The concept of being a “creator” completely dominates TikTok.
After all, everyday TikTokers are responsible for the trends, challenges and viral videos that garner billions of views.
Oh, and don’t forget the billions of dollars in advertising revenue.
While the platform owes its rapid growth to creators, TikTok regularly goes out of its way to acknowledge their influence.
And by launching the TikTok Creators Fund, the app aims to provide financial support to top-tier content creators.
We see a lot of questions about the Creator Fund, how it works and whether it’s worth joining. In this post, we’ll break it all down!
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What is TikTok Creators Fund?
TikTok Creators Fund is an official fund set up by the app to compensate creators for their content.
According to the platform, the purpose of this nest egg is to “reward” users for their “incredible TikTok videos and creativity”.
Months after the Creator Fund’s initial announcement in June 2020, the official TikTok @CreatorPortal account released a series of videos explaining what the fund is and how it works.
Here are some fast facts:
- Established in 2020, TikTok Creators Fund started with an initial investment of $200 million. Currently, TikTok aims to grow the fund to over $1 billion within three years.
- Compensation and eligibility for the Creator Fund is based on the creator’s metrics. This involves meeting specific boundaries for ideas and engagement.
- Part of the fund’s initial mission was to provide creators to “earn a living” and “spark careers” through TikTok.
- TikTok is adamant that they want creators of all shapes and sizes to fund (hint: no right now beauty,fashion vloggers or conservative “influencers”).
- The fund also stresses the importance of “original and authentic” content that aligns with TikTok’s mission of “inspiring joy and creativity”.
Comment: The TikTok Creators Fund focuses on compensating creators for organic content rather than sponsored content. it’s the direct opposite tiktok creator marketplace Where brands directly hire and pay creators for promotional posts.
What is the purpose of TikTok Creators Fund?
TikTok claims that the fund is to support the creators. Reading between the lines, consider additional motivations such as:
encourage more content
According to TikTok, 56% of users claim that they are inspired to create videos by watching compelling creator content. The fund is a unique push to encourage more activity and time spent on the app.
Capitalize on the popularity of influencers
The explosion of TikTok influencer marketing is well documented. Through both the Creator Fund and the Marketplace, TikTok is taking steps to focus creators seeking compensation on the platform.
Although not explicitly stated, it serves as a way to prevent creators from independently seeking agencies or influential contracts.
Build relationships with creators and the social-savvy public
The more creators that go viral, the more positive buzz TikTok earns.
The Creator Fund serves as a way for the platform to highlight its “best” users. If nothing else, providing compensation and supporting the producer economy could Be good PR for Tiktok.
how to join creator fund on tiktok
Interested in joining the Creators Fund on TikTok or just want to see what it is all about? TikTok is pretty straightforward in terms of what you need to do. Check the steps given below.
Meet the fund’s eligibility requirements
Remember: Creator Fund is reserved for creators who have a large audience and strong engagement.
Specifically, creators selected for the fund must meet the following criteria:
- You must have at least 10,000 followers in your Tiktok account
- Your video must have at least 100,000 views within the last 30 days
- Your account must be in good standing, following the platform’s community guidelines and best practices
- Content published in your account must be original (not cross-posted or otherwise repurchased)
- You must be at least 18 years old
Not sure you’ll make the cut? You may see some of these requirements when you try to join TikTok’s “Creator Next” monetization program. The platform will tell you which criteria you’ve met and which haven’t (see the greyed-out checkbox below).
TikTok notes that individuals selected for the Creator Fund are assessed by the platform. In other words, acceptance or rejection based on the above details is not automatic.
Complete and submit your Creator Fund application
let’s tell you Doing Meet fund requirements.
To apply, you need to submit your Creator Fund application within the TikTok app. You will not find the application for creator fund on the website of Tiktok.
Once you are logged in to your account, go to your account settings and select “Manufacturer Devices”. Under “Creator Next,” you’ll see “Creator Fund.” This is where you apply.
Note that you must be accepted into the Creator Next platform before you can join the TikTok Creators Fund.
How does TikTok Creator Fund Payout work?
Tiktok is clear that there is a creator fund No A revenue-sharing program. In his words, performance is “dynamic” and based on “a variety of factors” that are always changing.
This ambiguity and lack of specificity have been criticized by the creators. To be fair, the fund is still in its early stages.
TikTok says that the following factors affect how much a producer is paid for a given video:
- number of scenes
- authenticity of ideas
- content engagement rate
Simply put, creators act as independent contractors who are paid monthly by TikTok for the ideas they accrue.
Technically there is no earning limit for creators. Funds are calculated within 30 days of the prior monthly reporting period. From there TikTok will compensate the creators for the views and engagement during that period. There is a minimum payment limit of $10 (formerly $50) that is transferred from your account to your digital wallet.
How much does TikTok Creators Fund pay?
The biggest criticism of TikTok Creator Fund is how much (or little, rather) the creators are compensated.
For example, this analysis sheds light on how a viral video garnered over 21 million views totaling $340.33. It’s a fraction of a cent per view.
This is staggering compared to how much some influencers charge per post ($1,000+) on the Creator Marketplace. This is also for fairly low engagement.
To be fair, the comparison of branded content versus purely viral content is apples and oranges. The payoff is still very low compared to the likes of competing video platforms like YouTube.
This low-paying phenomenon isn’t just reserved for small creators.
here is mine, i’m 2 lazy to count the views on my tik toks but it’s likely to have more than a billion views pic.twitter.com/D8cSrBdXsZ
— MrBeast (@MrBeast) 21 January 2022
Recent articles from TechCrunch and Engadget further highlight the competence of creators with the platform.
This criticism is understandable given that TikTok initially marketed the Creator Fund as a career path. In his own words, the fund provides an opportunity for creators to “turn their passion into a livelihood”. TikTok has since softened its language.
In fact, the platform has been pretty quiet about the Creator Fund lately. The last official update on the fund’s status was in March 2021. Similarly, TikTok’s @CreatorPortal hasn’t posted about the fund since 2021. They have since focused on creator marketplaces and more traditional brand-creator partnerships.
Is the fund being reformed? Is TikTok making a pivot? We’ll have to wait and see.
Advantages and Disadvantages of Tiktok Creator Fund
Regarding whether you should join the fund, the short answer is “it depends.” Let’s look at the pros and cons to help you decide.
professionals
- you get paid! Even if the compensation isn’t stellar, earning money for content you’d otherwise be making is a nice bonus.
- Creators Fund does not affect your content or engagement. TikTok is clear that joining the Fund does not inherently extend or restrict your access. Compare this to #gifted or #ad posts that show less engagement. In other words, you don’t need to change your content.
- Funds don’t lock you into a contract Or you need to close the partnership elsewhere. If nothing else, it’s just another revenue stream.
Shortcoming
- The payouts are not great. Again, creators can earn so much more through marketplaces or independent brand partnerships.
- Income is inconsistent. Is any creator really earning a living through the fund alone? Maybe not. Still, the vague nature of TikTok’s compensation formula doesn’t tell creators how much they should plan to earn.
- Creator Fund doesn’t give you more tiktok followers Or otherwise boost your visibility.
Does TikTok Creators Fund matter to you?
If you are a TikToker who is looking to test the waters of getting paid for content creation, the stakes are very low.
Tiktok wants to support the creators financially and the fund is still not fully ready. As time goes by, we will see if the platform can do more to woo the creators and compensate for their hard work.
Want to know more about the state of TikTok marketing and what’s happening on the platform? Check out our post on the latest TikTok trends if you haven’t already.
The TikTok Creators Fund Post: How It Works and What to Expect first appeared on Sprout Social.
