Why do social apps that chase young people frequently attract capital?

Why do social apps that chase young people frequently attract capital?

An epidemic has made people across the world feel extremely lonely, but at the same time they also feel how important the connection between people is. Social software has become an important channel for us to connect during the epidemic. The celebrities engage in live concerts on Instagram:

Why do social apps that chase young people frequently attract capital?

Chat with the big guys in the Clubhouse to pass the time:

Why do social apps that chase young people frequently attract capital?

Talk to friends in Discord:

Why do social apps that chase young people frequently attract capital?

Of course, there is an indispensable TikTok magical dance challenge:

Why do social apps that chase young people frequently attract capital?

However, the use of social media also makes us physically and mentally exhausted. We can often see many people making “farewell declarations” that will be permanently offline, because the truth-clarifying social platforms can be really stressful sometimes!

Socializing in the Back Waves: Be sincere and don’t act on the spot

Compared with meeting new friends and connecting with old friends, social platforms are more like a large stage. People sacrifice their true selves to show their best self under pressures such as FOMO (fear of missing out) . Instagram has been testing and launching before. The function of hiding the number of likes, wants people to make friends more freely.

Why do social apps that chase young people frequently attract capital?

Such an online social environment is not suitable for children who are already in anxious adolescence. Social giants such as Facebook are also getting older. Users between 25 and 34 years old account for the largest FB user group, and users over 65 years old account for over. 11%, while only 2.9% of users aged 13-17, they are already losing the hearts of Generation Z and Generation Alpha.

Why do social apps that chase young people frequently attract capital?

Z Generation (Gen Z) born between 1995 and 2010, they are the generation that grew up with technology, a Pew Research survey in 2018 showed that 95% of the population of young people have smart phones, 45% Investigators stated that they are always online. But Gen Z is no longer young enough.

Alpha generation (Gen Alpha) that was born in the population between 2011 and 2025 are strong incoming week, about 2.5 million newborns are joining Alpha groups. If the Z generation grew up with technology, the Alpha generation was born with a variety of screens and software. Since their birth, the iPad was officially launched, Instagram became popular, and the word APP began to become the mainstream in 2010. , “Online” has become an indispensable behavior for them every day like eating.

The young people represented by Generation Z and Generation Alpha do not distinguish between online and offline social networking so clearly. Social platforms are not only a source of entertainment and information, but also a place for them to meet and know their friends. For them, online Making friends is the same and even more need to take care.

When there is a demand, there are people to meet the demand. Inadvertently, many new social platforms have emerged on the market that capture the time and attention of teenagers. Let’s take a look at how they are played?

Yubo: Private territory for teenagers only

Among the dating software for teenagers, Yubo from France is one of the hottest ones since last year. It was established in 2015 and currently has more than 40 million users. It also focuses on socializing with strangers, but the most important principle is to only accept users under the age of 25.

Users use the same way that Tinder swipes left and right to make friends, or they can choose to join different live broadcast rooms based on interests such as games, politics, and geography. Each room has about 5-10 people, and there is no reward mechanism Profitable function, but just like chatting with your high school classmates, except that they come from all over the world. Live streaming is currently the hottest feature, and the viewing time of users in the live streaming room has increased by 400% year-on-year.

Why do social apps that chase young people frequently attract capital?

Yubo wants to break the current stressful social media model. There is no follow and like function here, because once algorithms and likes begin to appear, everyone will focus on showing their best self, and may use a mask to show others. Instead of making friends sincerely.

It does not rely on advertising to make money, but users can choose to subscribe or unlock new features, such as helping live broadcasts, allowing their accounts to have more exposure on the matching interface, etc. Founder Sacha Lazimi believes that this is the right way to make money for social software, because Selling ads is no different from the model of platforms such as Facebook and TikTok. Yubo’s revenue in 2020 is about 20 million U.S. dollars, which is a substantial increase compared to 2019.

Why do social apps that chase young people frequently attract capital?

As a social platform for teenagers, Yubo has made great efforts to ensure safety. When users register, the system will ensure that they have not lied on their age. There are also roles like cyber police that will review text and video content in real time. It will double-check when users share personal information, and Yubo even invested 30% of the company’s investment for this.

Yubo has so far completed US$65.7 million in financing. The most recent round was in November last year. Existing investors Idinvest Partners, Iris Capital, Alven and Sweet Capital continued to participate in the US$47.5 million Series C. New investor Gaia Capital Partners also joined this round of investment.

IRL: I want to be a European and American version of WeChat

Facebook’s IRL (abbreviation for in real life), which provides activity discovery and group chat functions for teenagers, and aims to become the younger generation of Facebook, has also seen rapid growth since last year. Since April last year, IRL has rapidly shifted and went online like Cloud events such as live concerts, Zoom parties, and e-sports tournaments quickly replace offline events that cannot be continued.

Why do social apps that chase young people frequently attract capital?

Founder Abraham Shafi believes that people need to chat with others during the epidemic to pass the time and resolve loneliness, and in the post-epidemic era, it is even more necessary to meet with others again and gain the kind of connection between people who participate in activities in real life together. .

Shafi often uses WeChat as an example, thinking that his goal is not only to be a Facebook for teenagers, but also to become WeChat in other parts of the world-this super social network based on chat but not only chat, IRL’s current “activity + group chat” The model makes Shafi believe that it is not far away to achieve the lofty ideal of WeChat, where payment, taxi, ticket booking and other functions all exist in one APP.

Why do social apps that chase young people frequently attract capital?

In terms of marketing, IRL hasn’t advertised too much. It is mostly promoted by content creators on platforms such as TikTok, or on platforms where teenagers such as Snapchat and Roblox spend a lot of time every day to attract users. Preparing to complete a technology integration with TikTok, allowing users to achieve smoother content sharing and chat. IRL currently has about 12 million monthly active users, but it has not yet started to make money. It simply tested the payment function that allows users to encrypt activity permissions. Like Yubo, IRL believes this is a better way to make money than selling ads. .

Facing the reality that most users are under the age of 18, IRL has also begun to focus on content review, including clearing out spam in a timely manner and allowing group owners to help review the security of group chats through the software Hive, etc., non-invited group chats It will also be reviewed before being pinned to the activity discovery page.

IRL has attracted many investments including Floodgate, Goodwater Capital, Founders Fund, etc. The total financing reached 197 million U.S. dollars. Softbank led the investment in the $170 million C round of financing just in June of this year, bringing IRL’s valuation to 1 billion U.S. dollars. .

In addition, the Zebra IQ report also shared several other software that has become more and more popular among Gen Z groups since last year:

Genies: Avatars

The main technology of Genies, headquartered in LA, is to allow people to create their own virtual avatars, which can be used in multiple occasions such as games, chats and social interactions. Not only are virtual avatars very vivid and lifelike, but they can also be changed according to the chat context and real-time scenes. For example, if Musk wants to go to Mars, users can let their avatars sit in the spacecraft, and they can add atmospheric outfits during various festivals, and users can also buy and sell avatars.

Why do social apps that chase young people frequently attract capital?

By cooperating with celebrities including Jennifer Lopez, Justin Bieber and Rihanna, as well as brands such as Gucci and New Balance, Genies has gained a lot of attention, and the recent NFT (Non-fungible tokens) boom has certainly helped . Genies has so far completed $117 million in financing. In May of this year, the $65 million Series B financing was led by Bond (a venture capital firm under the Queen of the Internet, Mary Meeker) . NEA, NetEase, Dapper Labs, Coinbase Ventures and many other companies followed cast.

Bunch: Game social continues to be hot

Bunch provides users with a tool for video chatting when playing various games such as Fortnite, Minecraft and Angry Birds, which doubles the fun of the game. Game developers can also choose to connect Bunch to the game to make it easier for users to invite partners Play together and also help with game marketing.

Multiplayer online games have witnessed tremendous growth during the epidemic. Bunch, as a social tool that connects users, has also seen rapid growth in app usage at the beginning of the epidemic, including the number of game sessions and group video chats that have increased by 50 times. The number of user daily game sessions increased by 75%, and the APP itself quickly ranked among the top 20 social product rankings in 17 countries/regions in the APP Store.

Why do social apps that chase young people frequently attract capital?

Bunch has so far completed 6 rounds of US$27.9 million in financing. The most recent round of US$20 million in financing in September last year was led by General Catalyst. Game giants such as Ubisoft, Supercell, Riot Games and Miniclip have participated.

Triller: TikTok’s rival

Founded in 2015, Triller is a short music video platform under Proxima Media and a large competitor of TikTok. Users can lip-synch, sing, dance and edit videos. It relies on Trump and other Internet celebrities to make shows on the platform. User growth is very rapid. It is said that there are about 65 million monthly active users. CEO Mike Lu even said that the company can achieve 100% organic growth without spending any money on marketing. Last year, when TikTok storms were frequent, Triller had 50 users. Achieved the number one ranking in the APP Store of the country/region.

In addition to online celebrities , Triller also owns 80% of the world’s music copyrights, and has signed agreements with record companies such as Sony and Warner . It is very important for short video platforms to realize complete music playback in the APP.

Why do social apps that chase young people frequently attract capital?

Triller is also working hard in the field of sports. The major well-known teams under the NFL, NHL and MLB have successively opened accounts on Triller. It does not hesitate to spend a lot of money to broadcast sports events, and is dedicated to the attention of sports fans. Triller is in The valuation after the last financing of US$28 million in 2019 reached US$130 million.

Instagram: How can I be missing

As one of the most popular social software, Instagram has about 1 billion monthly active users and about 500 million daily active users, but since its inception, it does not allow users under 13 to register, so there will be teenagers playing TikTok and being forwarded. Going to Instagram has caused a lot of “elderly” jokes to appear, which puts it at a disadvantage in competing with platforms that are more preferred by teenagers such as Snapchat and TikTok.

Why do social apps that chase young people frequently attract capital?

However, Instagram is finally about to enter the youth social circuit. Just in March this year, Instagram executives revealed that they are building an Instagram designed for users under 13 years old . This will even be their focus for the entire first half of the year. , This project will be in charge of Adam Mosseri, the head of Instagram, and will cooperate with Pavni Diwanji, who joined the INS parent company Facebook as a vice president last year. Diwanji was previously responsible for the YouTube Kids project at Google and will bring her to the product for children. Rich experience.

Although the specific details have not been disclosed, this app not only allows lower-age users to finally use Instagram, but also regards user privacy and security issues as a top priority. For a long time, Instagram has not done well enough to protect young users. Bullying, online violence, fraud and other situations frequently occur.

In March, Instagram also published an additional blog expressing determination, which stated that it will continue to focus on ensuring the safety of young people and ensure that users under the age of 13 are not allowed to use it, but the fact is that more and more young people have clearly failed Age will still register successfully, because Instagram sometimes doesn’t check the teenager’s ID card carefully. Mosseri was also questioned by netizens for hiding photos of his children on Instagram, saying: “Thousands of children post photos of themselves on Instagram, but you know to hide their children’s faces. You know what’s ulterior motive. Secret!?” It’s really a little thoughtful and scary.

Instagram’s move is not just for the privacy and security of teenagers, but also to make money for teenagers. If you take YouTube Kids as a lesson, when children grow up, they will not continue to use YouTube Kids, but will turn to YouTube. The content is more in line with their tastes of the platform, but it is crucial to cultivate their habits of using the same platform from an early age.

It is not difficult to see that security and protection issues are the top priority in youth socialization. The history of the anonymous voting software tbh , which was once on the cusp, can also give us some inspiration. This app is intended to allow everyone to praise classmates anonymously. Later, because of complete anonymity, a lot of bad words appeared, because when they weren’t responsible for what they said, teenagers often chose to speak uncontrollably. In 2017, Facebook acquired tbh, which had only 5 employees at the time, and wanted it to become It can be an important weapon against Snapchat, but after only one year, it had to be taken offline due to the low number of users.

Why do social apps that chase young people frequently attract capital?

Another interesting phenomenon is that the latest several hot youth social softwares have consistently chosen to avoid the model of selling ads in terms of profitability . Instead, they chose to pay for additional features. This not only proves the current controversy over user privacy in the entire network. Making teenagers more alert when it comes to being advertised, and even for brands, whether they can pass through the noise on social platforms to reach their ideal audiences is a problem; let alone new small apps that want to compete with large social platforms such as FB and YouTube. Just imitating their advertising model will not work.

Moreover, the model of paying for extra features can prove the weight of online socialization in the hearts of young people, because there has never been an era where the need to get the opportunity to connect with others sincerely is so hot.

In 2021, young people are willing to spend money for their sincerity. How these social software satisfy the most sincere social desires of this generation will greatly affect the ecology of social media in the next few years, and will even change our definition of the word “social”.

Reference materials:

1.Yubo could be the next big social app as it raises $47.5 million (TechCrunch)

2.These 5 apps are up-and-comers with Gen Z, report says (Fortune.com)

3.IRL is a new social network taking on Facebook groups (The Verge)

4.Facebook Is Building An Instagram For Kids Under The Age Of 13 (Buzzfeed News)

5.How Yubo’s Creators Designed An App For Gen Z And Gen Alpha (Forbes)

Posted by:CoinYuppie,Reprinted with attribution to:https://coinyuppie.com/why-do-social-apps-that-chase-young-people-frequently-attract-capital/
Coinyuppie is an open information publishing platform, all information provided is not related to the views and positions of coinyuppie, and does not constitute any investment and financial advice. Users are expected to carefully screen and prevent risks.

Like (0)
Donate Buy me a coffee Buy me a coffee
Previous 2021-07-19 06:41
Next 2021-07-19 06:57

Related articles