Subscribers as Snap Diversifies Revenue
Snapchat has reached a major milestone with Snapchat+ 25M subscribers now signed up. The company also generates over $1 billion yearly from non-ad revenue. This income includes subscriptions and digital tools. Snapchat+ launched in late 2022 as an early-access program. Since then, it has grown every quarter. The company calls it one of the fastest-growing consumer subscription services worldwide.
Why This Milestone Matters
Most of this growth comes from Snapchat+. The service offers exclusive features and early access to tools. For example, users get custom app icons and advanced options. In addition, Snap earns from Lens+ and Memories storage plans. However, Snapchat+ remains the key driver. It now plays a strong role alongside advertising income. Snap needs this boost. Growth has slowed in the U.S. and Europe. The platform also struggles to retain users as they grow older. Therefore, Snap focuses on maximizing revenue from its loyal base.
The company has introduced ad formats like Sponsored Snaps.
Still, there is a limit to how many ads users will accept. Subscriptions provide another path. As a result, Snapchat+ has become essential to Snap’s long-term strategy. The company also plans to launch AR Specs glasses. However, competitors like Meta and Apple are building similar devices. That competition could make hardware profits harder in the short term. For now, Snapchat+ remains a bright spot. With 25 million paying users, Snap has created a steady revenue stream. This milestone shows how subscription models can reshape social media platforms.
