Snap Doubles Down on Snapchat+ to Drive Revenue and Boost User Retention
Snap is focusing on expanding its premium subscription service, Snapchat+, with new features designed to increase user retention and establish direct revenue as “a durable multi-billion-dollar growth driver.”
The company announced that Snapchat+ has surpassed 16 million subscribers, more than doubling its subscriber base since early 2024. Notably, over half of Snapchat+ members are aged 21 or older.
Internal data reveals that subscribers who utilize customization options – like custom app icons and personalized chat wallpapers – demonstrate retention rates exceeding those of other users by more than 10 percentage points. Features emphasizing friendship and self-expression are especially popular,with nearly 80% of Snapchat+ subscribers having customized a chat wallpaper for at least one friend.
“Our strategy is to improve what’s working and really double down there, while also exploring new opportunities,” stated Swetha Dhamodharan, Snapchat+ product lead.
Recent additions to the service include the ability for subscribers to name their Bitmoji Pet and display it on their Snapchat profile. These Bitmoji Pets already feature on the Snap Map and within individual chats. Snap’s Bitmoji feature allows users to create personalized digital avatars.
Further updates focus on chat customization. A new “Wallpaper Remixing” feature allows both participants in a one-on-one chat to customize their shared wallpaper, a function previously limited to one user. Custom wallpapers are also being extended to group chats, enabling friend groups to create a collective design.
These feature releases follow Snap’s recent proclamation to begin charging users who exceed 5GB of storage within its Memories feature,a photo and video archive launched in 2016.
