Snapchat parent Snap says paid subscription service reaches 1 million subscribers as weak ad market prompts search for alternate revenue sources
Snapchat parent Snap said its paid Snapchat+ subscription service has reached 1 million users after its launch in June, as the company seeks new sources of revenue.
Like social media platforms such as Twitter, Facebook and Instagram, Snap has seen a decline in the advertising revenues upon which it depends as economic turmoil causes advertisers to rein in their spending.
Snap, like other social media firms including Facebook parent Meta, has also said new Apple iPhone privacy controls have had a significant impact on revenues as they limit user tracking.
Snap’s share price dropped 25 percent last month after it announced disappointing results for the quarter, largely due to weaker-than-expected advertising demand.
Snapchat+ costs $3.99 (£3.30) in the US or £3.99 in the UK and gives users access to features not available on the free version, such as the ability to use Snapchat on desktops, changing the app icon or seeing who rewatched a story.
Snap on Monday released a set of additional features for Snapchat+ users, including priority story replies, which make Snapchat+ responses more visible when replying to Snap Stars, the verified accounts of public figures.
Other new Plus features include custom backgrounds for users’ Bitmoji characters and new app icons. Users can now also add an emoji that displays to friends after they’ve viewed a Snap.
Snap said Plus is now expanding into Saudi Arabia, India and Egypt for a total of 25 markets.
Twitter also offers a subscription service in the form of Twitter Blue, while Meta’s Facebook and Instagram offer no paid version for the moment.