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Meta Pauses Reels Bonus Program as it Develops a New Ad Revenue Share System



Meta Pauses Reels Bonus Program as it Develops a New Ad Revenue Share System

Meta’s re-thinking its short-form content monetization strategy, with the company announcing that it’s pausing its Reels Play bonus program in the US, in order to focus on a revenue share system instead.

As reported by Business Insider:

“Meta will be pausing its US Reels Play bonus, a program that paid creators a monthly sum for accumulating views on their Reels. The pause will impact US-based creators on both Instagram and Facebook. Any ongoing Reels bonuses that a creator has signed up for will be honored for the next 30 days.” 

The move comes as little surprise, given the challenges that all platforms have had in implementing effective short-form monetization programs.

Short-form content is invariably harder to monetize because of the lack of in-stream ads, which means that ad performance can’t be directly attributed to a creator and/or their content. That’s left most platforms reliant on creator fund programs, but the problem with that system is that the fund amount generally remains stagnant, as more creators sign on, which dilutes each participant’s overall share.

The end result, then, is that creators get paid less money, despite seeing better performance, which is the opposite of how monetization programs should work. The variability in payouts then also makes it impossible for creators to know what they’ll be making from their efforts, month-to-month.

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That’s why YouTube has moved to a new revenue share model for Shorts, which, thus far, has produced mixed results. TikTok is also developing new revenue share plans, along with subscription offerings, like ‘Series’, which enables creators to paywall longer form content.

Meta’s also working on ad revenue share for Reels.

Earlier this week, Facebook chief Tom Alison provided a general overview of its efforts in this area:

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.

Virtual gifting and creator subscriptions are handy, supplementary monetization offerings, but Meta knows that it will need to, at the least, match YouTube’s revenue programs if it wants to keep the top talent posting to its apps.

YouTube’s main advantage in this respect is its hugely successful Partner Program, which pays out billions to creators every year, based on ad placement within their longer video clips. And while its Shorts monetization system is not up to the same level as yet, YouTubers can still user Shorts as a means to lead audiences back to their main YouTube channel, which, in combination, currently provides the best monetization potential for creators, overall.

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As Alison notes, Instagram and Facebook also provide good revenue potential, but they still have work to do in implementing an equivalent system, with Reels monetization still a long way off being a viable, valuable pathway for such.

Which is the challenge before it. Creator funds are good as a starting point, but the systems need to evolve, and now, Meta’s putting the pressure on its own teams to come up with a better system to replace that process.

It’ll be interesting to see what the company comes up with, as it seeks to develop its alternative.

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Snapchat Reaches 15 Million Monthly Active Users in Germany



Snapchat Provides Posting Tips on How to Maximize Your Platform Presence

Snapchat has reported another growth milestone, with the app now reaching 15 million monthly active users in Germany.

The ephemeral messaging app, which reached 750 million total monthly actives in February, continues to steadily expand its global footprint, with EU users now making up around 25% of its total audience. The majority of Snapchatters now actually come from India, which reached 200 million monthly actives last month, while North America makes up around 190 million of its global audience.

Snapchat has been working to build its European audience, with the company also reporting 21 million monthly active users in the UK two weeks back. It’s not expanding in the region as fast as it is in India, which is rapidly rising with the rate of mobile adoption, but Snapchat is still growing, despite being a relatively smaller player in the global social media market.

At one stage, it seemed that Snap would be killed off entirely, after Instagram stole its mojo by copying Stories back in 2016. That led to a significant drop-off in Snap usage, but since then, the app has continued to double-down on its niche of being a more private connective app for friends, which has helped it maintain and maximize its growth momentum.

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And now it’s firming its footing in Europe, while Snap has also shared some trend notes on German app usage.

  • Although we are loved by Generation Z, almost 40% of Snapchatters in Germany are 25 years or older
  • In Germany, Snapchatters open the app an average of 30 times per day – to chat with friends and family, watch highlights of their favorite shows, or share moments from their lives
  • 75% use our augmented reality lenses daily to express themselves creatively, have fun, and even try on and buy clothes.

Most of these are fairly universal Snap trend notes, though it is interesting to note the aging user group, as Snap continues to investigate more ways to maintain relevance as its audience ages up.

That’s a key challenge, because while Snap is a valuable connector for teens, it hasn’t, historically, held the same appeal for older users, who end up focusing more of their time in other apps instead.

If Snap can capitalize on this element, that could be a valuable growth path, as it continues to expand its global network.

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California law would make tech giants pay for news



A bill making its way through the California state legislature would mandate that internet giants pay news agencies monthly 'journalism usage fees' based on viewing of stories via their platforms

A bill making its way through the California state legislature would mandate that internet giants pay news agencies monthly ‘journalism usage fees’ based on viewing of stories via their platforms – Copyright AFP SEBASTIEN BOZON


A proposed law requiring internet giants to pay for news stories moved forward in California on Friday, despite Facebook owner Meta threatening to pull news from its platform if it passes.

The California Journalism Preservation Act (CJPA), which cleared the state assembly on Thursday and was in the hands of the state senate, would mandate that large online platforms pay a monthly “journalism usage fee” to news providers whose work appears on their services.

The bill is designed to support local news organizations, which have been decimated in recent years as ad revenue bled away to Google and Facebook, both advertising behemoths.

Meta spokesman Andy Stone on Friday told AFP that if the bill becomes law, Meta “will be forced to remove news from Facebook and Instagram rather than pay into a slush fund that primarily benefits big, out-of-state media companies.”

The bill has to make its way through the state senate and be signed by Governor Gavin Newsom to become law.

The CJPA is like other legislative texts pending across the globe.

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In Australia, Facebook in 2021 briefly blocked news articles over a similar law and Google threatened to pull its search engine from the country before they made deals to pay several media groups.

In the European Union, tech giants can be asked to pay a copyright fee to publishers for links posted in search results or feeds.

“The CJPA is riddled with holes, the biggest of which is that the bill primarily funds national media outlets that spread misinformation,” said Chamber of Progress chief executive Adam Kovacevich.

“It’s sad the Assembly is passing the buck to the Senate rather than fixing the bill’s problems.”

The chamber is a trade group with a list of partners that includes Amazon, Apple, Google, and Meta.

A study posted by the chamber concluded that “disinformation outlets” including Fox News would benefit most from the California law.

The bill defines online platforms as those having at least 50 million monthly active users in the United States; a billion monthly users worldwide, or be valued at more than $550 billion based on its stock price.

– Money for reporters? –

Fees paid would be based on the number of views and news providers would be required to spend it on journalism and support staff, according to the text of the bill.

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Stone noted that the wording of the bill means revenue from the law would not have to be spent on reporters covering news.

The California state assembly website indicated the bill was sent to a senate committee responsible for scheduling debates and votes on legislation, with no indication of when it would go to a vote.

“Meta’s threat to take down news is undemocratic and unbecoming,” trade group News Media Alliance said in a posted statement.

“We have seen this in their playbook before.”

Canadian Prime Minister Justin Trudeau last month slammed Meta after executives said it would block news for Canadian Facebook and Instagram users in response to the proposed law there.

The Canada law builds on Australia’s New Media Bargaining Code, which was a world first, aimed at making Google and Meta pay for news content on their platforms. 

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France has approved a law that targets influencers. What does it mean for social media stars?



France has approved a law that targets influencers. What does it mean for social media stars?

The wording of the new law was approved by French lawmakers across the political spectrum and could mean jail time or stiff fines.

The French Parliament adopted a bipartisan bill on Thursday to regulate social media influencers’ activities in a bid to curb the promotion of dangerous products and trends.

After lawmakers in the National Assembly voted in favour of it on Wednesday, 342 senators from across the political spectrum voted to pass the bill introduced by socialist MP Arthur Delaporte and Stéphane Vojetta, an MP from President Emmanuel Macron’s Renaissance.

“We can be proud of this unprecedented agreement,” said rapporteur Amel Gacquerre, the senator tasked with presenting the bill in the upper chamber.

Speaking after the vote, Olivia Grégoire, Junior Minister for Commerce, hailed the “commitment of the parliamentarians” and “the quality of this work”.

There are an estimated 150,000 influencers in France, but the actions of some of them have put influencer marketing in line with increasing criticism.


Plaintiffs have launched collective actions and a scathing report has been published by the French Fraud Prevention Directorate (DGCCRF).

More surprisingly, the French rapper Booba has been on a digital crusade against those whom he nicknamed “influ-thieves” – “influvoleurs” in French – amplifying the issue through his campaigning on social media.

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From the promotion of dangerous products to accusations of fraud, there have been growing calls for the market to be regulated.

Since Wednesday, influencers Illan Castronovo and Simon Castaldi have been ordered to display a message from the DGCCRF on social media warning against some of their content.

Many influencers have a modest audience, but some celebrities with millions of followers can influence consumption behaviors, especially among young people.

“Influencers will continue to operate. The ‘influ-thieves’ will always exist but will know that the law is there to punish them”, Delaporte said.

The text “will protect consumers, especially the younger ones,” added Vojetta.

What does the law change for influencers?

The text proposes to legally define influencers as “individuals or legal entities who, for a fee, mobilise their notoriety with their audience” to promote goods and services online.

It prohibits the promotion of certain practices – such as cosmetic surgery and therapeutic abstention – and prohibits or heavily regulates the promotion of several medical devices.

It also bans the promotion of products containing nicotine.

It tackles sports betting and gambling: influencers will no longer be able to promote subscriptions to sports forecasts, and the promotion of money games will be limited to platforms that technically restrict access to minors.

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The penalties for non-compliance can go up to two years in prison and a fine of €300,000.

The law also bans staged scenes with animals whose ownership is prohibited.

Promotional images – of cosmetics, for example – must disclose whether they have been retouched or use a filter making them more attractive.

Several senators have emphasised the need to strengthen the resources of regulatory authorities in the future, including those of the DGCCRF and the Financial Markets Authority.

“There are many sheriffs and they must have the means to work properly,” Gacquerre said. This comes after the economy minister, Bruno Le Maire, warned last month that the sector “could not be the Wild West”.

Who else does it affect?

Influencers’ agents will also be regulated. A written contract will be mandatory when the amounts involved exceed a certain threshold. The text also includes measures to hold platforms accountable.

While many successful influencers operate from abroad, such as in Dubai, the text aims to require those operating from outside the European Union, Switzerland, or the European Economic Area to take out civil liability insurance within the EU.

The stated goal is to create a fund to compensate potential victims. They will also have to designate a legal representative in the EU.

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In late March, the Union of Influence Professions and Content Creators (Umicc), which recently began representing agencies in the sector, praised “commendable and essential proposals”.

However, they warned lawmakers about the risk of “discriminating or over-regulating” certain actors.

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