Will We Pay For Social Media? with Hovhannes Avoyan (PicsArt)

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Picsart's Success

Despite the belief that people are unwilling to pay for social media, Picsart, a photo editing app, has achieved remarkable success with 140 million active users and 700 million installs.
Contrary to expectations, Picsart's growth accelerated after transitioning to a subscription model.
The company prioritizes optimizing its product for users rather than advertisers, leading to increased user satisfaction and growth.
Picsart strategically decides which features to make free or premium based on their potential to go viral and contribute to growth.
The company is not yet profitable but has control over its destiny and can become profitable if desired.

Kim Kardashian is a valuable ally for Picsart, promoting the app on her social media platforms.
Kardashian is not an investor in Picsart.

Pixar has 15 million users in China, successfully entering the market by replacing pirated versions of its app.
The company focuses on being a safe platform for kids and Gen Z users, using AI for content moderation.
Pixar has not faced issues with Chinese censors but uses third-party vendors in China for content moderation.

The speaker suggests the possibility of premium versions of social media platforms like Instagram and Twitter, offering ad-free browsing and advanced features.
A small percentage of users converting to a paid subscription could generate significant revenue for these platforms.
Premium features could reduce social media companies' reliance on surveillance and data collection, giving users more control over their data.
Some users may not be willing to pay for a premium subscription, but the potential revenue from even a small percentage of users could be substantial.

The speaker congratulates the team behind the video platform for their success in creating a premium social network and for their efforts to promote self-expression and body positivity.