How talent agency WME plans to boost the careers of top TikTok creators like Chase Hudson and Addison Rae

WME

The Hype House is a collab group and physical house in LA.

• As TikTok has surged in popularity, so have the platform's homegrown stars.
• Recently, Hollywood's top talent agencies have battled to sign TikTok creators.
• William Morris Endeavor recently signed TikTok stars Chase Hudson (known online as lilhuddy) and Addison Easterling (known as Addison Rae).
• Business Insider spoke to three execs at WME about how the company plans to expand these creators' digital businesses and what it looks for in TikTok talent.
• Click here for more BI Prime stories.

TikTok's sudden rise sparked a talent war in the entertainment industry, with agents and managers competing to nab these new viral stars.

"It started this frenzy," said Justin Greenberg, a digital agent at William Morris Endeavor. "We found it really interesting because we are now dealing with sort of the premier Gen Z creator, who is defining the various pop culture trends for teenagers."

Hollywood talent agencies like WME and United Talent Agency - which represent the biggest movie stars and musicians - have departments dedicated to working with digital creators across platforms like YouTube, Instagram, and now TikTok.

UTA kicked off the TikTok star "frenzy" by signing Brittany Tomlinson (known as "Kombucha Girl" online) in late 2019. Then in January it signed Charli D'Amelio along with her sister Dixie and her two parents.

In that same month, WME signed 17-year-old TikTok star Chase Hudson (15.5 million followers), who founded the creator collective Hype House, along with Addison Easterling (known as Addison Rae with 22 million TikTok followers) and her parents.

What is the plan for these surging stars?

Business Insider spoke with agents at WME, who said the main focus for TikTok stars right now is not crossing over to traditional Hollywood and landing a big movie role, but rather developing lasting relationships with top brands, attending events, and building exposure.

WME has already begun placing Hudson and Easterling at events, and as seen on Instagram, they have each started to promote brands like Fendi, Dolce Gabbana, and Reebok to their millions of followers.

What WME looks for in a digital creator

When scouting for talent, WME isn't necessarily interested in someone who is a TikTok mega-star, but instead is focused on creators it can help build a business and career around, according to Joe Izzi, a digital agent at WME.

"I think it's super exciting to have a new platform that is another pipeline for us to discover talent," Izzi told Business Insider. "Regardless of the platform, the No. 1 thing we always look for is talented creators - people that we can help build a business around that's long-lasting."

That's important because cross-platform reach will help a creator sustain a career.

The agency's digital department already represents several creators across YouTube, like Casey Neistat, David Dobrik and The Dolan Twins, in developing a content strategy, sourcing and negotiating deals, and exploring traditional media opportunities.

Hudson and Easterling rose to fame on TikTok by sharing short dance videos to the platform. Since then, they have each built massive followings on TikTok, YouTube, and Instagram.

"They can't be one dimensional," Greenberg said. "We like to look for multifaceted creators that have an interest in being entrepreneurial, and that we think are interested in exploring a variety of different categories outside of what they are known for."

The benchmark WME studies to measure the success of a single creator is social-media engagement: likes, comments, and views.

"Because engagement is what's going to dictate the ability to convert audiences to different areas," Greenberg said. "Also, it will affect someone's ability to sell."

Leveraging TikTok to build brand partnerships

Whether it's a YouTuber, TikTok creator, or a gamer, WME is dealing with people who have total ownership and control over their distribution and marketing, different from a traditional celebrity.

Brand sponsorships are an important revenue stream for digital creators and having an agent can help these stars connect with major brands and build long-term partnerships.

Clients like Hudson and Easterling work with WME in producing sponsored content. Alex Devlin, a digital agent at WME, said brands bring concepts to her and that she's noticed they look to creators and their reps for guidance on how to partner in an effective way, without it seeming overly branded.

"I think with brands, they are still trying to figure out what the actual return is here," Devlin said. "I have been really pitching the idea that if you look at the rise and how quickly people are growing on TikTok, using it solely for impressions and marketing, and then you go over to Instagram to use it to drive sales, that's really where I'm leaning in right now."

TikTok has also helped WME's traditional Hollywood clients grow a new audience, becoming another space to pitch brands, Devlin said.

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For more on the business of influencers, according to TikTok creators, agents, and managers, check out these Business Insider Prime posts:

• The top 18 talent agents for YouTube creators and influencers: These talent agents help their clients monetize their online brands, build lasting partnerships with companies through influencer marketing campaigns, and develop consumer products.

• Inside UTA's deal with TikTok star Charli D'Amelio and how the talent agency plans to expand her influencer business: We spoke to two execs at UTA, Kendall Ostrow and Greg Goodfried, about signing D'Amelio (along with her family), and what the agency looks for in a TikTok creator.

• How much TikTok stars should earn from a brand deal, according to a talent manager who says they often 'can get a lot more money' than they think: How much money a TikTok creator with one million followers should charge for a brand sponsorship depends on their overall engagement.

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