rather than one off content deals or branded trips, brands like Alo are leaning into branded spaces to create legitimate community with creators. For example, the invite only Alo gym is a space for creators to go and workout. This has obvious value for the creators who are getting free personal training but also the brand who is able to create content around the experience featuring familiar faces. 

Branded content  —> UGC  

Similarly, brands being on social media used to be an anomaly. Now it’s simply expected that brands have a robust social presence, sometimes even on MULTIPLE platforms. Because branded content has become table stakes, it’s simply seen as a piece of the marketing pie. Even the most in tuned social team has to go through layers of approvals and brand guidelines that can water down the end product. What’s meant to feel like casual and engaging content ends up being another #ad.

This is where user-generated content (UGC) is growing more and more integral for brands who want to maintain an authentic social presence. UGC is more cost-effective than content from influencers and creators with large followings. But more than making sense financially it does two very important things. One it allows a brand to stay in touch with current content trends without the costly and time intensive internal vetting process. And two, it opens up a lane for brands to engage directly with some of their most dedicated fans and followers. Not only does this allow more casual social media influencers to feel seen and therefore connected to their favorite brands, on the off chance a creator blows up one day, they’ll remember the first brands who took them seriously as creators. For instance, mega influencer Molly Mae has a thriving partnership with hair brand Beautyworks because they started working with her BEFORE she made a name for herself on Love Island. 

AI? 

Many are projecting that Artificial Intelligence, especially generative AI, could shake up the content landscape. We’ve already seen a handful of attempts at creating Artificial Influencers. By now you’ve probably heard of Lil Miquela, a virtual influencer created by marketing agency Brud in 2016 who has since worked with brands like Prada, Calvin Klein, and more. Recently, Meta attempted to get in on the AI influencer game tapping celebs like Kendall Jenner and Tom Brady to create a chatbot called Billie. (it was weird)

While the novelty of these attempts is interesting, they’re missing an important piece of the influencer puzzle. The value of influencer marketing is that it leverages existing trust and parasocial connection. While AI influencers may be able to deliver the same final product as human ones, it’s simply impossible for them to replicate the human connection and investment that makes influencers effective. 

As we’ve covered in the past, AI is a tool that, in the long run, is no substitute for human creativity and influence. So while marketers will definitely attempt to allocate some of their creative budget to buzzy tech like AI, there’s simply no substitute for the stamp of approval from a person you trust. 

TAKEAWAYS

  • Social media marketing is table stakes and therefore needs to work more strategically to provide ROI for brands 

  • At the end of the day, the goal of influencer marketing is to leverage word of mouth from trusted sources

  • UGC is a more cost effective way for brands to populate their social channels & engage with their customers who are posting on social media, even if they don’t have a sizable following