‘Content industry is slowly but firmly becoming a gig industry', says GroupM's Karthik Nagarajan

GroupM India unveiled its TYNY 2022 report that predicted the Global and Indian ad spends and major trends for the advertising and marketing industry this year. Speaking about the growth of content marketing over the past two years, Karthik Nagarajan, Head of Branded Content, Group M India, said that the content industry will continue to stay strong in the times to come. 

He said more and more people are as convinced with a digital creator in communication as they are with mega-celebrities. 

“The content industry is slowly but firmly becoming a gig industry and budding professionals are more comfortable working in spurts remotely. The lockdown was great proof that the loyalty of gen-next is as strong, if not stronger, with individual creators than with superstars and mega athletes. This is especially true in Tier II and III towns. Today a regional content creator is likely to attract a higher attendance when he/she goes live than most Bollywood stars for a movie promotion. This trend will be here to stay and will become a mainstream way for brands to engage. Custom content is growing with each passing year, and it will be an interesting time for everyone,” he said. 

According to an earlier report by GroupM, the Indian influencer marketing industry was estimated to reach a value of Rs 900 crore by the end of 2021. The same report stated that 100% of marketing leaders say influencer marketing was a high or top priority for their marketing calendars. 

According to the TYNY 2022 report, the rapid digital adoption in tier-two and three towns is enabling the rise of regional content and influencers today. The growth of social commerce, short-video platforms is also driving the influencer marketing scope in the country.  

Creators will also increasingly be able to monetise their content without relying on algorithms of apps. “Creators will be able to monetise their content directly through platforms like Substack and podcast subscriptions – something that platforms like Spotify are piloting successfully globally. What this will do is to decrease the dependence of the creator on algorithmic advertising models and help them with sustenance even before they hit scale. This subscription-based model is a big change from the YouTuber era of advertising-based revenue models for creators. In the coming days, both these models will grow simultaneously and with synergies,” said Nagarajan. 

The report also stated that there is a rise in the gig economy slated to grow at 17% for the next three years. The advent of 5G technology will further lead to a shift in the business models, specialist team structures, measurement-based entirely on outcomes and a revamp of remuneration and recognition models. 

“Content creation as a vocation will move towards Decentralised Autonomous Organisations (DAOs). Even if their craft involves the physical world (production, shoots, etc) the next generation of content professionals are likely to find the work culture of DAOs more appealing. Today DAOs are able to hire, collaborate with creators and also pay them entirely within the metaverse,” he said.