Instagram to develop features that will help creators easily earn more

On Tuesday, Facebook CEO Mark Zuckerberg announced that the company would develop new features, beginning with Instagram, that will allow content creators to earn money by recommending products on the platform, as well as a marketplace to help advertisers engage with influencers.

More information about how the marketplace will operate is yet to be published by the firm. This announcement is one of theslews of recent campaigns aimed at making money on Instagram, by dividing up revenue from posts, tipping, and other methods.

During the coronavirus pandemic, as users were looking to the app as an alternative to in-person business and recreation, Instagram prioritised these steps.

During a live streaming video with Adam Mosseri, the head of Instagram, Zuckerberg revealed that the social network would open "creator shops" as part of its new ecommerce initiative.

He said, “Facebook will build an affiliate program that will let creators earn a cut of sales from the products they recommend.”

The developments are indicative of Facebook's initiative to support the "creator economy," in which social media influencers, bloggers, and other content creators make money directly from their followers. Following the business model of social media platforms such as Clubhouse, Patreon, Substack, and YouTube.

Mosseri described the formation of connection between brands and influencers as ‘matchmaking, he said, "If we can help with matchmaking, we can help drive more dollars to the smaller creators who can do amazing work for brands."

The move is expected to bring in democratization for smaller influencers who usually suffer due to people with bigger followings grabbing the bigger chunk of money or brand deals.

Mosseri said, “The new marketplace to connect creators with brands will help more users with mid-sized followings earn money.”

For years, Instagram evaded actively involving itself in brand collaborations with creators on the app, believing that the platform would become too commercial.