Estimated to be currently worth over $100 billion, the creator economy is literally thriving. Even if the industry has only existed for a decade, there are currently more than 50 million people all over the world that consider themselves to be creators – amateurs and professional alike.
There are many ways in which content creators earn their money, such as sponsorships, product placements, advertising, and affiliate marketing. However, many influencers also engage directly with their followers to solicit sales and donations both in the form of subscriptions and one-off purchases (providing products as well as premium or bespoke content, for instance).
In most cases and depending on the type of interactions they have with their fanbases, creators evangelise their brand on several channels and, unavoidably, must share their earnings with those platforms.
Or at least that was the case until now.
How can open banking help the creator economy?
Thanks to open banking, creators can easily set up their own payment solutions connecting followers to their checkouts. Or rather, bringing their checkouts exactly where their followers are.
With this system, fans would be able to pay for content or products or send micropayments as donations directly into the creators’ bank accounts without going through specific platforms’ payment journeys or different account registrations. On the other hand, creators would be able to keep more of the revenue they generate (card fees and micropayments do not go well together) and better control the experiences they provide to their supporters.
Open banking headless checkouts can take different shapes, such as text links, pay buttons, or QR codes and they can be placed right where followers are engaged (i.e. an Instagram bio, a YouTube video description, a blog, a site, or a promotional email) effectively providing creators with flexible, independent, cheaper and omnichannel checkouts.