Influence Weekly #313 - NFL Team signs Mr. Beast to $10 million deal, but there’s a catch

Influence Weekly #313
December 1st, 2023
Executive Summary
  • Will Livestreaming Be TikTok’s Amazon-Killer?
  • TikTok obtaining Indonesia e-commerce permit
  • NFL Team signs Mr. Beast to $10 million deal, but there’s a catch
  • Get Ready with Me' videos take over TikTok with over 150 billion views
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Great Reads

TikTok Says Users Spend Half Their Time in the App Watching Minute  Long Clips
TikTok, facing challenges in creator monetization, is steering towards longer-form content to better align with competitive platforms like YouTube and Instagram. The social media giant hosted a private event in late October, encouraging creators to produce videos lasting over a minute. This strategy aims to address TikTok's limitation with short clips, which restrict ad revenue opportunities compared to YouTube's pre and mid-roll ads.  Data reveals that TikTok users now spend half their time on the app watching content longer than a minute, and creators posting longer videos have seen a fivefold increase in follower growth rate compared to those who only post short clips.

This shift could potentially transform TikTok into a long-form content destination, aligning with its identity as an entertainment app.  TikTok's initiative is part of its broader strategy to expand ad options and cater to user behaviors, reflecting a paradigm shift in social media towards entertainment-focused content. This change is crucial for influencers and marketers to consider in their 2024 planning, as TikTok adapts to Western audiences' lukewarm response to in-app shopping options.


Get Ready with Me' videos take over TikTok with over 150 billion views
Get Ready with Me' (GRWM) videos have become a social media sensation, amassing over 157 billion views on TikTok. These videos feature influencers preparing for various events, from dates to job termination, while sharing personal stories and product usage. This trend, which started on YouTube more than a decade ago, has found renewed popularity in TikTok's short-form video format.  The appeal of GRWM videos lies in their combination of storytelling and everyday activities, making them relatable and engaging for viewers. Influencers like Alix Earle, with nearly 6 million followers, share personal challenges and experiences, creating a sense of intimacy with their audience.

These videos are not only a platform for storytelling but also for product placement and brand partnerships, which have become major income sources for creators.  Emerging creators find GRWM videos a comfortable format for sharing stories while engaging in an activity, enhancing viewer connection. The trend underscores the evolving nature of influencer content, where personal narratives blend with commercial opportunities, drawing significant viewer engagement and offering potential for brand collaborations.
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Campaign Insights

How brands are betting big on regional influencers and the way forward in 2024
Brands increasingly tap regional markets and influencers in India as localized content proves more impactful than celebrity promotions. Shivashish Tarkas of agency The InterMentalist notes pre-2020, under 5% of marketing budgets targeted regions versus current 5-6x jumps. Realizing pan-India campaigns lacked emotional connections, brands shifted strategies post-COVID. But selecting relevant languages and dialects still challenges decision-making. While allocation grows, chaos will persist amid global uncertainty. Regional influencer usage should further rise in 2024 as reliability, cultural expertise and community trust become more vital to target groups. Interactive local creator content may increase engagement too.

For client TVS Emerald, Tarkas chose influencers exuding premium perceptions to match the luxury property. Carefully planning visually appealing shots synced personalities with the aesthetic. As aesthetics and intent grow crucial, brands must communicate the right emotions alongside creators who embody regional ideals. The customized approach shows appreciation of diverse cultures as well.


Dove On How It Created An Influencer Community
Skin care brand Dove and agency Collectively won an award for their influencer partnership expanding Dove's community of female content creators. Goals included growing engaged reach, positioning Dove as an actionist beauty brand through relationship-building, and harnessing influencers to advance social impact causes. Strategies involved increased investment, capitalizing on trends and consumer sentiment, nurturing nano and earned communities, elevating content via testing, adopting a "relationship first" approach, deepening ties through multiple briefs yearly, and tracking sales impact.

Results so far encompass 14 campaigns, 312 activated creators, 684 million impressions, and 607,000 engagements. Dove spotlights natural hair discrimination through #PasstheCROWN, garnering 97 million impressions on LinkedIn. Dove also introduced new body wash packaging after 17 years, blending product and purpose through inclusive storytelling. And it furthered support for enhancing girls' self-esteem and regulating harmful youth content online through Common Sense Media. The layered influencer approach harmoniously amplified diverse perspectives.


Carnation sponsoring 96-year-old viral TikToker "Grandma Helen"
Brands continue pursuing creator partnerships, like Carnation sponsoring 96-year-old viral TikToker "Grandma Helen" after she shared an old jingle. Chipotle renamed a Kansas City restaurant "Chipolte" to jokingly honor a Travis Kelce tweet. And rapper Ice Spice partnered with Chia Pet for a terracotta figure of her head. Meanwhile, platforms evolve monetization features - Snapchat pilots an ad-free paid subscription in Australia for $10.55 monthly.

Controversy also emerges as Paris Hilton's media company suspended X ads following Elon Musk's antisemitic comments, jeopardizing their content partnership. Creators still expand into traditional media, with popular streamer Kai Cenat cameoing in new Paramount+ comedy “Good Burger 2.” And for Cyber Monday, brands promoted sales on Threads. As influencer marketing matures, cheeky brand banter, new subscriptions models and platform scrutiny showcase an industry increasing in complexity, requiring thoughtful navigation.


Council in Sussex considering using paid TikTok influencers
Arun District Council in Sussex, England is considering paying TikTok influencers to promote tourism in the region. At a recent meeting, Councilor Shaun Gunner suggested hiring creators to make short videos showcasing beautiful local landscapes. He argued that the strategy has proven highly effective for driving engagement, noting the millions of views other destinations garner this way. The council currently lacks a TikTok presence, though some nearby municipalities are on the platform.

Data shows the existing digital marketing campaign succeeded in raising website traffic. But Gunner pushed for more advanced analytics to inform strategy, like viewers' locations. He also advocated ditching inactive accounts on other social platforms to divert budgets to influencer partnerships. The proposal underscores local governments' growing interest in leveraging TikTok and the power of influencers. As young audiences shift attention, even small councils want a piece of channels where popular personalities can attract tourist interest better than institutional accounts.


TikTok creators are increasingly tapping into food-centric content — and brands are following
Food-centric social media content is booming, with influencers and brands increasingly pivoting to cooking videos. TikTok cupcake company Baked by Melissa garnered 9.8 million views on a salad post, prompting more food content. Agencies report up to 30% more client demand for food creators over last year. Universal appeal and partnerships across verticals drive the surge. Cooking also easily complements other content, helping influencers stay relevant per social algorithms.

The growth offsets TikTok's revoked monetization program, directing creators to new income streams. Sponsorships enable financial rewards like for lifestyle influencer Paige MacDonald. Brands want cost-effective, quality content from home kitchens versus traditional advertising. But criticism accompanies bandwagon entries, requiring thoughtful alignments. Still, food's mass appeal elicits little concern of oversaturation. The bottomless vertical intersects countless categories, keeping agencies and brands hungry for relevance no matter the chef.

 
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Interesting People

Buccaneers sign Mr. Beast to $10 million deal, but there’s a catch
In a notable collaboration between digital influencers and professional sports, the Tampa Bay Buccaneers signed YouTube star Mr. Beast to a unique two-day contract, worth $10 million, during Week 7 of the NFL season. The deal, however, was not a traditional sports contract. Instead of receiving the $10 million, Mr. Beast participated in an eye-catching stunt by dressing up and appearing on the field during the Buccaneers' game against the Atlanta Falcons, thrilling 60,000 fans.  

The YouTube video of the event features Mr. Beast engaging in NFL player-like weight training, demonstrating his commitment to his craft and adding to his reputation for producing engaging, philanthropic content. This stunt not only entertained fans but also highlighted the growing intersection of influencer marketing and sports entertainment. It exemplifies how influencers like Mr. Beast are increasingly collaborating with sports franchises in innovative ways, bringing a fresh, exciting dimension to the world of sports marketing.


Fed up with real models, company hires this AI influencer
A Spanish modeling agency created Aitana López, the country's first AI-generated influencer, after tiring of working with real models with "egos" and "manias." Rubeñ Cruz, founder of Barcelona's The Clueless agency, told Euronews that Lopez, a 25-year-old pink-haired woman, was made to be more reliable and earn the agency more money.

Lopez has amassed over 120,000 Instagram followers and also appears on subscription platform Fanvue. She has a fabricated personality and was designed based on societal preferences. Lopez can earn over €1,000 per sponsored post and makes between €3,000-10,000 monthly. Her popularity shows the rise of fictional AI models, which Fanvue's CEO believes will soon be ubiquitous like human creators. AI characters are finding success on social media and adult sites by being free of the challenges of working with human talent.


Meet the women who have created an influencer agency
19-year-old Aaliyah Tausney and 21-year-old Kanesly Tait started NovaUK, Scotland's first fully integrated influencer modeling agency. They partnered with social media marketing company DesignedUK, run by Owen Brown and Ahron Ashraf. Initially featured in DesignedUK's videos, Aaliyah and Kanesly saw a business opportunity in representing influencer talent. NovaUK manages models and influencers to appear in client brand promotions across social media.

Their roster already includes Ella Thompson, partner of footballer Ross McCausland, and reality star Connor McGhee. The young entrepreneurs credit their youth and social media savviness for their quick success in understanding modern trends and connecting with their Gen Z target audience. NovaUK aims to keep rising as an up-and-coming star in the industry. Its founders have bold ambitions to build an empire, with no signs of slowing down.


The Merrell Twins' Journey: Building A Legacy In The Creator Economy
Long-time YouTube stars and influencers the Merrell Twins reflected on their 10-year journey building a brand in the creator economy at VidCon Baltimore 2023. Vanessa and Veronica Merrell started posting videos in 2013 to showcase their acting talents. Though they never went viral, their consistency with weekly videos and live streams helped them gain a loyal following. They emphasize collaborating, supporting fellow creators, and forming genuine connections with fans.

Memorable moments at VidCon involved meeting international viewers and a fan who found solace from bullying through their videos. Looking ahead, the twins plan to utilize YouTube Shorts more to adapt to declining attention spans. Though surprised by the validation awards provide, the Merrells stay grounded and motivated to entertain audiences. Their advice to new creators: commit to consistent posting, make content you love, analyze performance data, and don't self-doubt. They encourage aspiring creators to follow their passion.



 
Industry News

TikTok obtaining Indonesia e-commerce permit
TikTok is working to obtain an e-commerce permit from the Indonesian government after the country banned social media transactions in September, according to deputy trade minister Jerry Sambuaga. The move blocked a key avenue TikTok, owned by China's ByteDance, eyed to tap revenue from its 125 million Indonesian users. Sambuaga said TikTok previously did not have the license but is now addressing compliance. Partnerships with local e-commerce firms are possible under regulations.

Indonesia is Southeast Asia's largest economy where TikTok pledged major investments. But the abrupt policy change disrupted its burgeoning efforts to translate immense popularity into e-commerce income. TikTok had been exploring tie-ups with Tokopedia, Bukalapak and Blibli. Acquiring the permit would restart its Indonesian commerce ambitions. But the episode signals political risks that could hamper the platform's expansion plans even with massive audiences. As TikTok grows globally, navigating regulatory hurdles will be an ongoing challenge.


Using TikTok to drive young people to the news
As young people increasingly rely on TikTok for news, media outlets leverage the platform to sustain their engagement. Graduate student Kelsey Russell and journalist Vitus Spehar drive audiences to coverage by meeting them where they are. TikTok's algorithmic "For You" feed and comment sections provide insights to resonate with users. Influencers then direct followers to other formats like newsletters or collaborating publishers to supply depth missing on the app.

Promoting media literacy is also key. Russell teaches analytical skills to prepare viewers for complex articles later. Though some schools incorporate her videos. Outlets could also offer students free subscriptions. Ultimately digital and print should align strategically, not compete. Print offers focus without digital distractions. Stories can provide unique angles across platforms to immerse readers. With youth news fatigue heightening, leveraging TikTok is vital but should encourage multi-dimensional consumption. Quit debating which medium will survive and make them complement, says Russell.


Social media belongs to the creator economy—not users
Social media has undergone a paradigm shift from a space for personal connections to a global stage for influencers and creators, as noted by Sasha Kaletsky of Creator Ventures at the Fortune Global Forum. This transformation has turned platforms like TikTok and YouTube into distribution networks primarily for content creators. As a result, personal posts from friends and family have been largely replaced by professional content, reflecting a change in user engagement.  

The creator economy, now valued at $250 billion and projected to reach $480 billion by 2027, has necessitated adaptations by creators to algorithm changes of major platforms. This has shifted the focus towards content that drives engagement. Traditional social networks, once follower-based, are evolving into distribution platforms. Despite attempts by new social media companies to revive friend-oriented formats, platforms like TikTok and YouTube Shorts dominate, favored by both creators and advertisers for their large audiences and brand safety.  Additionally, AI technology is emerging as a significant tool for creators. However, its authenticity in content creation remains questionable, with Kaletsky suggesting that AI-generated characters are unlikely to replace real influencers due to a lack of authenticity.


Influencers should be banned from promoting baby formula, WHO says
The World Health Organization says influencers should be banned from promoting baby formula on social media. WHO experts argue formula companies increasingly use exploitative online marketing to encourage parents to use formula over recommended breastfeeding. Celebrities like Stacey Solomon have promoted formula, while stars like Beyoncé support breastfeeding. WHO research finds marketing undermines mothers wanting to breastfeed and sways new parents' feeding choices.

Updated guidelines propose banning influencers from directly promoting formula and being paid by companies for other social media content. The crackdown aims to stop the spread of misleading information and support informed parental decisions. Formula labeling research separately found only 50% of UK products follow national laws. Labels carry idealizing claims and use advice lines to build parent relationships. Researchers said better enforcement of UK regulations and alignment with WHO rules is needed to protect breastfeeding and formula feeding.

 
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Great Paywalled Content


Will Livestreaming Be TikTok’s Amazon-Killer? - WSJ
TikTok aggressively moves into U.S. e-commerce, hoping to replicate the success of Chinese counterpart Douyin. TikTok Shop launched domestically in September, allowing the app's 150 million monthly active American users to directly purchase products shown by influencers. Social shopping already thrives in Asia, with Chinese livestreaming e-commerce projected to grow 18% yearly. TikTok aims to hit $20 billion in global gross merchandise value this year, up from under $5 billion in 2022. The expansion builds on the platform's existing influence in driving young users to discover and buy apparel and cosmetics items.

However, politics could stifle growth as evidenced by Indonesia recently banning social media transactions, suspending TikTok's operations there. Still, TikTok has proven adept at capturing younger generations. Its rapid growth could cement its e-commerce foothold before regulatory threats intensify. Industry giants like Amazon risk disruption if failing to take TikTok's ambitions seriously given its youth appeal and traction abroad.


Are L.A.'s new influencer-backed restaurants worth the hype? - Los Angeles Times
Social media stars are leveraging their online fame to open brick-and-mortar restaurants in Los Angeles. The latest influencer-backed establishments showing success have a culinary focus, such as TikTok sensation Anwar Jibawi's Anwar's Kitchen serving Palestinian and Mediterranean dishes based on his mom's recipes.

Other examples are modern Vietnamese concept ĐiĐi in West Hollywood from cooking influencer Tuệ Nguyễn and h.wood Group, and Sichuan grab-and-go cafe Suá Superette by Fly By Jing founder Jing Gao and fashion influencer Stephanie Liu Hjelmeseth. Influencer restaurants thrive when tapping niche markets and carving distinct identities beyond banking on celebrity appeal alone. Hands-on involvement, genuine passion, and experience in the restaurant industry also help. Longevity is still uncertain, but active participation gives influencers better odds than just attaching their names. The goal is creating concepts that can stand on their own if their star fame fades.


TikTok’s Owner Wanted to Create a Hit Videogame. It Failed. - WSJ
TikTok parent ByteDance is winding down its struggling video game unit Nuverse after failing to produce a hit globally. It invested billions since 2019 acquiring developers and distribution rights. But ByteDance told Nuverse to terminate games under development by December and is laying off hundreds of employees. Founders were unsatisfied with poor user retention and revenue.

The move reflects ByteDance's pullback on experimental areas like VR and education to focus on core businesses as regulatory and economic challenges mount abroad and in China. Intense competition from Meta and TikTok scrutiny abroad plus a weak domestic economy now limit its profit growth. Two years ago, ByteDance identified gaming as one of six key expansion areas. But tightening industry regulations also hampered Nuverse's prospects. ByteDance now aims to grow TikTok and e-commerce to rival Amazon and Shein. As the internet giant halts cash-burning side projects, it seeks buyers for studios like Moonton at a $5 billion valuation after its major gaming push failed to pay off.

 
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