By TechThop Team
Posted on: 16 Aug, 2022
The parent company of social media app Snapchat, Snap Inc., has reached its goal of reaching 1 million subscribers of its Snapchat premium service.
Having launched the service as a new revenue source in June, the company said on Monday that it will be expanding the service.
The majority of Snap, Twitter, and Meta Platforms' revenue comes from managing digital ads, but the ad market is shrinking due to record-high inflation, which is causing brands to cut back on marketing.
The company's shares dropped 25 percent last month after disappointing second-quarter earnings, as weaker advertising demand dampened Wall Street's optimism.
There was a statement from Evan Spiegel, CEO of Snap, that the company would work to help accelerate its revenue growth, including entering into new revenue streams.
A subscription to Snapchat in the United States is $3.99 per month and grants you access to 11 exclusive features that aren't available to standard users yet.
A new Snapchat icon design and the ability to send messages to celebrities are two of four new Snapchat features announced Monday.
With the addition of Saudi Arabia, India, and Egypt, Snap is now expanding its paid subscription feature to a total of 25 countries, with plans to expand the feature to more countries shortly.
As part of its $44-billion deal to buy Twitter, Twitter, which is currently in court with billionaire Elon Musk, previously launched a $4.99 a month subscription product called Twitter Blue.
The truth of the matter is that, at present, neither Facebook nor Instagram has paid subscriptions available.
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