WHO WE ARE

What has been most important to our Beyond Lost venture is what we call "owning the process." Instead of outsourcing aspects or elements of our business to third parties or agencies, we own and operate ourselves. We all contribute to the designs, work directly with manufacturers, ensure quality control, manage relationships with our creator ambassadors, analyze all backend analytics and finances, and work with social platforms directly on best practices and optimizations (just to name a few). While it was challenging to build this infrastructure, it has been a blessing to understand the ins and outs of building a modern-day "creator-led business.”

The two Brians work with a handful of creators who have amassed millions of fans on TikTok, such as Alyssa McKay, IAmJordi, and Hannah Montoya. They prefer to keep their roster small, focusing on a few creators they believe can succeed in areas of entertainment beyond social media. "I just don't think that you can really break people into mainstream, globally, if you're working with too many people," Nelson said.

The Network Effect helps its creators tap into in-app monetization opportunities, such as TikTok's new creativity program that pays users for longer videos. The company also works with creators on non-social media projects, including co-launching a clothing brand with McKay and supporting her work on a scripted podcast called "The Royals of Malibu."

Together, The Network Effect and Alyssa are working in close partnership on what they define as the new 'true social shopping experience.' “We have taken the authentic approach to what is working on social and layered it into the retail experience,” explains Brian Mandler, co-founder of The Network Effect and Beyond Lost. “We have been fans of streetwear for years, and we noticed that there was room for evolution and change. After discussing with Alyssa at length how we would approach it, we knew we could create the right products—with direct feedback—and at the right price points. Alyssa emphasizes the importance of this connection. “We incorporate direct audience feedback in all of our designs, as well as the fit of our pieces,” she says. “Beyond Lost includes my audience in ways that have built a true connection. Via Snap, we truly talk with our audience, versus to them.

As an example of how text messaging can bolster creators' commerce businesses, take Alyssa McKay and her own clothing brand, Beyond Lost. The creator who has made more than $1 million from Snap's mid-roll ad program has signed up "tens of thousands" of people to her text messaging list, according to Brian Mandler, co-founder of The Network Effect, the talent management firm that represents McKay.

More to the point, though, is the text messaging list's down-funnel performance. Links shared to the messaging list have an 85% average clickthrough rate, and its returning customer rate is higher than 60%, according to The Network Effect co-founder Brian Mandler. "Our approach has been true social shopping: build a community on social and drive them into the shopping experience. It's a little bit different than generally creating content and tagging products that may or may not work," said Mandler.

Brian Mandler and Brian Nelson, co-founders of the Network Effect agency, which led the Shorts experiment with clients McKay, Feeney and Montoya, say building out a sizable YouTube subscriber base is the “gold standard” for creators aiming to make a living.

“Madison Avenue, at large, really understands the value of a YouTube following and understands the value of a YouTube view,” Mandler, a former Google and YouTube executive, says. “There is only benefit to having a really large YouTube following.”

“I’m on this Snapchat mid-roll [ad] program, which I’ve been part of since last May. I’ve made over a million dollars from Snapchat mid-roll,” McKay said in the second episode of the Digiday Podcast’s four-part series on short-form vertical video creators. She added, “Snapchat changed my life entirely.”

Last week, Snap expanded that mid-roll program to more creators who can receive a share of revenue from ads running against their Snapchat Stories. TikTok and YouTube Shorts have similarly stood up ad revenue-sharing programs for short-form video creators in the past year, but neither platform has yet had much to show for how much money creators can make directly from their platforms. With 2 million followers and an average of 2.5 billion monthly views on the platform, McKay is showing that the story may be different on Snapchat.

Few know the transformative power of purpose and resilience as intimately as Alyssa McKay, who lifted herself from a life spent in foster homes to a career as the co-founder of streetwear brand Beyond Lost and lifestyle creator with millions of followers.

“It’s all been rather surreal,” Alyssa noted as we retraced the path she had taken to where she is today. “I’ve never had a backup plan for entrepreneurship. I know that what covered my rent last month might not pay out another dime next week, and the way I play it safe is pushing myself by constantly taking risks and investing in myself and my business,” Alyssa explained.

What sets The Royals of Malibu apart isn’t just its success—it’s how that success happened. Unlike Hollywood’s big-budget audio dramas, this one soared to #1 on Spotify’s US Fiction Chart with no traditional advertising. Instead, it had McKay and her team at The Network Effect’s ability to mobilize millions. It’s proof that creator-led marketing is already redefining the entertainment landscape.

“Social media has truly become the catalyst for success,” she says. “I am very proud that I have been able to cultivate a global audience & community that connects with me. [The audience] is incredibly supportive. It’s #1 in over 100 countries around the world—mind-blowing. It truly shows the power of new media.”

The company, like Patreon, helps creators make money by charging fans for access to exclusive content, such as video chats, one-on-one calls, and direct messages. Creators typically keep about 90% of the money. As of February 2024, Guo said, Passes had paid out tens of millions of dollars to about 1,000 creators.

Alyssa McKay, a lifestyle influencer with more than 10 million followers on TikTok, uses Passes to connect directly with her fans and share exclusive content, such as a tour of her new house.

“It allows me to create a unique and specialized experience with my audience,” McKay said. “I was so surprised and moved by how many people subscribed just to see the first look of me being a first-time homeowner.”

NYC’s trendsetting content creator, Gianna Christine, is embracing her single era—going on dates, dancing with her girls, and focusing on herself. This Valentine’s Day, she’s proving that being single in the city is something to celebrate!

“I always celebrate Valentine’s Day, whether I’m single or in a relationship! I’ll take any excuse to get dressed up and go out in the city. My best friend and I share our “want to try” restaurant lists, so we are treating ourselves to a nice steakhouse we’ve been dying to try. Then we’ll see where the night takes us!”

“I love being single! I think it’s so much more fun to get to know people without any pressure, and you can figure out what you’re looking for. When I’m single, I have more free time, so I feel like I’m accomplishing more, too!”