Social Media Monetization Is a Dead End for 99% of Creators

there is a massive scam that social media companies have been running on content creators for a while now and it's holding so many content creators back from actually reaching the financial stability and income and freedom that they actually can achieve if they understood that what they're participating in is a fullblown scam in this video I'm not only going to be pulling the cover back on how they're holding you back but I'm also going to show you how to break free and start earning the income that you deserve from your content so that you can actually get paid every time you post at the

beginning of this year Facebook began to roll out performance-based payouts not just for ads on reals but also for instream ads or long form video now remember instream ads had a revenue split that was 45% 55% and this was an arrangement that every Creator on Facebook was happy with it's the same thing that YouTube has right now but with the performance-based payout model content creators are now being paid for their views and only for their views this is a very serious problem and here's why this is a post from the vice

president of product feed and video/ reals at meta stop the video and screenshot this post if you want to but I wanted you to pay attention to what he says at the very end of the post Facebook's new video player is designed to give a more immersive engaging experience across all of Facebook and it's not just reals now it's also long form video that's going to be displayed in this new vertical format as well as live videos so what does this have to do with the performance-based payout model well very simple you still have the real fee and regular video feed but after a person enters into either of those feeds the new Facebook algorithm takes over and shows a person the most relevant video based on that person's personal interest so whenever you open the Facebook reals feed there's a good chance that you will also be served long form video and vice versa

when you open the Facebook video feed there's a great chance that you're going to see more reals because they are placing more emphasis on sharing reals on Facebook which means less placement for long form video and with lesser placements you can also predict that there's also going to be lesser payouts and this is what they're speaking of right here in the post when they talk about MIT format chaining so this is great news for anyone in the ads on reals program but if you're in the instream ads program this is not so great news is it because they've clearly said that reals are going to be getting the majority of the placements and also your high effort content is going to be showing up with low effort content and I'm not certain that long form video is not going to start earning the same thing as short form video and if that's the case that would completely decentivize people from making long form videos and so whether you're in the performance bonus ads on reals or instream ads those three monetization programs it's all based on your performance and engagement and that's created a lot of

problems with Facebook that I don't have time to discuss in this video but let's just say that a lot of the things people are posting they're posting purely for engagement just to earn an extra dollar but I don't think a lot of content creators are doing that and that's more or less the content curators and if the payout model is going to be performance-based then they should rename the programs from ads on reals and instream ads because they're no longer based on an ad Revenue share like they used to be and they should give them a name that's more appropriate a Creator posted this image several weeks ago showing that their views went up 26% but their pay rate went down 99. 9% and this is not just an isolated event this is something that's happening with a lot of large creators where it seems as though for some reason or another they're getting hit with vague policy issues or the system has detected suspicious activity so their payouts are on hold and they're no longer monetizing their content but Facebook becoming more like Tik Tok that has really pissed me off I know many of you might be like Aussie man why do you care about Facebook but it's been big for me I got 12 million followers there it's been absolutely huge for my career and as a video platform they were really good for like 3 four five years and like videos that were three plus minutes did really good and they made money I'm now experiencing about an 80 to 90% Revenue drop on Facebook and a reach reduction that is just brutal because all they want is under 60c Facebook reals isy man has over 6 million YouTube subscribers and over 12 million Facebook followers and his pay has decreased by 80 to 90% And even his reach has tanked out because Facebook wants more Real views and I didn't have to share that with you a lot of you guys who are in the comments have massive audiences on Instagram Facebook and YouTube and you know that I'm telling the truth and I

want to share one more thing that he says towards the end of his video as to why YouTube and Facebook and Tik Tok are all doing this uh Tik Tok gave YouTube and Facebook the bright idea to not really pay creators cuz they've always done a 5545 Revenue share on Advertising Revenue favoring the Creator with the 55% um Facebook did do that for four or five years but now CPM all of that stuff has been removed from my dashboard and Tik Tok was like no no we're going to serve ads the first thing you'll see is a sponsored video when it pops up we it's going to take 100% of that Revenue we're not going to share it we're going to come up with these convoluted monetization things these creative funds and creativity programs instead of just sharing ad Revenue so it's given YouTube and Facebook this bright idea where they're like hey what if we can cut down on paying creators so much there are so

many people who want to be content creators nowadays that it's created this abundant supply for platforms and it's actually de incentivized them to actually pay creators because if we have all of this free content why are we paying so much money when we could be paying so much less because if they don't create it then they will create it and so now they're becoming very selective with who they invite to get paid because they know they have so many people who are creating free content and using the platforms to not only build audiences but also in hopes that they get monetized one day listen to what Adam oeri said about monetization on Instagram but if I knew there was a clear path towards like hey this is why it was $12 based off the viewership you got here's what you can do to increase it right I may feel better about the trick though is it's not just about your viewership it's about the replacement value so let's say you made 10 reals through the program and they all got really good views but if you hadn't made it we would have had just as much engagement from him that wasn't paid for so if we paid you a thousand bucks making up numbers now for 10 re and the replacement value was Zero you would look at it your re and be like they all got 500,000 views and these are the cpms you owe me X and it's like yes but from a business perspective if we hadn't paid you $1,000 we would have made the exact same amount of Revenue then we've actually just burned $1,000 let's say I pay you $1,000 and we only made an incremental $900 I've lost $900 and you've got a $100 check and you probably are going to think that I'm being cheap because I'm only paying you a hundred bucks for 10 videos that got half a million views each so It's Tricky I'm just saying that the program has to be sustainable because if it's not if we're burning cash when things get tight when the economy goes up and down and AD dollars go a lot of our business is just exposed to macroeconomics at this point then when we cut marketing budgets like one of the things that we're going to cut is a program that is literally burning money so it's not just about the views that your video gets it's compared to the organic views that other videos get that are not money monetized and like I explained in another video no Creator wants to be in a position where they only get paid well when someone else performs poorly and if you are you have to admit that's not a sustainable income model that's going to make anyone happy but it is what it is and it's what we have to work with and as most people hear these things about Facebook and Instagram their first thought is well I'm going to go to another platform and I'm sorry to tell you but if you go to Tik Tok you're going to find that it's a completely different platform with a complet completely different set of problems especially when it comes to violations and getting your entire account taken down and having to start over from zra and that aside from the fact that in a couple of months Tik Tok could be completely gone from the US we don't know how that's going to play out in the courts yet especially with some of the rulings that we've been seeing lately nothing is safe right now but let's say you want to come over to YouTube I'll tell you right now from experience my ad revenue on YouTube has been cut in half since about 6 months ago and they're pushing shorts so aggressively right now but one thing I want to be abundantly clear to anybody watching this video is that social media monetization is great it's great to get paid for posting content but it's not what it used to be and it never will be again it's only going to get worse just like the rent goes up every year and never goes down the floor for social media monetization is only going to get lower and it's not going to rise back up

and so that leaves every creator with a very important question no matter what platform you create for but let's just talk about Facebook for now do you abandon your Facebook audience or do you stay with them and the way you answer that question actually has nothing to do with meta as a platform they are a publicly traded for-profit business and so when I see them lowering payouts to make more money I mean what do we expect I'm not surprised I don't even blame them but what you have to ask yourself is are you a missionary or a mercenary are you creating content for your audience to enjoy because you love your audience or are you creating content simply because you get paid for it now if you're a mercenary then chances are you're probably going to ditch your Facebook audience and just focus on another platform and completely forget all about the people who came to know you on Facebook who engag with you on Facebook and who look forward to your content but if you're a missionary if you're someone who creates content because you enjoy giving value to the people who enjoy receiving it then you're going to stick around for them you may Branch out and start posting on other platforms more nothing wrong with that but you're not going to forsake that audience and actually if you really care about that audience that you've built on Facebook then you'll go a step further because even though Facebook may not be the best place for social media monetization it's still one of the number one platforms for building an audience of engaged followers and not just any engage followers who are willing to spend money with you to invest in your digital products services or experiences and I know that I just lost a majority of you because the majority of you only want to create content and be done with it you don't want to do anything else you just want to post and you want to depend on the platform to pay you what your content's worth and that's okay if that's what you want to do but you have to understand that if that's the route you're choosing the floor is going to continually drop but if you want to go a different route then I want to talk with you very briefly about the benefits of offering a small number of people in your community something more and I don't want to talk about how to create digital products I have videos for those I'll link at the end but I want to talk about the benefit of it the benefits of digital products is that you can create something that solves a very particular problem for someone in your audience and the larger your audience is the more people there are going to be that have that particular problem and the more people there are going to be who don't mind paying you to solve a problem if you're hungry on any day of the week there are dozens if not hundreds of fast food restaurants who are willing to solve that problem for a small feet if you're sick there are hundreds of clinics and doctors who are willing to help you solve that problem for a small fee if your check engine light is coming on there are hundreds of mechanics who are willing to solve that problem for a small fee and what we do as content creators online is no different there are problems that you can solve through the internet and with digital products that you can charge a small fee for and earn a sustainable income that you can live from without feeling like a grifter knowing that you're actually impacting and changing people's lives because truth of the matter most of the people who watch your content they don't even like to see the ads on your content even though the ads support you they just want to watch your content for free they just want what's in it for them they want all of the benefit with none of the investment and most of us are completely fine with that because we do it knowing that only one out of a 100 people are actually interested in what we have to offer that can solve the particular problem that they have of all the people who watched my videos and subscribe to my channel only so many have ever booked a call for me to help them with their monetization problems and we've been great at doing that and I appreciate them but I also put out free content that helps thousands of people solve monetization issues on a regular basis but even

bigger than all of that the number one problem that most of you have with what I'm saying right now is the fact that you don't know how to create a digital product that's actually valuable that people will purchase from you and that you can stand by with pride and dignity and say yes this is mine and yes I'm offering it to you well in the next two videos I'm going to show you how to create two digital products that you can sell either for a couple of bucks or several hundred bucks depending on which route you want to go and after you've watched those two videos and you're interested in learning how to put all of this into practice so that you can actually start monetizing it I'm going to put a link to my free master class in the description so that you can go watch it and get started immediately making your own stream of income and you can get away from the scam of trusting in social media platforms to ever pay you what you're worth because they aren't listen I hope that you got value out of this video and I hope that somehow I was able to help you see the reality of the situation that we're all in and finally make a decision to break away from these platforms and place your own success over theirs if you got value out of the video make sure you hit the like button subscribe to the channel share this video with a friend and as always take care have a great day and I'll see you in the next video