Facebook and Instagram parent company Meta has had a torrid time of late. Recent news revealed that the tech company is planning a fresh round of layoffs, which come amid a year of poor financial results.
However, Meta’s platforms are still enormously popular, and it would appear that the company is taking steps to make Facebook and Instagram more attractive for creators by revamping its current content monetization structure.
Short-form video is the hottest type of content online, but, as many platforms have come to realise, it’s also one of the most difficult to effectively monetize.
Long-form videos can be filled with ad breaks, making for a relatively easy revenue stream. Short-form content, on the other hand, is less suitable for use with ads, which has left platforms scratching their heads as to how to properly monetize these videos.
The Reels feature is Meta’s answer to TikTok, allowing for short-form video content creation on both Facebook and Instagram.
Previously, Reels creators were paid through the Reels Play bonus program, which distributed monthly payments to contributors based on how many views their content generated.
However, this kind of creator fund program isn’t ideal, especially for a growing creator base. As more creators join the program, the overall share is reduced, meaning creators are paid less money despite being part of a booming sector.
This has long proved to be an obstacle for social media platforms, with both Google and TikTok recently moving away from their own creator fund programs in favour of revenue share systems and paywall content.
It would seem Meta is also set on moving to a revenue share system, designed to give Reels creators extra incentives and attract more users to the platform.
Head of Facebook Tom Alison said: “Over the years we’ve built one of the most robust monetization offerings of any creator app, so that creators can earn money in ways that make the most sense for them.
“This year, we’re focused on adapting and enhancing these tools for short-form video. We’ll continue expanding our ads on Facebook Reels tests to help more creators earn ad revenue for their Reels and grow virtual gifting via Stars on Reels.”
Meta confirmed that its Reels Play bonus program will be paused in the US while this new system is developed. Creators currently signed up to the program will still receive bonuses for the next 30 days.