How I Make Money as a Creative (and How You Can Too)

Summary

In this video, a full-time creative professional shares insights into building a diversified income as a creator. Over five years, the creator grew their income from client work to four main streams: creative services, short-form content, long-form content, and digital assets. They explain how each stream contributes to their income, including how client work makes up 25%, short-form content 35%, long-form content 20%, and digital assets 20%. The creator offers advice on scalability, the importance of securing retainers, and the potential for passive income through digital products, aiming to help others enter and succeed in the creator economy.

Takeaways

• 😀 The creator economy offers a unique and volatile income system, where each creator finds their own way to generate revenue.
• 😀 Diversifying income streams is essential for creators; it's possible to build a stable and scalable income with creativity.
• 😀 Creative client services (photography, videography, etc.) make up 25% of the creator's income, but it's less scalable and more dependent on time and experience.
• 😀 Short-form content (sponsored content, UGC) is a major income stream (35%), offering scalability with growing audiences.
• 😀 Sponsored content is scalable, and rates increase with the size of the creator's audience, while UGC focuses on creating content for brands to use on their platforms.
• 😀 Long-form content, like YouTube videos, provides a stable income through AdSense, affiliate links, and sponsorships, contributing to 20% of total income.
• 😀 YouTube AdSense isn't highly lucrative but contributes a small amount to creators' incomes; affiliate links and sponsorships are more profitable for long-form content.
• 😀 Digital assets (LUTs, presets, sound effects, courses, etc.) make up about 20% of the creator's income and are a great source of passive income once created and marketed.
• 😀 Selling digital assets provides a scalable and frictionless income model, where creators can make money even without a large audience by solving specific problems for buyers.
• 😀 Retainer clients and long-term sponsorships help stabilize income in the volatile creator economy by securing consistent work over time.
• 😀 Scaling a creator's presence and generating interest through content is key to increasing income—effort directly correlates with earnings in the creator economy.

Q & A

What has the creator learned from making money online for over 5 years?

The creator has learned that there isn't a single correct path to success in the creative economy. Each income system is unique to the individual, and everyone finds their own way to make it work.

How does the creator's income from client work compare to other income streams?

Client work makes up about 25% of the creator's income. It used to be a larger portion (up to 75%) when they had a smaller social media following, but it has decreased over time as other income streams grew.

Why is client work still important for the creator despite other income streams growing?

Client work allows the creator to keep sharp with their skill set, ensures high-quality work, and maintains a connection to professional creative services. It's also a way to stay engaged and creative on set.

What makes short-form content an attractive income stream for creators?

Short-form content, such as sponsored Instagram Reels, TikToks, and YouTube Shorts, makes up 35% of the creator's income. The income is scalable with audience size, and it requires less time and energy to produce compared to longer client projects.

How does UGC (User-Generated Content) fit into short-form content for income generation?

UGC involves creating content for brands to use and license on their platforms. It doesn’t require a large audience, making it accessible for creators who are just starting out. The focus is on creating high-quality, branded content.

What is the role of long-form content in the creator's income structure?

Long-form content, particularly through YouTube, makes up about 20% of the creator's income. It includes AdSense, affiliate marketing, and sponsorships. Although it’s not the largest income stream, it's viewed as more stable and has long-term potential for growth.

Why is AdSense revenue limited for creators, even with a sizable audience?

AdSense revenue is limited because it’s based on how many ads are placed on videos, which depends on the niche and viewer engagement. Despite a decent-sized audience, the creator only makes about $1,000 per month from AdSense.

How does affiliate marketing contribute to the creator's income?

Affiliate marketing allows the creator to earn a percentage of sales generated from special links or codes shared with their audience. While not highly substantial on its own, it provides a steady additional income stream, especially for tech creators.

What makes digital assets a great income stream for creators?

Digital assets, such as LUTs, sound effects, presets, and online courses, make up about 20% of the creator's income. These products offer passive income after the initial creation, allowing creators to earn money over time without needing to actively produce new content.

What are some strategies the creator uses to secure long-term income stability?

The creator suggests securing long-term income through retainer clients, which offer consistent work and peace of mind, and signing retainer sponsorships for short and long-form content. This helps smooth out the volatility of online income and ensures a more predictable revenue stream.