Snapchat has modified the best way it pays creators by means of its Highlight reward fund. Creators that use Snapchat’s TikTok clone, Highlight, will now be paid tens of millions per 12 months, a supply acquainted with the matter advised TechCrunch. Enterprise Insider was the primary to report the change.
This marks the second time Snapchat has lowered the payout. In 2021, the corporate rewarded creators tens of millions per week, down from $1 million a day in 2020.
Whereas Snapchat is decreasing the quantity, the supply famous to TechCrunch that it’s paying extra creators in additional markets. It’s additionally vital to notice that the minimal payout per Concentration is going to stay at $250. Final 12 months, Snapchat paid $250 million to over 12,000 creators.
Additionally they pointed to different methods Snapchat creators earn a revenue, together with the Creator Market, Sound Creator Fund, its accelerator program for black creators, Highlight Challenges and in-app gifting. In February, the app examined income sharing on advertisements in Snapchat tales for Snap Stars.
Snapchat just lately introduced it’s awarding a complete of $100,000 throughout 12 Highlight Challenges for Halloween.
The transfer to decrease fund spending for Highlight was possible made as one other strategy to enhance revenue and spend much less of its income. Earlier this 12 months, CEO Evan Spiegel introduced that Snapchat was testing advertisements on the Highlight. In August, Snapchat downsized its workforce by 20%.
Final week, Snapchat reported its Q3 outcomes, lacking analyst expectations on income. The corporate nonetheless did comparatively properly, incomes $1.13 billion, a rise of 6% for the quarter. Nevertheless, Snapchat’s web loss rose to $360 million.
On a extra optimistic notice, the corporate mentioned Highlight carried out properly this quarter and helped enhance the general complete time spent watching content material.
