The Creator’s Dilemma: Why Relying on Social Media for Monetization is a Losing Game

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In the ever-evolving landscape of social media, creators are often caught in a whirlwind of changes that can significantly impact their ability to monetize their content. Platforms like Meta (Instagram/Facebook) and X (formerly Twitter) continuously tweak their monetization systems, ostensibly to keep creators engaged. However, a closer look reveals that these adjustments often serve the platforms’ interests more than those of the creators themselves.

The Illusion of Monetization

While not every creator is on social media to make money, those who are often find themselves playing a losing game. Algorithms dictate the visibility of content, and whether you’re earning from ad revenue or simply trying to reach a wider audience, the platform ultimately controls your fate.

I’ve experienced this firsthand. Over the past year, I garnered an impressive 35.9 million impressions on X. You might assume that such reach would translate into significant earnings, but the reality was starkly different: my total payout was a mere $115.24. That’s hardly enough for a decent pair of sneakers.

The truth is, if you’re relying solely on platforms like Meta or X to build your livelihood, disappointment is inevitable. These platforms excel at providing visibility but are not designed to make creators wealthy. It’s time to shift focus from chasing likes, shares, and viral moments to taking control of your content and revenue streams.

Platforms Are for Awareness, Not Revenue

Let’s clarify one thing: social media platforms are excellent tools for building awareness. They can help you reach new audiences, grow your following, and gain visibility. However, when it comes to monetizing that reach, the situation changes dramatically. The issue isn’t that creators aren’t producing quality content; it’s that the platforms themselves control how many people see that content and how much creators earn from it.

Creators must recognize that these platforms are ad-driven businesses first and foremost. They profit from advertisements, not from paying creators. Recent changes on Meta and X reflect this reality, as both platforms have made adjustments to their monetization systems that keep creators engaged but do little to shift the balance in favor of the creators.

The Reality of Revenue Share on Social Platforms

Understanding how monetization works on these platforms is crucial:

• Meta (Instagram/Facebook): They’ve introduced In-Stream Ads and Ads on Reels, allowing creators to earn from their content. However, unless you have a massive following, those earnings will be minimal. The illusion of helping creators is just that—an illusion. The lion’s share of revenue goes to Meta.

• X (formerly Twitter): X has recently shifted to paying creators based on engagement from Premium users only. This means that if your audience isn’t subscribed to X Premium, their engagement doesn’t count toward your earnings. Essentially, the platform is asking you to promote their premium service to make money.

The common theme? These platforms dictate your reach and earnings. Even with millions of impressions, you might still see shockingly low payouts. This is the harsh reality of relying on algorithms and ad-based revenue.

What Content Ownership Really Means

When I advocate for "taking ownership of your content," I’m referring to moving away from platforms you don’t control. You need to be in charge of where your content resides, how it’s monetized, and who gets access to it.

True ownership looks like this:

• Your content resides on a platform you control.
• You decide how it’s monetized.
• You set the terms for who gets access and keep 100% of the revenue.

Social media platforms are useful for visibility, but if they change their algorithms or policies, your reach and income can vanish overnight. Creators who rely solely on these platforms are always at risk of having their hard-earned audience controlled by someone else’s rules.

I’ve seen creators with massive followings wake up one day to find their reach slashed due to an algorithm update. That’s the trap: you’re constantly at the mercy of decisions made by the platform, not by you.

Creators Are Sleeping on Email

The surprising reality is that many creators are still overlooking email as a powerful tool for audience engagement. Even some of the biggest names in content creation place all their faith in social media platforms. However, email is one of the most effective ways to reach your audience directly. Unlike social media, you own your email list, and algorithms can’t touch it.

Take Morning Brew as an example. They built their media empire by delivering free content through email, cutting through the social media noise. Today, they monetize that audience through ads and sponsorships, keeping the majority of the revenue for themselves.

Email marketing gives you control and consistency. You don’t have to worry about reach being throttled because you own the relationship with your audience.

Why Every Creator Needs a Paid Newsletter or Course

If you’re serious about monetizing your audience, it’s time to move beyond relying solely on social platforms. Instead, focus on creating content you can own, like a paid newsletter or an online course.

Here’s why these models work:

• Paid Newsletters: A paid newsletter allows you to deliver exclusive, high-value content directly to your subscribers. This creates recurring revenue and puts you in control of what you’re delivering and how much you’re charging. Morning Brew is a prime example of how this model can be scaled.

• Online Courses: If you have a skill or expertise, package it up and sell it as a course. Online courses are a scalable product that continues to generate revenue long after you’ve created it. You can build a course once and keep profiting from it indefinitely.

How You Can Leverage Social Platforms for Awareness

Just because I’m saying not to rely on social platforms for revenue doesn’t mean you shouldn’t use them. Social platforms are still among the best ways to build awareness and capture attention at the top of the funnel. Here’s how you can leverage them to support your monetization strategy:

• Create Awareness: Post engaging content that hooks people in. Your goal is to drive visibility, not immediate monetization.

• Drive Traffic to Owned Channels: Once you’ve captured attention, move your audience to your email list, website, or paid newsletter—platforms you control.

• Monetize on Your Terms: With your audience on a platform you own, you can monetize however you see fit, keeping all the revenue and growing your business sustainably.

Conclusion: Take Control of Your Future

The creator economy is evolving, and the future belongs to those who take control of their content and revenue streams. Social media platforms like Meta and X are great for building awareness, but you shouldn’t depend on them for monetization.

Instead, take control by moving your audience to platforms like email newsletters or online courses, where you own the content, the reach, and the revenue. You’ll be free from the constant algorithm changes and in control of how much you earn.

Ready to take control of your future? Start building your audience and stop relying on social platforms to determine your success. The future of your business depends on it.