How Does Discord Make Money?
What is Discord?
Discord is a free voice, video, and text communication service that was created by Jason Citron and Stan Vishnevskiy, who initially intended to use it to talk while playing games. It can be accessed through gaming systems such as Xbox, PlayStation, Android, iPhone, Mac, and PC.
Discord has retained the gaming aspect and now has channels focused on music, hiking, and trading cryptocurrencies.
After downloading and registering within the app, users can join up to 100 Discord public or personal communities.
The app is very similar to Slack, where every server can have multiple individual channels for organizing topics for discussion. There is a limit for the number of channels set to 500 for each server.
Users can also send direct messages to one another in addition to the group servers and link third-party accounts—including YouTube, Spotify, and GIPHY—to the server, where they can share content from those accounts with the other members of the server.
How does Discord Work?
Discord is a social networking service designed for communities to communicate through voice and text channels, private chats, video conferences, etc. The best thing with these systems is that you can use them on Android, iPhone, and even computers. They also perform on famous game platforms such as Xbox and PlayStation. Discord is a group, and in that group, there is a channel that is a kind of special room where people can discuss certain issues.
For example, a group dedicated to discussing digital money might have specific channels for discussing various popular crypto projects such as Bitcoin, Ethereum, or Solana. There also might be an option for active members to discuss the latest trends in digital money and blockchain technology. In other words, the core elements of an average Discord server can be described in terms of channels.
How Does Discord Make Money (Is it a Profitable Business Model)?
So, how does Discord make money? Discord earns its revenue through the sale of premium subscriptions, commission from game sales, and server boosting.
Discord has been using the freemium model as its primary growth strategy. This means that the core platform of the intended P2P marketplace is free to use.
However, power users can buy useful add-ons that improve their experience.
Using a freemium business model, Discord grows much faster as it can attract more users to its platform.
Thus, the owners of some groups have created communities filled with commerce and services. Companies like Adidas are now using Discord to interact with customers as well.
As with many other free-to-paid models, the most important thing is to allow the user to experience the product’s functionality and develop usage patterns with the free version.
It is easy for users to get hooked and improve their usage by paying for those features.
Moreover, the more numerous those groups are, the greater the creators’ motivation to ensure everyone wants to be in said community (and, therefore, subscribe).
Well then, let me proceed to discuss all possible revenue models that Discord uses (currently).
Nitro Subscriptions
Nitro subscriptions are one major answer to the question how does Discord make money as the company continues to grow. Nitro has some advanced features and benefits for users compared to similar applications.
Discord Shop
A Discord shop was introduced in November 2023 to enable users to buy avatar decorations and display effects on their profiles. These items, such as limited editions produced in a particular season, can be kept permanently. Nitro subscribers get to enjoy special member prices, and they also get to purchase products that are only available in selected themes. The Discord Shop is a source of income for the company and allows users to have unique avatars.
Source: https://www.agicent.com/blog/h....ow-does-discord-make
