How Does Discord Make Money – In today’s digital era, connecting with others across the globe often simply requires the click of a mouse or tap of a screen. Voice and video calling applications have enabled real-time communication no matter where users are located. Text messaging apps take convenience even further, allowing users to send written messages instantly from virtually any device.
Discord has combined the best elements of voice, video, and text into one powerful platform. The free application allows users to talk, hang out, and communicate just like they would in person, but without geographic limitations. Whether for work teams, gaming groups, community organizations, or friends, Discord facilitates seamless collaboration. Read on to learn how the platform works and the strategies driving Discord’s growth.
How Discord Works
Discord provides free voice, video, and text chat in dedicated spaces called servers. Users can join existing servers based on their interests or create one for their own community. Within each server, channels categorize discussions into different topics. For example, a gaming server may have channels for general chat, strategy talk, connecting with clan members, etc.
To communicate, users have several options:
- Voice Channels: Hop in a voice channel to talk in real-time using a microphone. Discord’s audio quality surpasses other platforms like Skype.
- Video Channels: In addition to voice, users can stream video of themselves talking or share their screen.
- Text Channels: Have ongoing typed conversations and share images within specific text channels. Users can pop in whenever it’s convenient.How Does Discord Make Money
Whether talking over video chat or exchanging messages, Discord allows users to nurture meaningful communities and conversations around shared interests.
How Discord Generates Revenue
Discord offers a free service that allows users to seamlessly communicate through text, voice, and video. However, the platform has implemented several premium features and partnerships that generate revenue streams while enhancing the user experience.
1. Nitro Subscription
Discord’s premium subscription option is called Nitro. For $9.99 per month, Nitro provides subscribers with upgraded features and customization options including:
- Use of Custom Emojis Anywhere: Nitro subscribers can use custom emojis created for specific Discord servers across all their servers. This allows them to express themselves more creatively.
- Increased File Upload Limit: Subscribers can share files up to 100MB in size compared to 8MB for free users. This is useful for sharing high-res images and videos.
- Higher Video Quality: Nitro enables streaming video in 1080p at 60fps vs 720p at 30fps for free users. Gamers streaming their gameplay benefit from the boosted quality.
- Custom Profile Badge: Subscribers have an animated custom badge on their profile standing out their premium status.
- Animated Avatar: Paying users can set an animated avatar rather than a static image.
- Free Games: Nitro provides access to a rotating selection of free games that can be claimed each month.
2. Merchandise Sales
Discord operates an online merchandise store selling branded apparel, accessories, and collectibles. Items include t-shirts, hoodies, jackets, phone cases, mugs, posters, stuffed animals, and stickers. As users proudly wear, display, and use Discord merch, they promote the brand while generating sales revenue. Limited edition product drops create hype and exclusivity.
3. Server Boosting
For $4.99 a month, Discord users can pay to “boost” servers they are members of to unlock perks and upgrades. The more boosts a server receives, the more benefits it can enable such as:
- Higher Audio Quality: More boosts allow progressively higher audio quality streaming up to 384 Kbps.
- Increased File Size Limit: Boosting enables larger file uploads up to 100MB.
- More Emojis: With more boosts, servers can add more custom emoji slots.
- Higher Video Quality: At higher boost levels, server video can stream in 1080p 60fps resolution.
- Vanity URL: Boosted servers get custom vanity URLS like discord.gg/myserver rather than a random string.
- Server Banner: Boosting allows setting an invite splash banner to enhance branding.
4. Revenue Sharing with Creators
Discord allows online content creators to generate revenue from their servers through premium memberships. Creators can offer exclusive roles, channels, and activities to paid subscribers. Discord receives 10% of creator earnings for providing the monetization infrastructure. This gives server owners an incentive to create engaging communities while earning Discord incremental revenue.
5. Brand Partnerships
Discord has established partnerships with over 130 game publishers and companies like Xbox, Sony, Adobe, Ubisoft, EA, and Crunchyroll. These partners pay Discord for special integrations, exclusives, and promotions to engage their audience on the platform. For example, the Xbox app integration allows chatting with Xbox friends within Discord. Partner promotions attract new users to the platform.
Discord’s Growth Strategy
Discord has experienced rapid user growth by making it easy for people to create online communities organized around any interest or passion imaginable. Users are empowered to set up their own Discord servers with custom topics, channels, roles, and more to connect with others who share their specific hobby or fandom. One of the key driver of Discord’s expansion is the high quality of its voice and video capabilities, which facilitate real-time communication. Unlike other forums or messaging apps, Discord allows users to actually talk and see each other through clear VoIP and video chat.
Also, Discord removes barriers to entry by maintaining a free membership model so that anyone can sign up and start or join a server instantly. For dedicated users, optional Nitro upgrades provide perks like animated avatars without limiting the core functionality that free members enjoy. Throughout the platform, fun personalization features like customized emojis and rich profiles allow people to express their identities while forming meaningful relationships. This personalized, gaming-inspired experience attracts new communities continuously.
Who Does Discord Compete With?
Discord faces competition from other communication platforms like:
- Skype and Zoom for video conferencing
- WhatsApp and Telegram for messaging
- Reddit for interest-based communities
- Teamspeak and Mumble for gaming communications
However, Discord stands apart by blending voice, video, text and communities all in one intuitive platform. The company constantly enhances features to meet evolving user needs. With a stellar free product and diversified premium offerings, Discord is poised for continued growth as the platform of choice for instant, engaging connections.