Creator News

TikTok Is Reportedly Paying Creators Thousands for Making UGC

by Kelsey McLellan · Updated May 24, 2023

For those who’ve been looking for ways to make money on TikTok, you probably know that the platform likes to keep a tight lid on the details of its creator monetization programs. (We’re looking at you, Creativity Program Beta and Creator Fund!) That’s why it’s always newsworthy when someone leaks even just a small piece of information. This, however, isn’t just a tidbit: TikTok has been running a secret UGC (user-generated content) program that pays creators tens of thousands of dollars every month, according to social media marketing consultant Lia Haberman.

This is big news for TikTok creators looking to earn some serious cash. So, you probably want to know what this new program’s all about, who’s eligible, and — most importantly — how much does it pay? Keep reading to learn more.

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The ‘Creative Challenge’ is TikTok’s secret UGC program that’s paying creators thousands of dollars every month to create ads for brands 👀 🤑 💸 Let us know what your think of this program in the comments! #tiktokupdates #tiktokcreator #tiktokcreatorchallenge #creatornews #creatoreconomy #greenscreen

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What is the TikTok Creative Challenge?

Looks like the cat’s out of the bag: TikTok’s latest creator monetization program is the Creative Challenge, an exclusive UGC program that pays creators to create ads for brands.

The news dropped last week in the latest edition of Haberman’s newsletter, ICYMI. The influencer marketing expert revealed details about the Creative Challenge, divulged by an anonymous TikTok creator currently enrolled in the program.

Let’s get into how the TikTok Creative Challenge works. Creators in the program are presented with a selection of brand briefs hosted in a private section of TikTok. They can review and respond to these briefs (aka “challenges”), and then post UGC videos that meet the briefs’ guidelines directly in the app’s Creative Challenge section, rather than to their own channels. Allegedly, creators can create up to 30 UGC ads per week.

According to Haberman’s source, creators in the program are making content for massive brands like Uber Eats, Zynga, Alibaba, and even TikTok itself.

The Creative Challenge is currently still in beta testing, and very little is known about the program. Besides Haberman’s scoop, the only information available online is an advertiser terms of service, which outlines the rules of participating in the program.

Who’s eligible for the TikTok Creative Challenge?

Right now, the Creative Challenge is available through invite-only. And it seems incredibly exclusive: Haberman’s source revealed that the current beta program has just around 400 participants.

Want to know more about the program’s eligibility? We suggest keeping an ear to the ground for an official announcement about the Creative Challenge from TikTok.

How much does the TikTok Creative Challenge Pay?

Haberman’s source revealed that creators are making up to $34,000 per month from the Creative Challenge, adding, “creators are buying houses with the amount of money they’re making from UGC.” We love to hear it!

Here’s just how much — and how exactly — creators get paid through the Creative Challenge. Payment from the program is based on the ad spend for up to six months. The program also provides creators with bonuses for reaching certain milestones in performance.

According to Haberman’s source, earnings have ranged from $22,000 to $34,000 per month, with bonuses ranging from $200 to $6,000. 

It’s important to note that the Creative Challenge doesn’t guarantee payment upfront, according to its advertiser terms of service, which describes payment terms as “determined according to a revenue share/earnings schedule on each creative challenge.”

Want to join the TikTok Creative Challenge?

Overall, the Creative Challenge looks like it could be incredibly lucrative for TikTok creators, especially when compared to the low payouts of the Creator Fund.

The Creative Challenge also gives creators the opportunity to monetize their content creation skills (rather than their audience) by creating content that will be used in brand’s advertising and social media marketing endeavors. That means content created via the Creative Challenge doesn’t live on creators’ TikTok accounts — and doesn’t even have to feature the creator’s face. For some, this is a super appealing alternative.

Want to get in on the action? We suggest keeping an eye out for official updates on the program from TikTok. This is one program you won’t want to miss out on.

Looking for other ways to earn cash as a TikTok creator? Download our free guide on How To Make Money on TikTok for more ideas.

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kelsey mclellan
About the author

Kelsey McLellan

Kelsey McLellan is a writer and editor based in Toronto.
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