Messaging apps from Asia are not only cracking millions of users but also making millions of money. Line, the mobile messaging app from Japan, for the first time has revealed its revenue. The free messaging app made by Line Corporation revealed that the app has made 5.82 billion yen i.e. $58 million from the first quarter of 2013.
The figures that have been released shows a comprehensive increase from its last quarter. The company released the details of the earnings in Japanese language but The Next Web team got hold of an English version which is shared below:
The earnings clearly show that there has been a jump of approximately $28M from the last quarter. Line which recently passed 150 million registered users has shown the world that even though it is a free app, its existing business model is making millions. Breaking the revenue down, Line specified that around half of its revenue has come from in-app payments and from the elaborate range of social games people play together on Line. Another 30% of its revenue that is approximately $17M is from paid stickers – a form of rich emoticons. Line also offers some free stickers. However, it has not revealed any details on the remaining 20% income but it did say that official accounts and stickers which are used by third parties and advertisers form the remaining.
The messaging app also revealed that it has now 24 “seed games” – games that can be downloaded from within its messaging app and 191 varieties of stickers are available. Close to 92 official accounts which include celebrities and brands are active on the app. All the three features – games, stickers and official accounts are accessible in countries including Thailand, Taiwan and Japan. Japan which remains to be the core market for the app, where it was developed initially, has accounted for 80% of revenues. The remaining 20% of revenues comes from Southeast Asia and Spain.
The company is now focusing on its international expansion – like all other Asian messaging apps – into countries like China, Europe, Latin America and Africa. Along with the international growth, the company plans to expand its content in shopping, music and more games. Increase in marketing budgets is another focus that the company wants to concentrate specially in the international markets.
Messaging apps are the next generation of social networks and Asian messaging apps are clearly leading with numbers as well as features. Time for WhatsApp to evolve from just being a messaging app.