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Business Operations Business Models

How Does Notion Make Money (Business and Revenue Model)

The Notion business model

Notion logo
Here’s what you should know:
  • What is Notion, and how does Notion work?
  • How does Notion make money?
  • Subscription Revenue
  • Notion subsidiaries, acquisitions, and exits
  • Notion profit and revenue
  • What is the Notion business and revenue model?
  • Notion funding, net worth, and valuation

How does Notion make money and how is it free to use? Well, here is a full, in depth, breakdown of their main revenue stream and services they offer, as well as the Notion business and revenue model, how much Notion makes per year, and how Notion works.

What is Notion, and how does Notion work?

Notion is a project management and note-taking software to help boost users’ productivity.

Developed and released in 2016 by Ivan Zhao (founder of Notion Labs Inc.), Notion now has more than 20 million users that use their productivity app.

So, how does Notion work? To use Notion, users can either first download their mobile app in the Apple App Store or Google Play store; or go to their website and create an account.

Once signed up, users can begin note taking, jotting ideas, create to-do lists, tasks, checklists, and more – all for free; with available options to upgrade.

Some of Notion’s competitors include Slack, Trello, Asana, and other project management apps for teams.

Notion App in Apple App Store | Notion Business Model | How Does Notion Make Money | How Does Notion Work
Source: Apple App Store | Notion

How does Notion make money?

According to reports, Notion has more than 20 million users that use their project management app. So how does Notion make money off of all those users?

Below is a breakdown of how much money Notion makes and its revenue model. Including their main revenue stream and how much they charge for their services.

Here is how Notion makes money in 2022

Notion has a revenue model that makes money in just one (1) way; subscription revenue.

#1. Subscription Revenue

Notion makes all of its money through the subscription service they offer to their customers.

Although Notion is free to use, they also offer three (3) paid subscription tiers for customers who need more; Personal Pro, Team, and Enterprise. All of which offer their own set of perks that the free version does not offer like unlimited file uploads, collaborative workspaces, priority support, and more.

How much does Notion cost? (Notion pricing)

  • Personal Pro: $5 USD per user, per month
  • Team: $10 USD per user, per month
  • Enterprise: contact sales
How much does Notion cost? (Notion pricing) | Notion app | Notion example
Source: Notion

Note: Of Notion’s more than 20 million users, it’s unclear how many of those users upgraded to Notion’s paid subscription plan.

Notion subsidiaries, acquisitions, and exits

To date, Notion has made a total of 3 acquisitions.

Mergers and acquisitions business model
Source: Crunchbase | Notion

Notion profit and revenue

Notion has not released any official reports in regards to company earnings.

Note: Because Notion is a privately held company, they are not required to make their annual reporting, such as Form 10-K’s, pubic.

What is the Notion business and revenue model?

Notion makes money through a few revenue models that they combine within their company, they are:

  • Freemium business model
  • Software as a service (SaaS) business model
  • Business to business (B2B) business model
  • B2B2C (partnerships) business model
  • Mergers and acquisitions (M&A) business model

Notion funding, net worth, and valuation

According to Notion’s Crunchbase profile, Notion has raised $343.2 million over 5 rounds and has a valuation of $10 billion as of October 2021.