The Engagement Rate

An industry bulletin for marketing pros.

TikTok's influencer vs. content creator debate explained: who gets to be an influencer?

The debate: The influencer versus content creator debate on TikTok was sparked by Fannita Leggett, a 25-year-old TikTok creator and podcaster, who raised questions about pay disparities between white and Black creators. Leggett’s videos, known for their chaotic and engaging style, have thrust her into the center of this discussion.

• Pay disparity: Leggett highlighted a significant pay gap, noting that white creators often earn more simply due to their appearance. A 2021 report supports this, revealing a 35% wage gap between white and Black influencers.

• Influencer vs. content creator: The debate centers on the difference between influencers, who drive trends and product sales, and content creators, who generate views and engagement but may not have the same commercial impact. Influencers like Alix Earle are seen as trendsetters, while creators like Leggett are viewed as entertainers.

• Industry impact: This conversation is crucial for influencer marketers to understand the nuances in influence and engagement, ensuring fair compensation and strategic partnerships.

For influencer marketers, recognizing these distinctions is essential in crafting effective campaigns and fostering equitable practices in the industry.

New report highlights influencer pay disparity among creators of color

A recent survey by SevenSix Agency reveals significant pay disparities among Instagram and TikTok creators based on skin tone, hair texture, and other factors. Key Findings:

1. Skin tone and pay: Creators with a "deep dark" skin tone earn 44.63% less than those with a "light" skin tone. This disparity highlights ongoing issues of racial bias in influencer marketing.

2. Hair type impact: Hair type also affects earnings. Influencers with type 2A hair reported the highest fees, while those with type 4B hair earned the least. This is the first study to provide concrete data on this specific bias.

3. Age discrimination: Younger influencers (18-39) earn significantly more on TikTok than those over 40, who earn more on Instagram. Nearly 60% of influencers over 40 feel they are treated differently based on age.

Industry response: SevenSix Agency's founder, Charlotte Stavrou, emphasizes the need for data to back up claims of bias. The report includes recommended rates for brands to consider, aiming to promote fair compensation across all influencer demographics.

For influencer marketers, understanding these disparities is crucial for fostering equity and making informed decisions in partnership negotiations. Take a look at the full report here.

Winners of the week 🏆🏔️

Vacation x Erewhon: Skincare brand Vacation collaborates with supermarket chain Erewhon to introduce the Sunscreen Smoothie, a tropical blend inspired by Vacation’s Classic SPF 30 Lotion, available for free to Erewhon members until June 14. This launch highlights a new precedent in Erewhon’s celebrity smoothie range, showcasing the strategic potential of food and beauty brand partnerships to attract diverse customer bases.

Cereal gets a bump (and a belly): Cookbook author Molly Baz is making waves (and headlines) again, this time with a new deal for Special K. The brand's "Special for a Reason" campaign features Baz front and center on their cereal boxes, proudly sporting her pregnant belly. This marks the first time a pregnant woman has ever graced the packaging, following Baz's earlier controversy with Clear Channel over a Times Square billboard promoting her lactation cookies.

YouTube's pitch to advertisers: banking on creator 'stars'

Google’s YouTube is deep in upfront negotiations, highlighting its dominance as the most-watched app on U.S. TVs.

Reality check: YouTube is focusing on its creators, likening them to top TV showrunners and actors. “These creators are the new producers, the new directors, the new stars of the world—and they have tremendous followings,” says Sean Downey, Google’s president of the Americas and global partners. This presents significant opportunities for engagement.

Competitors: With Netflix and Amazon’s Prime Video entering the ad-supported space, YouTube emphasizes its higher viewer engagement. In April, YouTube accounted for 9.6% of all U.S. TV watch time, according to Nielsen, surpassing other streaming services except Netflix.

Creators drive engagement: YouTube’s extensive, constantly updated content library ensures users always find something appealing, fueling its growth.

Zoom out: Downey shares a personal story to illustrate YouTube’s reach. After attending the Miami Grand Prix, his 16-year-old son, aspiring to be an F1 mechanic, watched behind-the-scenes F1 videos on YouTube. “That’s a living-room activity for us as a family,” Downey said. “People are choosing to watch the YouTube app because they love our creators.”