Filed Under: Discord

How Does Discord Make Money? Understanding the Business Model

Jack

Written by Jack Lin

Affiliate Disclaimer: If you purchase through links on our site, we may earn an affiliate commission at no additional cost to you!
How Does Discord Make Money

Introduction to Discord

Discord has rapidly become one of the most popular communication platforms, especially among gamers and online communities. Founded in 2015 by Jason Citron and Stan Vishnevskiy, Discord was created to address communication challenges faced by online gamers. Since then, it has evolved into a versatile platform serving diverse communities beyond gaming.

Discord

With over 150 million active users and 19 million active servers, Discord offers text, voice, and video communication across multiple devices. Its cross-platform availability and integration with services like YouTube and Spotify have contributed to its widespread appeal. Many users prefer Discord over other platforms like Zoom, Skype, Telegram, WhatsApp, and even Twitch for its user-friendly interface and community-focused features.

Discord’s Freemium Business Model

At the core of Discord’s success is its freemium business model. This approach provides users with a robust set of free features while offering premium options for enhanced functionality.

The history behind the launch of Discord

Free Features:

  • Text, voice, and video communication
  • Server creation and management
  • Basic file sharing
  • Cross-platform accessibility

Premium Features:

  • Enhanced audio and video quality
  • Increased file upload limits
  • Custom emojis and animated avatars
  • Server boosting capabilities

This model has been instrumental in rapidly growing Discord’s user base while creating opportunities for revenue generation.

Main Revenue Streams

1. Discord Nitro Subscriptions

Discord’s primary revenue source comes from its premium subscription service, Discord Nitro. There are two tiers available:

Discord Nitro
  1. Nitro: Priced at $9.99/month or $99.99/year
  2. Nitro Basic: Available at $2.99/month

Nitro subscribers enjoy a range of enhanced features:

  • Custom and animated emojis
  • Increased file upload size (up to 100MB)
  • HD video streaming
  • Server boosting capabilities
  • Custom profile badges and tags

The flexibility of these plans, allowing users to cancel at any time, makes them an attractive option for users seeking an enhanced Discord experience.

2. Server Boosting

Server boosting is a feature that allows users to enhance their favorite servers’ performance and capabilities.

  • Cost: $4.99 per boost per month (30% discount for Nitro subscribers)
  • Levels: There are three levels of server boosting, each offering increasing perks:
    • Level 1 (2 boosts): 128 Kbps audio, 50 extra emoji slots
    • Level 2 (7 boosts): 256 Kbps audio, 150 emoji slots
    • Level 3 (14 boosts): 384 Kbps audio, 250 emoji slots, and more

Server boosting not only generates revenue but also encourages community engagement and loyalty.

3. Game Sales Commission

While Discord’s game store was short-lived, the platform still generates revenue from game sales:

Launch of a Game Store
  • Discord takes a 10% commission on games sold through verified servers
  • Developers must get their servers verified to benefit from this system
  • This model provides exposure for developers while creating an additional revenue stream for Discord

Additional Revenue Sources

Partnerships and Selective Advertising

Discord has established strategic partnerships with game developers, content creators, and brands. A notable example is its integration with PlayStation Network. These partnerships often involve:

  • Exclusive content and promotions
  • Targeted, non-intrusive advertising opportunities
  • Revenue sharing arrangements

Merchandise Sales

Discord offers branded merchandise through its official store, including:

  • T-shirts and hoodies
  • Stickers and accessories
  • Limited edition items

While not a major revenue source, merchandise sales contribute to brand promotion and community engagement.

Investments

Discord has secured significant funding from venture capital firms, which has fueled its growth and development. These investments have allowed Discord to:

  • Expand its feature set
  • Improve infrastructure
  • Reach a wider audience

Future Growth Strategies

Looking ahead, Discord is exploring several avenues for continued growth and revenue generation:

  1. Expanding Premium Offerings: Introducing new features and perks for Nitro subscribers
  2. Virtual Events: Potentially hosting online conferences and events
  3. Enhanced Gaming Partnerships: Offering exclusive in-game content and virtual merchandise
  4. New Subscription Plans: Introducing specialized plans for businesses or content creators
  5. Advanced Moderation Tools: Developing premium tools for server management

Conclusion

Discord’s multi-faceted approach to revenue generation has proven successful, allowing it to maintain a large free user base while monetizing through premium features. The combination of Nitro subscriptions, server boosting, game sales commissions, and strategic partnerships provides a diverse and sustainable income stream.

As Discord continues to grow and evolve, its focus on user experience and community-building will likely remain central to its business model. By balancing free accessibility with valuable premium offerings, Discord is well-positioned to continue its trajectory of growth in the competitive world of online communication platforms.

If you’re experiencing issues with Discord, such as Discord not opening, there are troubleshooting steps available to help you resolve the problem and get back to enjoying the platform’s features.

FAQs

Does Discord still have a game store? Discord launched a game store in 2018 but discontinued it in 2019. Now, they partner with game developers for sales through verified servers.

Is Discord completely free to use? Yes, Discord offers a robust set of features for free. Premium features are available through Nitro subscriptions.

How much does Discord Nitro cost? Discord Nitro costs $9.99 per month or $99.99 per year. A more basic version, Nitro Basic, is available for $2.99 per month.

Does Discord make money from advertising? Discord uses minimal, non-intrusive advertising through partnerships. Their primary revenue comes from Nitro subscriptions and server boosting.

What is server boosting in Discord? Server boosting is a feature where users can pay to upgrade servers with better audio quality, extra emoji slots, and other perks.

THERE’S MORE TO READ.

Best Laptops For Nursing Students

Best Laptops for Nursing Students: Top Picks and Buying Guide

As a nursing student, having a reliable and efficient laptop is crucial for success in your studies. With the increasing ...
Hack Facebook Account In 2 Minutes

How to Hack Facebook Account in 2 Minutes?

Are you a worried parent who wants to know what your kids are doing with their Facebook accounts? If so, ...
Ipad Keeps Freezing

iPad Keeps Freezing: Causes, Solutions, and Prevention

Is your iPad becoming unresponsive or freezing up frequently? This comprehensive guide will help you understand why your iPad keeps ...
Your Mastodon Instance