Goldman Sachs have a new report with fairly predictable outcomes. They see the “Influencer economy” growing following a linear trajectory to achieve a base of $500 billion by 2027.

As I read this I see a prediction that says what we see today will provide more of the same. What is missing is the next TikTok shifting the paradigm of the TikTok Influencer model. This is the more relevant as we see the usual suspects piling on with TikTok like add-ons to their platforms (YouTube, FaceBook, Instagram etc)

The Financial Times have a great analysis (Gen-X bankers warn Gen-Z content creators: don’t give up the day job) on the predictability and weaknesses of this report. That analysis takes demographic groups into account. I will post on that separately.

Goldman Sachs report conclusions

The growth is predicated on new tools and ease of use for the creator class. In other words the entire prediction is based on linear growth of TikTok.

Individual people with their own brands and online audiences have emerged as one of the biggest developments of the digital age. The ecosystem is expanding for a number of reasons, including the increase in digital media consumption and the advent of technology that has lowered barriers to content creation, Eric Sheridan, senior equity research analyst covering the U.S. Internet sector, writes in the team’s report.

New platforms such as TikTok have emerged, while legacy platforms like Facebook and YouTube have also introduced new formats for sharing short-form video, live streaming channels and other forms of user-generated content.

The Goldman report somewhat confusingly quote themselves with this wrap up

According to Goldman Sachs Research the analysts also cite six key enablers for creating a “flywheel effect” in which small gains build on each other over time and create further growth momentum:

Tags #influencers #digital-economy #GenZ #GenY