Meta Expands Tests to Compensate Creators on Facebook, Instagram Reels

After terminating the monetization program for its creators, Meta is now expanding tests on making a new way to pay Instagram and Facebook Reels creators based on how many people view their content on the platforms. This a new effort from Meta to lure users from its rival TikTok.

Testing New Monetization Program

Meta Platforms released a statement that it is currently testing the new payout model with its Reels as a move away from basing earnings solely on ads served to viewers. According to a report from Bloomberg, this new way is an effort from Meta to encourage users and advertisers to spend time and money on its own platforms, rather than to its existing competitors like Tiktok.

Creators can now focus on creating engaging content while the Meta optimizes the ad experience. A Meta spokesperson stated, "Creators can focus on the content that's resonating with their audiences and helping them grow; advertisers get access to more ad inventory to reach more people; and people get a more consistent viewing experience with more relevant ads."

While this will also help Instagram Reels creators, the new ad testing program is mostly focused on Facebook Reels creators. Meta will only tap a small group of creators and advertisers in select markets on Instagram in order for them to begin testing a similar performance-based payout model.

Reels Bonus Program

This newly expanded test is very similar to Meta's previous official model for paying creators called the Reels Play Bonus Program. Launched in 2021, this was a way for Meta to reward its creators on Facebook and Instagram for views on their content.

This ended up having mixed results from its creators as it created confusion on how to qualify and the structure of dictating their payments. The fairly maximum payment costs $35,000 per month. Creators criticized the program that it could lead to hacking the algorithm and going viral by posting filtered videos with hitting the monthly maximum payout of $35,000.

Six creators were interviewed by Fortune who all participated in the bonus program. Their checks ranged from $0 to $6,000 per month which expressed their confusion and gratitude for the payments from Meta. One creator stated that he knew that the program would not last forever but was surprised that he takes an almost $ 100,000-a-year pay cut.

"The Meta reps just keep saying to use the tools given (stars, subscriptions, etc.) which are basically just begging followers for money, making Meta money in the process," Full-time video creator Azure MacCannell added.

The monetization program was launched in December 2021 to offer monthly payouts for creators who hit certain view counts and other metrics. But as of March, Meta halted it for the creators in the United States to focus on investing in a suite of monetization solutions to help creators earn more steady streams of income.