Relevance. In contemporary urban development, knowledge and creativity play pivotal roles in transforming cities into instruments for increased attractiveness, economic growth, and citizen well-being. Despite this recognition, second-tier cities face challenges due to the lack of a comprehensive concept for managing creative industries. The creative economy, proven effective in various countries, holds potential solutions to address accumulated issues. Research objective. This study aims to conceptualize the management of the creative sector in second-tier industrial cities, fostering their revitalization and transformation into growth zones. Data and methods. The empirical focus includes 14 creative clusters in old industrial second-tier cities of the Urals and Siberia in Russia. The study constructs a typology delineating five types of creative cluster formation, based on public-private sector interaction. Content analysis examines research literature and is complemented by a systematic approach. Results. The article systematizes the most pivotal problems in the management of creative industries’ development and shows the importance of addressing institutional and coordination issues. Types of creative cluster formation are identified based on the degree of interaction between the public and private sectors in the development of creative industries. Two key types of creative cluster formation—initiative-based and dependent—are identified through case studies. The study formulates a conceptual approach to managing creative industries in second-tier industrial cities. Conclusions. The management of creative industries in second-tier cities deserves to be acknowledged as a distinct area of management. Development of creative industries requires a systematic state support system and a well-defined strategy. Local authorities play a crucial role in this process, acting as focal points for cooperative efforts through regulatory innovations in urban creative industries. Key instruments for effective policy implementation include the transformation of urban spaces, establishment of creative clusters, provision of grants to support small businesses, and stimulation of export activities. © Turgel I., Derbeneva V., Baskakova I., 2023.