In recent years, the impact of generative AI on the content industry has become increasingly measurable, demonstrating significant shifts in how content is created, consumed, and monetizedInitially, the integration of AI seemed focused on enhancing productivity tools for creatorsHowever, we are now entering a second phase where the efficiency of content monetization is steadily rising, leading to a redefinition of content value itself.

Take Baidu as a prime exampleThe platform has been unlocking new pathways for content commercialization as it reshapes the content ecosystemInstances abound, such as the reported 130% year-on-year growth in orders driven by influencers selling productsMoreover, the number of creators sharing profits from commercial orders has surged past 120,000, with select influencers seeing their quarterly incomes double through these deals.

The correlation is clear: marketing effectiveness prompts clients to increase their investment, which in turn translates into income for creators

With stable earnings, creators are incentivized to produce high-quality content, leading to improved marketing outputs and a more vibrant ecosystemBy examining the transformative actions Baidu is taking in content monetization for 2024, we can better understand how this virtuous cycle is initiated and the opportunities that lie ahead for creators.

The Potential for Content Monetization

At the heart of a thriving content ecosystem is the need for creators to achieve consistent revenue, which requires higher efficiency in monetizing contentTwo primary factors influence content monetization efficiency: the platform's ecological thickness and the diversity of monetization channels available.

Specifically referring to Baidu, the platform boasts an impressive environment, with 11 million creators engaging with over 700 million monthly active users on the Baidu App, coupled with a rapid growth in user engagement time

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In the broader context of the content industry, after a decade of rapid development in mobile internet, the user base of top content platforms has begun to plateauBaidu is among a couple of exceptions experiencing upward trends—alongside Xiaohongshu—showcasing a 6% rise in monthly active users of the Baidu App this September, thanks to AI advancements that are transforming the platforms' approach.

This indicates there is still room for growth in the consumption of content, stimulating further opportunities for creators.

Furthermore, Baidu has a unique position when it comes to consumer spending powerMrLu, head of Yixing Group, a knowledge payment organization, points out, “Clients often overlook that Baidu caters primarily to high-net-worth users.” A notable figure to emphasize this is that the average order value for sales driven through Baidu's search channels exceeds 300 yuan this year.

The groundwork is laid; however, the ultimate yield will depend on how effectively these resources are utilized

Similar to how certain regions may be more suited for specific crops—Gannan hills, for instance, are excellent for sweet navel oranges while Gaoling Mountain in Daliangshan is prime for yellow-skinned potatoes—the match between resources and market needs remains crucial.

Recent reports from Baidu indicate that over the last year, the company has significantly focused on commercial order sharing, influencer marketing, and corporate content monetizationThese initiatives have not only generated substantial revenue but have also unearthed a wider range of possibilities.

For example, regarding commercial orders, Baidu has seen the number of clients increase by 215% over three years, while revenues have quintupled, and the number of creators benefiting from the commercial order revenue model increased sixfoldTo stimulate the production of quality content through commercial orders, Baidu has curated over 7,000 top-notch influencers to facilitate recommendations for brands

Quarterly commercial order revenues from this elite group have also doubled, reflecting a successful stratagem.

In the influencer marketing segment, more than 30,000 authors on Baijiahao engage in sales daily, with some, like "Tech Avi," soaring beyond a million in sales volume despite a fan base below that markThis impressive performance rivals even popular short-video platforms like Douyin and Kuaishou.

Recognizing the diverse scale of influencers comes with tailored support frameworks by BaiduIn the full analysis of data, it's projected that Baida's influencers could reach a transaction scale exceeding 1 billion yuan in 2024, illustrating a year-on-year growth of 40%, with order volumes surging by 130%. The rise in order volumes signifies a broader user acceptance of influencers’ sales.

Interestingly, Baidu’s influencer marketing contrasts with other e-commerce dimensions in two notable ways: the high conversion efficiency based on search algorithms and the evolution of AI technologies moving from cost reduction to enhancing production efficiency.

Being a tech-driven company, Baidu has long embraced a tool-centric view in supporting mid-tier content influencers or broadening its content field

For creators proficient in content creation but uncertain about product selection, the platform offers an “Intelligent Product Selection” tool designed to present various product lines across brands and price pointsThis tool boasts an impressive 80% effectiveness in driving salesFurthermore, options like "Intelligent Creation" enable AI-generated scripts for those adept at sales but lacking content skillsA complete management option is available for those struggling with both aspects, having already benefited over 20,000 influencers this year.

Three Ways AI Empowers Influencer Marketing

The real challenge for content creators lies in how to seize emerging monetization opportunities as the platform's infrastructure advancesThe advent of AI-enabled, diversified monetization channels is presenting tangible financial benefits to those innovative creatorsBaidu’s data indicates a 30% rise in the number of authors with multiple income streams and a 13.2% growth in those earning over 10,000 yuan monthly.

The new additions to this creator pool inevitably possess a knack for identifying new pathways to monetization.

How Content Marketing Production is Being Reshaped

The other side of platform content commercialization connects to client marketing demands

As we see an enriched content supply, Baidu constantly innovates to reshape content marketing efficiency, amplifying growth for both clients and creators alike.

In a lucrative domain known as "High Business"—characterized by high content consumption needed by users, high revenue-generating potential from creators, and high-value clients—productivity gains are particularly strikingUsers categorized as “High Business” show much higher consumption hours than the average, which is crucial since the amount of user engagement is typically the prerequisite for driving commercial value in any platform.

In the Baidu content ecosystem, markets like health, education, and automotive industries possess significant potential for this dynamicEnterprises and creators within these fields share a common motivation: to create a closed-loop commercial process through lead generation and conversion

To address this, Baidu provides a comprehensive solution path—from account building to content production and distribution, culminating in client acquisition and growth—fully supported by AI capabilities including perpetual "digital avatar" broadcasts and the Baijiahao AI agent, which nurtures fan engagement and lead conversions.

Unlike previous generations of digital avatars, which often had a "fake" feel to them, the latest iterations empowered by generative AI present a much more lifelike interactionWhen users enter a live session, the digital avatar presents itself as nearly indistinguishable from a real human host, even managing real-time Q&A interactions with audience questions appearing in the chat.

In a live streaming session for the automotive brand FAW-Volkswagen, a young digital avatar easily maneuvers between different scenes to showcase the vehicle’s features

This includes demonstrating functionalities by seating within the vehicle or performing live demonstrations in dynamic settings, offering an immersive experience for usersUsers experiencing the demonstration can immediately get assistance with queries such as scheduling test drives, with sales representatives following up swiftly.

A notable aspect is that many audience members remain oblivious to the fact that the host is a digital avatar.

The critical question remains: do “High Business” clients and creators genuinely need digital avatars? Industry experts assert the highest efficiency in content forms like live streaming—particularly in "deep planting" of products—stating that compared to human hosts, digital adaptations deliver a more cost-effective and productive solution.

For instance, while a human-hosted live stream lasting around three to four hours could incur labor costs of thousands of yuan, this isn’t feasible for busy IPs in the health or education sectors

Leveraging digital avatars allows instant setup of interactive live environments with almost negligible operational costs.

The Yixing Group mentioned earlier exemplifies this methodology, with MrLu clarifying they require absolutely none of the educational IPs to produce any filming material; it is entirely digital-driven“A human educator might manage ten or twenty high-quality video clips in an afternoon; however, we can generate up to 500 pieces of content in a similar timeframe, which underscores the efficiency gained through volume output.”

Lu advises creators to delve into understanding how to leverage various platforms to boost conversions and discover business opportunities.

Baidu insiders indicate that the Baijiahao AI Agent has just entered its profitable phase barely a quarter after launchIndustry analysts predict that AI constructs like these will become the mainstream iteration of AI applications, potentially culminating in explosive growth by 2025. Distinctively, the Baijiahao AI Agent utilizes a creator's content as a model for interaction, operating as their digital proxy for engaging with followers.

From the perspective of fan engagement and lead conversion, the efficiency of AI agents is notably elevated and contributes to bridging the gap between public and private interactions.

The incorporation of AI not only provides creators a tool for diversified growth in leads and revenue but also introduces new strategies in content marketing

For instance, Baidu launched the "AI Challenge," engaging consumers by providing dynamic AI templates, which invites broad participation in user-generated content while subtly weaving brand narratives through top influencers, ultimately serving as a catalyst for widespread marketing resonance.

As for the popular trend of short drama marketing, Baidu continues to invest resources heavilySupporting the production costs that can dip as low as 20,000 yuan per episode, coupled with a repository of 120,000 short drama influencers and an impressive daily distribution figure exceeding 300 million, Baidu is also creating benchmark cases in custom and integrated short dramas.

For instance, earlier this year, capitalizing on the growing trend of traveling for the New Year, Baidu collaborated with Trip.com to craft a compelling short drama titled "A Journey of Love: Hand in Hand with You," which resonated emotionally with audiences, resulting in over 41.68 million views and 2.2 million interactions

When paired with TCL Air Conditioning, another short drama "End of the Melody" amassed over 10 million views.

The collaboration between Baidu and Trip.com on their short drama generated considerable buzz.

Compared with traditional advertising costs that have risen steeply, the content embedded within short dramas presents advantages not only in lower costs but also in freshness and exposure metrics.

From a client’s perspective, the affordability combined with the concentrated reach of potential customers in itself marks an elevation in the productivity of content marketing.

A New Content Ecosystem

In recent months, the term “new content ecosystem” has frequently circulated within Baidu's internal discussions.

This notion of “new” reflects ongoing efforts to reshape the ecosystem by relying on distinct advantages—leveraging AI technology to refine creation and marketing efficiencies, attracting user engagement, and fostering prolonged periods of interaction, thereby offering companies value-added growth thanks to user loyalty

Additionally, there is an exploration of novel content formats like short dramas that aligns with the changing tides of consumer behavior.

The influence of AI on the content ecosystem has the potential to be profound or minimalThe earlier AI surge primarily focused on breakthroughs in computer vision and led to various entertainment trends such as facial recognition and face-swapping technologies primarily offering surface-level enhancements.

Currently, the essence of generative AI based on large models positions Baidu on its home turfThe challenge lies in fully utilizing this advantage to uplift the competitive positioning of the entire content ecosystem, starting from the core of productivity reformationIncremental change or superficial enhancements at this stage hold little significance.

For Baidu, this presents both a challenge and an opportunityThe undertaking of "reshaping" lacks a predefined blueprint; it's a journey of exploration into how AI can enhance creativity and improve commercial efficiencies at every stage