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  3. From A Reddit Post To Multimillion Dollar Platform One Genai Startups Journey In The Creator Economy
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Interview

From a Reddit Post to Multimillion-Dollar Platform: One GenAI Startup's Journey in the Creator Economy

S
StartupHub Team
Jul 26, 2024 at 10:17 AM6 min read
From a Reddit Post to Multimillion-Dollar Platform: One GenAI Startup's Journey in the Creator Economy

It's only the dawn of the creator economy, and an Israeli startup is using Generative AI to enable OnlyFans creators to build a stronger connection with their fans.

Supercreator’s impetus began in 2022, with training imbued from the IDF’s elite unit 8200 and enterprise cybersecurity/SaaS knowledge to bring CRM-like structure to the creators’ rigamarole process of creating content and engaging with fans.

But their success began with a tactical Reddit post that led to rapid growth and quickly surpassing $1 million ARR.

"Our first iteration was built after two and half weeks,” co-founder and CTO of Supercreator told StartupHub.ai in an exclusive interview. “We basically did all nighters for two weeks in a row, we came up with the product, it was shitty, and it delivered the main things that contribute the most value. We then went to creator communities about OnlyFans on Reddit and Discord, uploaded a screenshot of the tool and asked people, anonymously, “What tool is this?” while showing the name of the tool there. We immediately got a huge wave of traffic."

That move paid off, but monetization was still unclear, which led them to employ another lean-startup tactic that served as early confirmation of product-market fit.

“We added an option to pay with a credit card for the price of $700 per month”, a price he chose that wasn’t undercharging, but enough to feel a market need. After ten hours or so, they received their first subscription, a harbinger of their successful gamble.

Supercreator's Generative AI copilot for OnlyFans' creators. Credit: Supercreator.

Supercreator explained they hadn’t made another sale for at least two months, but felt enough validation to work on the product and deliver a value proposition to the pocket. As their revenue began to grow in a step-function like fashion, the startup now counts over 25,000 creator clients. The product has evolved since its debut into a Generative AI copilot, similar to Intercom and Manychats, but dedicated to automatically engaging with the creators’ fans on a personal level. The real crux of their innovation is that their technology understands which fans are high value, deserve more Creator-fan engagement, and are likely to convert into higher paying fans.

“Creators can only really engage with the top fans today, while other potentially high value fans are left behind,” they explained. Addressing this imbalance, Supercreator “democratizes the communication and relationship to all of [creators’] fans.”

The bootstrapped startup’s technology stack analyzes all of a creator’s audience members, specifically those who aren’t paying. They achieve this by leveraging a combination of Large Language Models (LLMs) along with their own trained, fine-tuned models. “But the latest foundation models are more tangential to our technology architecture,” which is three-pronged. Their proprietary architecture allows them to instantly assess their copilot’s performance, generate sales for content creators, and maintain personalized conversations between creators and fans – especially in the same persona and brand of the creator. “Many tools available leverage the latest tech but maintaining the authenticity of the persona of a creator is of the highest challenge. We get it done.”

The creator economy, previously tainted as a space relegated for the indolent, has quickly evolved into a business-first sector. Supercreator explained some of thier clients are earning over $1 million per month, topping the combined cash and equity salary compensation of Fortune 50 CEOs.

Speaking of blurring lines between businesses and creators, the world’s top creator, Mr.Beast, recently added VC veteran and business magnate, Jeffrey Housenbold (former Softbank Managing Partner and startup executive) to his management team. What once was a livelihood for truant, unaccountable potential employees is now clearly a lucrative career path. But several key factors combine to the success of a top percentile earnings creator as the advent of Generative AI has leveled the playing for virtually every creator.

Differentiating is an element to success and the term niche rings true now, more than ever. “With Generative AI tools today, the internet is flooded with content, and the pace will only increase,” shared Supercreator. “The creators that are successful, at least on our platform, are those that understand the riches are in the niches. Almost like a hobbyist or a personality. If I’m making a YouTube vlog about myself, that’s as niche as it could get, and I think this is what people are interested in paying for, and you can really see it on OnlyFans. People admire you as a creator and are looking for extremely personalized content.”

Supercreator sees the industry's further success attributed to micro-influencers, a segmentation into more niches, and personalized content. Goldman Sachs along with Harvard Business Review share the same opinion. Only 4% of the global creators economy are considered ‘professional’ by the metric Goldman Sachs, meaning they earn more than $100K. For Supercreator, that accounts for only a minority of their clientele, while the rest earn less. HBR’s latest research found that those non-professionals are indeed the majority of content creators today, earning less for now, but generating more engagement. And there are profound benefits to consumers. The more niche the creator, the less information overload. “[Niche creators] assume the roles of curators and educators — curtailing the need for consumers to navigate a labyrinth of choices by spotlighting select products, and thereby simplifying the search process. Because of this, creators can help consumers find truly niche products and interests.”

Nonetheless, the creator economy isn’t something to blink at. Goldman Sachs expects the market size to grow from $250 billion in 2023 to $480 billion by 2027. Over 65%, however, is generated from advertising revenue, contradictory to supercreator’s clients – earning what could be considered donations/tips for, let’s say, undivided, bodily attention for what can only be characterized as soul-healing content.

Contrary to popular belief, though, Supercreator explained the majority of their highest earning clients aren’t producing the content you think they are. Most produce content without being considered adult content. As for demographics, they’re mostly Americans, between the ages of 20 and 50.

“Many creators started as hobbyists,” explained Supercreator. “They were creating things that they loved. And it caught them by surprise that they can be a business. They have the basic tools, like an Instagram account and a smartphone, and we’re educating them on the new tool of Supercreator. People are realizing that it's another tool that can help them.” While it’s still new to many creators, the startup has capitalized on the challenge and market need. “It’s only booming for us now. What’s happened to OnlyFans, we predict, will occur on social media too, turning from one-to-many, to one-to-one with the help of personalized communication copilots.”

#Copilot
#Creator Economy
#Generative AI
#OnlyFans
#Supercreator

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