3. Creator-friendly business models: Offering more direct monetization models (where users pay creators) can encourage creators to align their content with what end users value, versus creating content that maximizes watch time or virality.

The creator economy is in the midst of a decisive shift—from a “bigger is better,” ad-driven revenue model to one of niche communities and direct user-to-creator payment.

In the past few years, startups like Substack, Patreon, and Shopify have created alternative ways for creators to build businesses online through direct transactions, rather than advertising. This shift exposed a simple fact: in an ad-driven world, creators were generally under-monetizing their audiences.

In the creator economy, we’re seeing a reinvention of media in a way that has never been done before. Media is no longer exclusive to well funded publications and production studios. Instead, the power is in the hands of individuals who are inherently strong community builders.