The benefit of smaller deals

Why a volume-based small deal strategy can be great for Creators

Together with Kiswe

TACTICS

It seems obvious, but needs to be said: the bigger a deal, the longer it takes.

A $100 TikTok video partnership could be done over text, and closed + posted + paid via Venmo on the same day - no paperwork needed.

Meanwhile, a $100,000 multi-video Youtube partnership likely took 3-6 months of discussion to sell, and another 3-6 months of negotiation and paperwork to close.

  • On the company side, the marketer needed the support of their boss, approvals from finance and the executive team, and negotiation support from legal - all of which required doing research, producing decks, making presentations, and quite a few late nights.

  • On the Creator, for a deal that big, the Creator should at least have an attorney to negotiate the legal aspects of the paperwork. Many also have managers and/or agents to handle pitching, follow up, and business term negotiations.

It takes a lot of work on both sides, but it takes a lot more work on the company side, because

  1. Companies often have bureaucratic processes, and

  2. Companies are the ones taking a risk by spending money.

Thus companies need to do more to evaluate and mitigate risk.

That usually means that Creators end up spending a lot of time during a partnership process just...waiting….

And waiting…

And waiting.

So far, I’ve done a bunch of $3000-$5000 LinkedIn post partnerships; they all took less than a week, and involved minimal to no paperwork.

I’ve done two (2) year-long $60,000 partnerships, and they both took more than six (6) months from initial conversation to signature.

62% of Creators prefer fewer bigger, longer-term deals - and don’t get me wrong, I do too. The point I’m making though, is that everything has tradeoffs.

I did a lot more unpaid work to get the big-money paid work than I did to get the small-money paid work.

No matter how nice 1-2 big deals might look, a volume-based small deal strategy is a super valid one as well.

TOGETHER WITH KISWE

How Smosh Built A Direct-To-Consumer Comedy Empire

Smosh have been one of the biggest YouTube channels since the beginning of the platform, back when I represented the top Creators. 

2000+ videos, 27 million subscribers, and 11 billion views later - what’s the newest evolution of their digital media empire?

Connecting directly with fans through ticketed livestreamed events.

By partnering with streaming technology and services company Kiswe, Smosh fans now have access to:

Everyone talks about “owning your audience”. After two decades on YouTube, Smosh now does that through Kiswe, with full control over both their fan relationships and revenue so they can cultivate an engaged community AND maintain a sustainable business model. 

REWIND

Past guest Zahra Hussain wants to do fewer, bigger deals.

Meanwhile, MaiStoryBook takes a lower-priced, volume-based approach.

RESOURCES

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Plus, we share exclusive deals from my network, like affordable, corporate-quality health insurance through essentL Creator.

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Written by Avi Gandhi, edited by Melody Song,
powered by TheFutureParty

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