Influence Weekly #309 - Inside Uber's strategy with content creators to amplify its organic TikTok following

Influence Weekly #309
November 3rd, 2023
Executive Summary
  • Millions work as content creators. In official records, they barely exist
  • Inside Uber's strategy with content creators to amplify its organic TikTok following
  • Marriott's Bonvoy loyalty program assembles "TikTok Travel Tribe" to offer tips from influencers
  • What MrBeast taught Shopify about the creator economy
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Great Reads

TikTok in 2024? Some Democrats are going all in on the social media platform
TikTok's ascent in the political arena has young Democrats leveraging their established followings for congressional campaigns. Cheyenne Hunt, Isaiah Martin, and Averie Bishop, youthful candidates with significant TikTok audiences, embody this shift, utilizing the platform's reach to engage voters. Despite its popularity, national Democrats grapple with TikTok's strategic use amid security concerns and the White House's absence on the app. The Biden campaign opts for an alternative digital approach, amplifying influencer networks over an official TikTok presence. With millennial and Gen Z voters becoming pivotal, strategies evolve to maintain authenticity while embracing the platform's culture indirectly.

Meanwhile, few Congress members utilize TikTok, highlighting a partisan divide and a preference for content that breaks from traditional political communication. Digital strategist Annie Wu emphasizes the need for content that resonates with TikTok's norms, as evidenced by Sen. John Fetterman's successful engagement strategy. As TikTok becomes integral to some politicians' outreach, the platform's influence on American political discourse grows more pronounced.


Millions work as content creators. In official records, they barely exist
The rise of online content creators has become a monumental but overlooked change in the U.S. workforce. Millions now make a living as influencers, streamers, and bloggers. This "creator economy" is valued at $250 billion globally, rivaling entertainment and news giants. Yet government records barely account for it. Creators don't fit neatly into federal job classifications centered on traditional roles. This statistical invisibility parallels the lack of oversight, as Washington hasn't passed meaningful regulations despite creators' huge cultural influence.  From advertising to ambitions, the creator boom has reoriented society. Brands now route marketing dollars to influencer sponsorships instead of established media. Kids aspire to be YouTubers over athletes.

To keep up, creators professionalize with managers, editors, and therapists, becoming "content machines." But the work is precarious, income unpredictable, and careers beholden to tech platforms.  Without oversight, misinformation and extremism have also grown on social media alongside creators' inventiveness and expanded voices. As creator culture mainstreams, its practitioners gain wealth and fame but lack basic protections. For now, they remain a statistical shadow industry fueling a monumental culture shift. The creator economy's full impact is obscured by its invisibility in official records and lack of governance.



 
Campaign Insights

Inside Uber's strategy with content creators to amplify its organic TikTok following
Uber has consolidated its various service messages into a unified TikTok account to establish a cohesive brand image, collaborating with content creators through the influencer marketing platform Grin. Shifting from celebrity endorsements to niche content creators allows Uber to craft a lifestyle narrative around its services, aligning with the concept of accessible mobility and delivery. Phil Rosario, global social media lead at Uber, emphasizes direct, less restricted engagement with creators, leveraging his own content creation background for a more authentic and timely content strategy.  

Uber's approach has resulted in significant organic growth on TikTok, with their follower count reaching 850,000 in September 2023, a significant leap from 150,000 after its June 2022 launch. Their content has amassed 35 million views and 3.7 million likes. While financial details are undisclosed, Uber's overall advertising spend has decreased in 2023, with a major portion allotted to digital and out-of-home ads on various platforms.  The strategy underscores the importance of adapting content to trends and audience preferences, a methodology echoed by Madison Rogers of Fuse Create, who notes the effectiveness of engaging with both micro-influencers and TikTok stars for diverse and resonant content.


Matilda Djerf and the vulnerability of influencer brands
Swedish influencer Matilda Djerf's clothing brand Djerf Avenue has faced backlash after allegedly targeting smaller creators posting dupes of her products. Critics point out the hypocrisy since Djerf herself once wore dupes and her minimal "Scandi style" aesthetic predates her rise. Djerf deactivated her TikTok as fans shared side-by-sides of Djerf Avenue designs seemingly copied from other brands.

Though positioned as an affordable alternative to designers, quality issues plague Djerf's polyester-heavy clothes despite Portugal manufacturing. This scandal spotlights vulnerabilities of influencer brands, from purported ethics to originality claims. Other celebrity brands like Kanye West's Yeezy and the Kardashians' ventures have crumbled over controversies. Long-term, total transparency and distinct value propositions are essential. Djerf Avenue's future could be at risk if it can't satisfy Gen Z's demand for authenticity and accountability. The saga is a warning that in the cancel culture era, buzzy influencer brands can quickly fall from grace without substance to back the hype.


Marriott's Bonvoy loyalty program assembles "TikTok Travel Tribe" to offer tips from influencers
Marriott International is tapping into the influencer marketing sphere with its new TikTok initiative, aiming to attract young, budget-conscious travelers. The "TikTok Travel Tribe," part of Marriott's Bonvoy loyalty program, features influencers from multiple countries offering travel tips tied to the program's perks.

These content creators, known for their budget travel expertise, will leverage their social media clout to showcase ways members can maximize their Bonvoy benefits. Marriott's strategic embrace of TikTok comes as the company recognizes Gen Z's pursuit of the "experience economy" and increased travel spending. This move is illustrative of the broader trend of companies like Pizza Hut also trying to capitalize on viral trends, with Marriott betting on the enduring appeal of travel content. As Marriott's initiative unfolds, it reflects the evolving landscape of influencer marketing and its potential for growth in the travel sector.


What MrBeast taught Shopify about the creator economy
Shopify's collaboration with YouTube sensation MrBeast, known off-screen as Jimmy Donaldson, illustrates a deepening bond between commerce platforms and influencer marketing. The partnership, originating from a simple branded sock sale in 2022, has matured into multifaceted integrations, including Shopify's recent "Shopify x MrBeast Heist experience." This in-person scavenger hunt in New York is an extension of the virtual engagement MrBeast's 200 million-plus subscribers typically enjoy.  

Shopify's initiative capitalizes on MrBeast's approach to embed promotional content organically within his content, rather than through overt ads, boosting the potential for long-term viewer engagement. Noteworthy is the vast viewership garnered by videos featuring Shopify’s integration, amounting to over 415 million views collectively, demonstrating the enduring value of such content.  The partnership is also unique in its emphasis on entrepreneurship, with Shopify’s goal to inspire and enable new business ventures. Looking ahead, Shopify plans to maintain its promotional strategy with MrBeast into 2024, highlighting the sustained value of embedding brands within the fabric of content creators' narratives.


Carnival Cruise Lines discovers the power of ‘granfluencers’ and TikTok
Carnival Cruise Lines tapped into the power of "granfluencers" and TikTok for an innovative multi-generational marketing campaign. It collaborated with Retirement House, a TikTok group of retirees embracing Gen Z trends. Their fish-out-of-water videos have earned 5.3 million followers. Carnival brought in retired NFL star Rob Gronkowski to get leisure lessons from the grandinfluencers while cruising.

The lighthearted three-part TikTok series integrated Carnival naturally while appealing across ages. It was shot in just 4 hours on iPhones to maintain TikTok authenticity. Initial results exceeded targets with 8.6 million TikTok views and 321,000 on Instagram Reels. The campaign highlighted TikTok's broad reach and influence on culture. Carnival effectively entered the conversation through an organic, smile-inducing concept with the right partners. While Retirement House engaged younger users, TikTok's 35+ audience continues growing. The creative granfluencer tie-up showed the power of genuine digital engagement. Authenticity and seamless branding helped Carnival cruise into wider awareness across generations.
Interesting People

How Healthillie Is Revolutionizing Holistic Living
Iliriana, an emerging leader in the holistic wellness industry and the founder of Live Healthillie, commands a growing digital presence, with 135K followers across social media platforms and a strong TikTok engagement. Her journey, marked by personal health battles, spurred a transition from fitness enthusiast to a wellness advocate critical of the conventional medical system. On TikTok, she's known for sparking debates, notably about the ethics of influencer marketing in health industries.

Her content has highlighted issues such as the alleged industry practice of paying influencers to shape dietary habits and the risks of widely-prescribed acne medications. Recently, she raised awareness about California's ban of Skittles due to health concerns.  Live Healthillie, her platform, emerged as a response to the difficulty in finding safe, low-tox products, positioning itself as a one-stop-shop for clean living alternatives. It champions transparency, offering a selection of goods free from harmful ingredients. With Iliriana's guidance, Live Healthillie strives to elevate consumer awareness and advocate for a holistic lifestyle.


Morgan Riddle Signs With UTA
Morgan Riddle, a fashion influencer renowned for her tennis lifestyle content, has joined forces with UTA, a leading talent agency. The partnership aims to cultivate Riddle’s brand affiliations and broaden her ventures into unscripted media beyond her established social media presence on TikTok and Instagram. Riddle's rise to fame is partly attributed to her relationship with American tennis star Taylor Fritz, which granted her a notable courtside visibility at global tournaments.

Her prominence further increased following her appearance in Netflix's 'Break Point,' a documentary spotlighting emerging tennis talents including Fritz. Riddle also hosts 'Wimbledon Threads' on YouTube, adding to her impressive digital footprint which spans over 650,000 followers. Her ongoing representation by Rare Global and Emily Blair Media complements this new chapter in her career, signaling a strategic move to diversify her professional pursuits in fashion, travel, and sports.


Zillennials Are Increasingly Turning To TikTok For Career Mentorship
In a striking shift, the influencer platform TikTok is emerging as a pivotal career mentorship hub for 'Zillennials'—those at the cusp of Generation Z and millennials. A Resume Builder report reveals nearly half of these younger workers seek career advice on TikTok, with 20% making career moves based on the platform’s content. While some invest up to $1,500 for influencer-led career coaching, experts caution the need for discernment; shared personal experiences don't equate to professional coaching tailored to an individual's unique circumstances.

Amidst this trend, the study shows a split in the type of advice sought: 'transactional'—focusing on job search mechanics, and 'transformational'—which is more personalized. This paradigm underscores a critical point for influencer marketing professionals: TikTok's expanding influence now significantly includes career development, highlighting an area ripe for strategic engagement and potential service offerings in the influencer marketing sector.


Greece’s New Political Star Is a TikTok Creation
Stefanos Kasselakis has become a political celebrity in Greece almost overnight thanks to his mastery of social media. The former Goldman Sachs associate burst onto the scene in August when he announced his candidacy to lead the left-wing Syriza party. His carefully curated image as a self-made entrepreneur appealing to young voters took off on platforms like TikTok. Kasselakis shared lifestyle content and responded to critics through videos that projected authenticity. He scrubbed his prior online presence and avoided substantive policy discussions or long interviews.

This "politainment" approach worked, propelling him to win the Syriza leadership race. However, his meteoric rise has prompted questions about the real man behind the persona. Critics point to omissions about his family shipping business ties and vague allusions to his past. His social media stardom hasn't yet translated to the ballot box. While Kasselakis achieved the party leadership, Syriza fared poorly in subsequent local elections. His experience shows both the power but also potential pitfalls of crafting a political image mainly on TikTok and Instagram. Relying on "politainment" over substance may grab attention, but could flame out without political chops to back it up.
Industry News

Old laws open up a new legal front against Meta and TikTok
A new legal tactic is emerging in lawsuits against social media giants like Meta and TikTok. Republican-led states have filed consumer protection suits alleging the platforms mislead users, particularly about protecting kids. This circumvents the powerful shield social media enjoys under Section 230 of the Communications Decency Act. Utah, Indiana, and Arkansas used this approach in suing TikTok over safety and data security tied to its China-based owner. Now, 41 states plus Washington D.C. are accusing Facebook and Instagram of deploying intentionally addictive features that harm children in violation of consumer laws.

TikTok and Meta argue they have safeguards and parental controls in place. The tactic echoes 1990s suits against tobacco companies, but faces hurdles as online platforms have First Amendment protections. With gridlock in Washington, states are taking the lead in trying to regulate social media. But the novel legal approach could prompt drawn-out court battles. Platforms may have invited scrutiny by lobbying against federal regulation. However creative, states face challenges in overcoming Section 230's protections for online speech.


TikTok’s Spotify competitor adds indie artists to its library
TikTok is expanding its influence in the music industry by integrating DistroKid's independent artists into its TikTok Music streaming service. The new deal enhances the platform's music library, offering a broader stage for artists seeking viral recognition, and now includes CapCut, TikTok's editing app. This move fortifies TikTok's position as a key player in music discovery and promotion, providing a gateway for unsigned artists to break into the mainstream.

The collaboration underscores TikTok’s potent impact on music trends and hit-making, evident in its contributions to chart-topping successes and promotion of emerging talent. With TikTok's ventures like live music competitions, a music festival, and a Billboard partnership for a TikTok-based music chart, the app remains a fertile ground for hits.  Although in its nascent stages, TikTok Music could pose a challenge to established giants like Spotify and Apple Music by leveraging its seamless app integration, allowing users to transition from music discovery on TikTok to listening on its own streaming service.


Agentio Raises $4.25 Million To Make Paid Creator Content More Programmatic
Agentio, aspiring to be the programmatic equivalent for paid creator content, secured $4.25 million in seed funding. Co-founded by Arthur Leopold of Cameo and Jonathan Meyers of Spotify, Agentio offers a self-serve platform that merges celebrity-endorsed content with automated ad technology, specifically for YouTube creators. It allows advertisers to buy sponsored content directly, bypassing the limited traditional ad slots on YouTube.

Despite high returns on host-read ads, creators sell these on only 10-25% of their inventory due to the lack of scalability in direct deals. Agentio aims to address this gap, enabling creators to list ad slots and buyers to select or receive AI-based recommendations.  The company will use the funds to grow its team and extend services beyond YouTube to platforms like Twitch and Snapchat. Currently in beta, with plans to fully launch by year’s end, Agentio is focused on top YouTube advertisers and relevant creator onboarding. The funding was led by Craft Ventures and AlleyCorp, with notable investors across media and technology.


Social media influencers required to display full real names on accounts
China's most popular social media platforms including WeChat, Weibo, Douyin and Kuaishou now require influencer accounts with over 500,000 or 1 million followers to publicly display their real names. The new policy aims to enhance credibility and facilitate public supervision of major content creators who wield significant influence over public opinion.  By registering and verifying ID information, the platforms already require real name registration. But users have not had to publicly display their identities until now. Under the new rules, individual accounts over 500,000 followers must show the registered person's actual name. Organizational accounts of the same size must display the organization's name.  

Experts say the prominent creators have an outsized impact on discussions of hot social issues compared to ordinary users. The real name display policy is intended to make them more responsible for their influential discourse. The platforms say compliant creators will get benefits like higher click rates, while non-compliant ones face restrictions and account suspension.  However, regular users and personal lifestyle accounts are exempt from having their real names shown. The platforms also say they will establish systems to protect against cyberbullying of creators who do show their identities. While increasing transparency, they aim to balance privacy and prevent harassment.


Instagram is a showroom, YouTube is a classroom': What powers influence among Gen Z
At the Moneycontrol Creator Economy Summit, insights emerged suggesting that Gen Z's engagement with brands is evolving, notably with a diminished influence from traditional influencers and celebrities. This demographic, known for its elusive and discerning consumption patterns, reportedly relies more on peer recommendations than on public figures. Panelists at the summit, including leaders from diverse creator-focused companies, underscored the importance of authenticity and impact in messaging for this generation. Harshil Karia of Schbang observed a shift in influencer marketing strategies towards fewer, more authentic collaborations rather than wide-scale, less personal campaigns.  

Furthermore, platform choice has become content-specific, with Instagram serving as a “showroom” for lifestyle and fashion, while YouTube acts as a “classroom” for deeper, infotainment content. Influencers and brands are thus advised to choose platforms that best align with their content nature. Content integrations also need to be subtle and engaging to prevent audience drop-off, with successful examples showing that concise and well-incorporated brand messages resonate more effectively with viewers.  In essence, the panel highlighted a crucial transition in influencer marketing: the move towards meaningful content, purpose-driven collaborations, and platform-specific strategies to engage the complex and rapidly changing preferences of Gen Z consumers.

 
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Why Influencer Marketing Firms Are For Sale — The Information
In a climate of intensified acquisitions within the creator economy, influencer marketing firms have become attractive targets due to their profitability and lean operations. As reported by The Information’s Creator Economy Database, at least 15 influencer marketing agencies have been acquired this year, contributing to the broader trend of consolidation among companies serving creators and advertisers. Amidst a surge in influencer marketing budgets from major advertisers desiring fewer but more substantial agency partners, these firms face a critical juncture: scale up or sell.  

Ken Harrell of Pharus, a firm with experience advising such sales, notes the limiting nature of niche markets for small independent agencies, which larger entities can transcend, achieving cost efficiency and enhanced global reach. Recent notable acquisitions include Publicis Groupe’s CJ absorbing Perlu and Live Current Media’s purchase of GoFamer. This consolidation wave is expected to continue, possibly extending into talent agencies and content businesses known for recurring revenues. Even well-funded creator startups like Jellysmack, backed by SoftBank, are entering the acquisition arena, indicating a robust and shifting market landscape for influencer marketing professionals.


Content creators surge past legacy media as news hits a tipping point - The Washington Post
A major shift is underway in how people get their news, especially among young audiences. According to a recent Reuters Institute study, more people now turn to social media platforms like TikTok, YouTube, and Instagram for news rather than traditional news websites. One in five adults under 24 uses TikTok for news.  This has fueled the rise of independent news creators and influencers who are building huge audiences by delivering news in more accessible and entertaining formats. For example, Ameer Al-Khatahtbeh has over 2 million TikTok followers for his account @Muslim which focuses on news relevant to the Muslim community.  While some see this as a positive for diversity, others worry it undercuts authoritative journalism and institutions dedicated to original reporting.

Misinformation also spreads more easily without the standards of professional journalism.  Major publications like the New York Times have grown digital audiences but still face declining social media traffic and ad revenue flowing to creators. Some digital native outlets like Buzzfeed News and Vice have also struggled recently.  Experts say the atomization of news and rise of partisan alternative platforms makes the public sphere more chaotic. But many believe new creators are filling a void by better serving niches and younger audiences who distrust traditional media gatekeepers.


Morgan Stewart McGraw Is One of Luxury Fashion’s Biggest Influencers - WSJ
Morgan Stewart McGraw, a former star of "Rich Kids of Beverly Hills," has become an influential figure in luxury fashion through her candid and relatable social media presence. With 1.6 million Instagram followers, she drives sales of designer brands without overt sponsorships. Her posts send fans seeking out the exact items she tags. On LTK, her links yield $550 average orders, over double typical engagement. Fans view her as more trustworthy since she focuses on her own style, not #ads.

Stewart McGraw shops luxury brands herself and just launched her own fashion line, Renggli. She leverages her reputation for smart recommendations, focusing on timeless essentials. Fans say they admire her humor and mix of high and low. The brands she wears regularly sell out. Though Stewart McGraw feels luxury doesn't fully recognize her impact, her wealthy yet down-to-earth persona has struck a chord. She's become a quiet power player able to move product through the sheer force of her own highly shoppable personal style.


Forget Retirement. Become a Social-Media Star Instead. - WSJ
The influencer marketing industry is witnessing the rise of 'granfluencers,' a term for senior social media stars who are gaining substantial followings and lucrative brand deals. Lynn Davis, a 67-year-old retiree, evolved into 'Lynja' on social media, amassing nearly 27 million followers with engaging cooking content, which translated into six-figure deals with companies like Chobani and Impossible Foods.

The phenomenon reflects a shift in how aging is perceived, with granfluencers appealing across generations due to their authenticity and expertise in areas from cooking to auto repair. Brands value these influencers for their multigenerational reach, with the top U.S. granfluencers having 74% of their followers aged 18-34. Financially, they command comparable rates to younger influencers, with top-tier granfluencers earning $30,000 to $150,000 for campaigns. Beyond financial success, granfluencers like 93-year-old Lillian Droniak and 70-year-old Scotty Kilmer find renewed purpose and connection, highlighting a significant trend in the influencer marketing landscape.


India’s Regulator Turns Up Heat on Influencers as Stocks Boom - Bloomberg
India's market regulator has intensified crackdowns on unregistered financial influencers doling out stock tips on social media. The Securities and Exchange Board of India (SEBI) recently barred a popular YouTuber with nearly 500,000 subscribers from the market for allegedly providing fraudulent investment advice. It was the third major action against an influencer this year, as regulators grapple with the boom in retail trading and young investors turning to social media for tips. India's long equity rally since the pandemic has fueled explosive growth in new trading accounts.

SEBI warns of dangers from influencers peddling dubious advice online. It is seeking to regulate financial influencers through registration requirements and other rules. However, experts say compliant registered advisers face increased costs, while influencers will likely persist despite crackdowns. SEBI aims to bring influencers out of the "Wild West" and into mainstream investing through clear regulations. While its actions have impacted major influencers, the lure of quick stock tips on social media endures given India's extended bull market. Regulators and influencers may remain at odds as trading fever grips young investors.


How TikTok Brought Back K-Beauty - BoF
After dominating the 2010s, the K-beauty craze faded in the early 2020s as the novelty wore off and mainstream Western brands launched their own versions of Korean innovations like BB cream and sheet masks. But now K-beauty is staging a comeback, driven by TikTok. Individual viral hits like Cosrx's snail mucin essence and Beauty of Joseon's sunscreen are igniting renewed interest. Laneige and Innisfree are seeing surging sales, buoyed by TikTok videos and influencer promotions.

This time, the hype is more about product efficacy than gimmicks. TikTok's young users are drawn to "skinellectual" discussions of ingredients and trends like "glass skin." Affordable prices also enable dupes and experimentation. While the multi-step routine mania of the 2010s has passed, Korean brands are still valued for their innovation. As long as they keep creating new textures and formats, K-beauty has opportunity to thrive again. TikTok has proven instrumental in reinvigorating interest, especially among young shoppers open to trying the latest viral sensation. Brands will need to lean into digital platforms and influencer marketing to sustain momentum.


What led to the rise of TikTok stars and YouTube millionaires - Washington Post
The influencer marketing industry, now a $250 billion sector, has experienced explosive growth from its early days of blogging in the 1990s to today's dynamic social media landscape. The article traces the evolution of content creation, highlighting pivotal moments and technologies that expanded the realm of possibility for creators. From the first blogs, through the era of "mommy bloggers" and gossip sites like Perez Hilton's, to the advent of YouTube's Partner Program, which offered creators a slice of ad revenue. The smartphone revolution further catalyzed this growth, making content creation and consumption more accessible.  

The timeline showcases critical junctures, such as the introduction of Vine, which shaped online celebrity culture, and the term "influencer" gaining traction as marketers realized the power of online creators. The industry's ascent wasn't without challenges, facing backlashes over problematic content and the mental toll on creators. Currently, TikTok's surge amidst the pandemic marks a new chapter, with influencers diversifying monetization methods and platforms like Walmart Creator and Amazon's influencer program underscoring the shift toward e-commerce. This history is vital for influencer marketing professionals, as it underscores the industry's rapid evolution, resilience, and increasing economic significance.
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