Credit: Christian Roßwag via Unsplash
Demand by brands for more social media exposure, and the authenticity that comes with on-platform creators, has pushed aside polished commercially produced content in favour of rougher around the edges user generated forms.
According to WPP Media’s mid-year outlook, more than half of content-driven advertising revenue in 2025 will come from platforms such as TikTok, YouTube, Kuaishou and Instagram Reels.
WPP Media expects creator-generated revenue will hit $184.9 billion this year, up 20% from 2024, and is expected to more than double to $376.6 billion by 2030.
Awaken CEO Chris Parker said creator content is authentic.
“It connects, it resonates and it’s trusted more than traditional advertising,” he told AdNews.
“Platforms have trained audiences to value relevance, relatability and speed over cinematic perfection. That said, there’s still a place for the ‘brand moment’, especially in verticals like auto, finance and healthcare.
“Consumers want to feel part of the story, and comments, duets, and reactions turn passive viewing into a participatory experience.”
Parker said the trend is accelerating in Australia and the brands brave enough to build always-on creator strategies are already reaping the rewards.
“The demand for native content on TikTok, Instagram, and YouTube Shorts comes through in nearly every brief. Even the biggest brands are asking how to scale lo-fi, high-impact creative,” he said.
“With the rise of AI and tools like Google Veo, we’re seeing many brands shift away from polished, expensive productions toward what we call ‘purposefully scuffed’ creative – content that’s a little rougher around the edges but delivers stronger engagement, higher clicks, and often better sales results than a brand video, measured like for like on Meta.”
Distribution of content across social platforms and aggregators continues to attract more advertising dollars, according to IAB Australia CEO Gai Le Roy.
“Increasingly, these platforms feature not just user-generated material but also professional content and creators running large-scale media enterprises,” she said.
“As with much of the advertising ecosystem, the lines are blurrier than ever and will continue to blur further with the rise of high-quality, democratised production tools such as generative AI.
“That said, the value of the brand behind the content – whether it's a traditional media outlet or a trusted, established creator – will remain a key consideration for advertisers when choosing their environments and partners.”
Rachel Fyfe, account director at The Pistol, said audiences want to be inspired – not sold to.
“They want to see how products fit into real life: on real bodies, in real moments, with real people,” she told AdNews.
“UGC has been a key driver of this movement, but what we’re seeing now is a natural evolution into employee-generated content (EGC) offering a window into the brand. Whether it’s warehouse staff packing orders or founders sharing collection drops, it increases transparency and strengthens brand connection far more than a polished traditional campaign ever could.
“The focus has moved from ‘aspirational’ to ‘authentic’ and Australian consumers are responding positively.”
Fyfe said community-driven content is here to stay.
“Diversity in size, gender and cultural identity is no longer a nice-to-have, it’s a baseline expectation,” she said.
“EGC, micro-influencer strategies and UGC-powered creative will remain critical to content strategies moving forward, not just because they perform well, but because they reflect how people actually engage with brands today.”
AiMCO managing director Patrick Whitnall said Gen Z and Gen Alpha are growing up on mobile devices and genuinely understand the platforms, how stories are created, the trends and the algorithms that drive success.
“In the US, YouTube is the most-watched streaming service, even surpassing traditional TV viewing. And, half of the UK advertising spend went to Google and Meta last year,” he said.
“This indicates that more user-generated content will need to be created across Instagram, Facebook and YouTube to keep up with the demand of audiences and advertisers.
“The content being uploaded to these platforms today has not just increased in quantity, but also in its quality, not just through tools and software that shorten the time it takes to create content, but it’s also becoming more accessible.
“In Australia, we’ve seen the growth of hugely successful businesses like Glitch Productions, Spawnpoint Media and the Macfarlane Bros, who have proven that high-end productions and storytelling capture audiences and stand shoulder to shoulder with ‘professional production’.”
Lexlab general manager Maija Gwynn said client demand for creator-generated advertising is growing.
“This is something we anticipate will continue to grow, however, as this becomes a mainstream ad strategy, it will be harder for advertisers to cut through the clutter,” she said.
“It’s also not always a suitable option for all advertisers, and we find creator-generated ads work best when the basics are right – the target audience and outcome are clearly defined, the creators align with the audience and messaging and the brand allows the creator to create a piece of content that is going to resonate with their followers.
“Combined with the right amplification strategy, we find this ad type nearly always outperforms the more traditional style of ad content.”
Tailoring campaigns for UGC and influencer content is ‘the new normal’, according to BCM Group managing director Phil McDonald.
“There is no doubt that traditional commercial production has been on the decline for the last few years in Australia and I think this will continue,” he said.
“This has been largely due to the huge gains that have been made in achieving higher production values through better access to VFX tech and skill sets.
“The make-up of our creative team has changed dramatically. We now have social creatives, earned media and influencer specialists, VFX people, videographers and of course, senior conceptualisers, designers and writers, so by design there is less traditional brand campaign production as part of the campaigns we are producing for our clients.”
Media Words founder Elise Hedley Dale said most brands are still struggling to harness the full potential of creator-led content
“They brief it like traditional advertising – here’s your script, hit these product points, make sure the logo is visible for three seconds,” she told AdNews.
“Smart brands give creators the strategy and let them figure out the execution in their own voice.”
Dale said too much media investment is being funnelled into global digital platforms without proper scrutiny and the industry’s obsession with ROI has “warped the definition of value”.
“You need to pay for experience if you want real value, otherwise, you end up paying in the long run by losing opportunities, impact, and ultimately, market share,” she said.
“Local media gets overlooked, yet it offers real cut-through and community relevance that platforms just can’t replicate… creator campaigns don’t have to live only in feeds.
“The industry has become too reliant on AI and automation, often in the hands of people who haven’t been taught how to actually plan media. But it's a two-way street – local media also needs to face reality. Too many are still operating with 2015 playbooks.”
Dale said brands need to stop over-directing and penny-pinching on experience.
“You get what you pay for. The biggest missed opportunity I see is agencies treating smaller budgets as an excuse to chuck everything on a platform and let a junior manage it,” she said.
“That’s where campaigns die – not because the tech is bad, but because there’s no strategic thinking behind it.”
Yango head of strategy Eb Yusuf said the most significant trend she’s seeing is the diversification of marketing spend.
“This is driven by fundamental changes in consumer behaviour: how people discover, engage with, and share content is radically different, especially among younger demographics,” she said.
“Therefore, advertisers must adapt their creative and media strategies to each unique platform to truly resonate and drive impact.”
Yusuf said this ongoing redirection of investment is driven by the rise of Gen Z consumers and diminishing trust in traditional media.
“As Gen Z comes of age, their content consumption habits are dramatically different from previous generations… they are 25% less likely to use traditional search engines, preferring social search, and they trust authentic voices over traditional advertising,” she said.
“Audiences are increasingly sceptical of overt brand messaging and are instead seeking out relatable, genuine content from sources they perceive as credible. This often means turning to individuals rather than institutions.
“As a direct result, we'll continue to see significant investment diverted into less traditional channels, particularly within the burgeoning creator economy.
“Brands will adapt to a new reality where authenticity and platform-native engagement are paramount. This means actively exploring, experimenting, and ultimately investing in the diverse and dynamic landscape of the creator economy and beyond.”
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