Snapchat Plus reached 25 million subscribers and a $1B run rate

Transcript

Transcribed by machine (Whisper) from the episode’s audio, so a word may be off here and there.

1. 1:10:10

   One of the new ones is our subscription business, which is growing really, really rapidly called Snapchat Plus. us. And I think it's a really good fit for Snap's culture. You know, we adopted the advertising model very early on. I think it's like well understood. It's a huge opportunity. And we have a ton of, you know, engagement on Snapchat. So advertising is a big opportunity for us. And it allows us to offer our product for free, which is great. But I think, you know, the heart of Snapchat is, and our company is about building stuff that people love and that they want. And we were getting so many requests for all sorts of, you know, new and different features from our, the most passionate members of our community. And we wouldn't, we could never really find time to resource and invest in them because we were focused on things that everyone

2. 1:10:54

   would use, not just like our most passionate, not just the most passionate Snapchatter. So we decided to build Snapchat Plus, which is essentially gives you access to like new fun features on Snapchat. We listened to our community and the things that they want and we'll test stuff and release new things for Snapchat Plus. And for like four bucks a month, you can join Snapchat Plus and get access to all these new features.

3. 1:11:15

   That's now grown to like 25 million subscribers, which is like ESPN scale of subscribers. And I think in the last quarter it was growing 60% year over year. Don't make me do public math. Is that a billion run rate? We're doing like a billion run rate growing 60% year over year. That's incredible. And it's a really good fit for what we're great at, which is making new stuff that people love and want to pay for.

4. 1:11:34

   So I think it's like culturally been a been a great fit for for our company it kind of ties to what we were talking about when your design meetings earlier we're just like we're looking at hundreds how often are you doing these design meetings by the way once a week okay so every week you're going through hundreds of new ideas some of which wind up for features for snapchat snapchat yeah okay so that's perfectly in time what did you say earlier about what else are you going to do with do you think like you're going to add to that or do.

5. 1:12:00

   feature if you want to talk about it. For the subscription business, I mean, we got a zillion ideas in the backlog. So we're just going to keep shipping new, you know, new additions and features. Do you think you'll eventually increase the price? Maybe, but I think it's so early right now. Yeah, we have done tiering. So one of the things that has been really popular, we released something called Lens Plus. So I think Snapchat, the camera itself, it's probably the most used like Gen AI camera service, like in terms of like image, video generation, this kind of thing.

6. 1:12:26

   just because of how many people are using our camera every day. So we release a bunch of these Gen.AI lenses, and we give a number of uses for free, but then if folks want to upgrade to LensPlus because they're loving it and using them all the time, they can do that. And that's grown nicely for us too. So LensPlus is at a slightly higher price here. And then we have the Platinum plan or whatever that you can get rid of ads and unlock more features, that kind of thing.