The influencer industry is facing a perfect storm of economic uncertainty. As recession fears grow, consumers’ confidence declines, making them more discerning about their spending. This shift in audience behavior has led to backlash against influencers who display excessive displays of wealth on social media platforms like TikTok and Instagram.
According to a CBS News/YouGov poll, nearly 60% of Americans say they feel stressed or concerned about their finances, with over half believing the economy is doing poorly. As a result, brands are recalibrating their advertising funds, dedicating less than half of their budgets to influencer marketing, which has decreased by 10% since last year.
Influencers like Addison Rae and MrBeast have contributed to this trend, earning millions of dollars per year from brand partnerships. However, as economic stressors worsen, it’s unclear whether the industry will be able to sustain itself. Content creators are being forced to adapt, pivoting their content away from shopping hauls and toward more practical and relatable topics.
Experts like Sam Ogborn and Peyton Knight warn that the influencer bubble may be bursting. However, those who have staying power in the industry believe that innovation and a deep understanding of their audience will be key to survival. Mirand Koch, a lifestyle and fashion creator with over 400,000 followers on Instagram, emphasizes the importance of diversifying and remaining adaptable, as the only constant is change.
As the economic landscape continues to shift, it’s clear that influencers must navigate this uncertain future with caution and creativity.
Source: https://www.npr.org/2025/07/16/nx-s1-5463723/influencers-recession-tiktok-instagram