- What is Kik Messenger, and how does Kik work?
- How does Kik Messenger make money?
- Sale of in-app currency (Kik Live Credits)
- Ad Revenue
- Marketing Services for Brands
- Kik Messenger subsidiaries, acquisitions, and exits
- Kik Messenger profit and revenue
- What is the Kik Messenger business and revenue model?
- Kik Messenger funding, net worth, and valuation
How does Kik Messenger (Kik Live) make money and how is it free to use? Well, here is a full, in depth, breakdown of their three (3) revenue streams and the different products and services they offer, as well as the Kik Messenger business and revenue model, how much money Kik Messenger makes per year, and how Kik Messenger (Kik Live) works.
What is Kik Messenger, and how does Kik work?
Kik Messenger, also known simply as Kik, is a messaging and video chat app that allows users to connect with others around the world.
Founded in 2009 by Christopher Best and Ted Livingston, Kik Messenger went on later to get acquired by MediaLab on October 19, 2019, for an undisclosed amount.
Since that time, Kik has a reported 300+ million registered active users on its app.
So, how does Kik Messenger work? To use Kik Live, simply download their app from the Apple App Store or Google Play store and create an account. Once signed up, you can do things like send and receive messages, join and create video chat rooms, and more.
How does Kik Messenger make money?
According to Kik Messenger, of their 300+ million registered users, more than 15+ million are monthly active users. So how does Kik Messenger make money off of all these users?
Below is a breakdown of how much money Kik Messenger makes and its revenue model. Including all revenue streams and how much they charge for their services.
Here are the 3 ways how Kik Messenger makes money in 2022
Kik Messenger has a revenue model that makes money in three (3) ways; through the sale of Kik Live’s in-app digital currency (Kik Live Credits), ad revenue, and offering marketing services for brands.
#1. Sale of in-app currency (Kik Live Credits)
One of the ways Kik Messenger makes money is by selling its in-app digital currency, Kik Live Credits.
What are Kik Credits? Live Credits are Kik Live’s in-app currency that can be purchased by users with money and can then use that virtual currency to buy virtual gifts that they can send to Kik streamers on the platform. Those Kik streamers can then convert those virtual gifts into “diamonds” which can then be converted into money.
Kik Live Credits can only be purchased within the app and are purchased in bundles. Which you can see how much Kik Live Credits cost below.
Kik Live Credits price:
- $4.99 to $399.99 depending on the bundle of Kik Live Credits purchased
#2. Marketing Services for Brands
Another way Kik Messenger makes money is through the marketing services they provide to partnering brands.
These marketing services include things like company-branded Emojis, GIFs, and Chatbots. Which they use to reach and interact with the millions of Kik users on their platform.
Some of the brands that have partnered with Kik are Target, Yahoo!, Universal, H&M, and more.
#3. Ad Revenue
Kik Messenger also makes money through the ad revenue they earn from the third-party ads displayed within their app.
Note: This is how a lot of apps, like Kik Messanger, are able to keep their services free. Through the ad revenue model.
Kik Messenger subsidiaries, acquisitions, and exits
Aside from Kik Messenger being acquired by MediaLab, Kik has had its own fair share of acquisitions.
To date, Kik Messenger has made a total of 3 acquisitions.
Kik Messenger profit and revenue
Kik Messenger has not released any official reports in regard to company earnings.
Note: Because Kik Messenger is a privately held company, they are not required to make their annual reporting, such as Form 10-K’s, pubic.
What is the Kik Messenger business and revenue model?
Kik Messenger makes money through a few revenue models that they combine within their company, they are:
- Transaction based revenue model
- Advertising based business model
- Business to business (B2B) business model
- B2B2C (partnerships) business model
- Mergers and acquisitions (M&A) business model
Kik Messenger funding, net worth, and valuation
According to Kik Messenger’s Crunchbase profile, Kik Messenger has raised $215.8 million over 7 rounds.
On October 19, 2019, Kik was acquired by MediaLab for an undisclosed amount.