Shake® : The Creator Marketplace® - Opens for Business

Rhea-AI Summary

IZEA Worldwide has launched its new marketplace, Shake, allowing registered users to transact digital services with social media influencers and content creators. The Shake platform aims to facilitate gig work for digital creators, with an average listing price of $1,642 and a competitive transaction fee of 15%. This initiative expands IZEA's reach beyond enterprise customers, promising significant growth potential in the influencer marketing sector, predicted to reach $15 billion by 2022. The launch signals a strategic shift aimed at enhancing creator opportunities and market diversity.

Positive

• Launch of Shake marketplace expands transaction capabilities for influencers, creators, and buyers.
• Competitive transaction fee of 15%, lower than competitors like Fiverr at 27%.
• Average listing price of $1,642 suggests potential for high-value transactions.
• Shake enhances visibility for diverse creators, allocating 40% of marketing spend to non-white and LGBTQ influencers.

Negative

• Marketplace reliant on attracting a significant volume of users to ensure sustainability.
• Potential competition from established platforms in the influencer marketing space.

Orlando, Florida, Nov. 12, 2020 (GLOBE NEWSWIRE) -- IZEA Worldwide, Inc. (NASDAQ: IZEA), the premier provider of influencer marketing technology, data, and services for the world’s leading brands, today announced that transactions have been enabled for all registered Shake users. Buyers are now able to purchase digital services from sellers who are social media influencers, photographers, writers, musicians, and more. Creators are able to list available “Shakes” on their accounts in the platform and transact with interested buyers.

“We are thrilled to open the Shake marketplace for all buyers and sellers,” commented IZEA Founder, Chairman, and CEO Ted Murphy. “The launch of this platform underscores our commitment to developing technology that generates more opportunities for creators to collaborate with buyers and earn a living developing digital content. Shake will dramatically expand our buyer universe beyond the enterprise customers we serve today, opening the door for brands and agencies of all types and sizes to become part of the IZEA ecosystem. This is day one for Shake and the beginning of a much broader transformation for our company that will continue to unfold over the coming years.”

The Shake platform is aimed at digital creatives seeking freelance “gig” work. According to the Bureau of Labor Statistics, there are 1.6 million “gig economy” workers in the United States alone. Business Insider Intelligence data from December 2019 predicts that the influencer marketing industry as a whole is projected to reach $15 billion by 2022.

Key Information About Shake:

Creators First™ Pricing
IZEA’s standard transaction fee is 15% of the sale price, while competitor Fiverr has a combined take rate of 27% between buyer and seller fees. A minimal floor of $50 per listing vs. $5 on competing platforms is designed to ensure fair compensation for creators. The current average listing price is $1,642.

Curated Listings and Categories
Shake is focused on high quality digital services that are commonly offered by advertising agencies, media companies, and talent agencies. Listings are reviewed and curated in an effort to provide buyers with the best possible experience.

Individual and Commercial Content Licenses
Digital services can be offered as either personal or full commercial licenses, allowing creators to sell personalized video messages or even video conferences directly to their fan base.

Public Marketplace
In comparison to IZEA’s current platform which offers large enterprise customers access to IZEA’s private network of influencers and content creators, Shake is public. There is no subscription needed to see the creators who are interested in working directly with buyers.

Universal Accounts and Finances
IZEAx and Shake share a common user authentication service and financial backend, among other IZEAx technologies. Enterprise IZEAx customers can make purchases through Shake with their existing accounts and funds. Creators will also be able to use their funds earned in either IZEAx or Shake to hire other creators in the platform.

IZEA kicked off its broadest marketing effort ever today, starting with a social media influencer campaign powered by IZEA’s influencer marketing platform, IZEAx Unity Suite. Shake will also be promoted through a variety of paid media channels including Facebook, Instagram, TikTok, search, and display. Ads will feature select Shake listings and directly promote opportunities to collaborate with Shake creators.

Influencer Marketing Diversity Mandate
In tandem with the launch of the Shake campaign, IZEA has mandated that no less than 40% of the influencer sponsorships and paid promotions of Shakes are allocated to further promote diversity efforts by allocating marketing spend to non-white creators and those who are members of the LGBTQ community.

To become a buyer or seller in Shake visit shake.izea.com

About IZEA Worldwide, Inc.
IZEA Worldwide, Inc. (“IZEA”) is a marketing technology company providing software and professional services that enable brands to collaborate and transact with the full spectrum of today’s top social influencers and content creators. The company serves as a champion for the growing Creator Economy, enabling individuals to monetize their content, creativity, and influence. IZEA launched the industry’s first-ever influencer marketing platform in 2006 and has since facilitated nearly 4 million transactions between online buyers and sellers. Leading brands and agencies partner with IZEA to increase digital engagement, diversify brand voice, scale content production, and drive measurable return on investment.

Safe Harbor Statement
This press release contains forward-looking statements within the meaning of Section 27A of the Securities Act of 1933, as amended, and Section 21E of the Securities Exchange Act of 1934, as amended. Forward-looking statements, which are based on certain assumptions and describe our future plans, strategies and expectations, can generally be identified by the use of forward-looking  terms such as “anticipates,” “believes,” “estimates,” “expects,” “intends,” “may,” “plans,” “projects,” “will,” “would” or other comparable terms. Examples of forward-looking statements include, among others, statements we make regarding expectations of sales activity, revenue and margins based on bookings, plans to increase the size of our sales team, the financial impact of investments in our software business, and continuation of new IZEAx customers and their effect on future sales.

Forward-looking statements involve inherent risks and uncertainties, which could cause actual results to differ materially from those in the forward-looking statements, as a result of various factors, including, among others, the following: competitive conditions in the content and social sponsorship segment in which IZEA operates; failure to popularize one or more of the marketplace platforms of IZEA; changing economic conditions that are less favorable than expected; and other risks and uncertainties described in IZEA’s periodic reports filed with the Securities and Exchange Commission.  IZEA assumes no obligation to update any such forward-looking statements to reflect actual results or changes in expectations, except as otherwise required by law.

FAQ

What is the purpose of the Shake platform launched by IZEA?

Shake allows users to buy and sell digital services offered by social media influencers and content creators.

What are the fees associated with transactions on Shake?

Shake charges a standard transaction fee of 15%, which is lower than competitors like Fiverr.

What is the average listing price on Shake?

The current average listing price on Shake is $1,642.

How does Shake support diversity in influencer marketing?

IZEA mandates that at least 40% of influencer sponsorships promote diversity by focusing on non-white and LGBTQ creators.

What is the projected size of the influencer marketing industry?

The influencer marketing industry is projected to reach $15 billion by 2022.