Home / Business and Economy / Snapchat+ Hits $1B Run Rate, Fuels Revenue Growth
Snapchat+ Hits $1B Run Rate, Fuels Revenue Growth
18 Feb
Summary
- Snapchat+ subscription service achieves $1 billion annualized revenue run rate.
- The offering has attracted over 25 million subscribers worldwide.
- Snap is expanding paid services beyond Snapchat+ with creator subscriptions.
Snap's direct revenue business has achieved a significant milestone, reaching a $1 billion annualized revenue run rate. This growth is largely attributed to the success of its Snapchat+ offering, which has surpassed 25 million subscribers. Launched in 2022, Snapchat+ provides users with exclusive and pre-release features for a monthly fee, demonstrating a strong market for social media subscriptions.
The company has expanded its paid tiers, including Lens+ for enhanced AR experiences and Platinum for an ad-free option. In a move to increase revenue, Snap also introduced paid storage for its Memories feature. Furthermore, Snap is piloting creator subscriptions in alpha, enabling users to subscribe to their favorite creators for exclusive content and benefits.
This expansion into subscriptions mirrors a trend in the industry, with rival Meta reportedly testing similar paid features on its platforms. Snap plans to continue developing Snapchat+ with a focus on customization and community-driven features.
