After seeing growth in viewership in the US last year, TikTok is looking to boost growth with new initiatives including paywall videos and a revamped creator fund, according to a new report from The Information.
According to the report, the company is working on a paywall video feature that would allow creators to charge users $1, or any amount of their choosing, to access a video. While it’s unclear exactly how this would work, the feature would be a way for the app’s creators to monetize their popular videos directly. The idea of exclusive content for paying users is not a new concept, as Instagram allows creators to share subscriber-only content.
If this feature is released, TikTok can better reward the creators who are the driving force of the app, as their viral videos have been vital to the app’s growth and popularity.
TikTok is also said to be testing a revamped creator fund that aims to give creators higher payouts than the earlier version launched in 2020. The original fund, which includes a $1 billion cash pool over three years, rewards creators for popular videos. However, the fund has been criticized by makers who have complained about low payouts. Given the criticism of the current version, a renewed maker fund would be a welcome addition to the platform.
The company is also considering using the revamped fund to reward creators who post longer videos and take advantage of the app’s expanded video duration from three minutes to ten minutes. Additionally, TikTok is considering increasing the eligibility requirement for the fund to 100,000 followers, up from the 10,000 follower requirement for the current fund.
TikTok is reportedly testing the revamped fund in France and Brazil. The revamped creator fund could launch in the US next month, the report said.
When reached for comment, TikTok didn’t directly comment on the claims about the revamped creator fund or paywall video feature, but noted that the company is exploring new ways to create a rewarding experience for creators on its platform.
“We are committed to exploring new ways to create a valuable and rewarding experience for the community of TikTok creators,” a TikTok spokesperson told AapkaDost in an email. “On TikTok, anyone can be a creator and everyone can enjoy entertainment from our inspiring creators, and we strive to keep innovating this experience so people can express themselves, find their community, and be rewarded for their creativity.”
The features would expand TikTok’s current payout offerings for creators as its top competitors expand their offerings. This month, YouTube started sharing ad revenue with Shorts creators. No short video platform has yet figured out how to share ad revenue, giving Shorts a remarkable competitive edge. However, TikTok’s reported upcoming changes indicate that it is looking for new ways to satisfy creators.