Discord has become a popular platform for millions of users around the world. What started as a simple communication tool for gamers has grown into a global platform used by a wide range of communities, businesses, and even educators.
Despite its popularity, one question remains: how does Discord earn money? Let’s take a closer look at Discord’s business model and the ways the platform generates revenue.
The Core of Discord: A Free Communication Tool
Discord offers free voice, video, and text chat features. This makes it appealing to users across various industries—whether for gaming, study groups, business teams, or even a Discord marketing agency looking to manage client communication. While the basic features are free to use, Discord offers additional paid services to help support the platform and provide enhanced experiences for users who want more.
So, how does Discord keep the platform running without charging everyone from the start?
1. Discord Nitro: The Paid Subscription Service
Discord offers a premium subscription called Discord Nitro. This is one of the primary ways Discord makes money. Users who opt for Discord Nitro get access to various extra features that improve their experience on the platform. These features include:
- Higher-quality video: Nitro users can stream in 1080p at 60 frames per second, making video calls and streams smoother and clearer.
- Custom Discord tags: Users can choose their own Discord tag, adding a personal touch to their account.
- Increased file upload limit: Non-paying users can upload files up to 8MB, while Nitro users can upload files up to 100MB.
- Animated emoji: Nitro members can use animated emojis, adding extra fun to the chat.
- Custom emoji for servers: Nitro subscribers can upload custom emojis for use across any server they belong to.
These benefits make Discord Nitro attractive to users who want to enhance their experience. Discord Nitro costs $9.99 per month or $99.99 per year. This steady subscription revenue helps Discord fund its development, server costs, and other expenses.
2. Discord Nitro Classic
In addition to the full Discord Nitro subscription, there is Discord Nitro Classic. This service is a lower-cost option at $4.99 per month. It offers fewer perks than the full Nitro subscription but still provides benefits like custom emojis, a custom Discord tag, and the ability to use your emojis across different servers.
By offering two levels of Nitro, Discord caters to users with different needs and budgets. Some users are willing to pay for the extra features, while others prefer a free account.
3. Server Boosts: Monetizing Communities
Another significant revenue stream for Discord comes from server boosts. A Server Boost allows server owners to improve the quality of their server by unlocking additional features, such as higher audio quality for voice channels and more customization options. Each server can have a maximum of 50 boosts, and a server needs at least two boosts to unlock all the premium features.
- How it works: Server Boosts are sold separately from Discord Nitro, allowing users to support their favorite communities. Each boost costs $4.99 per month. Users who have Discord Nitro already receive two Server Boosts as part of their subscription.
- Benefits for Boosting: When a user boosts a server, it receives perks that can benefit the entire community. These perks include improved audio quality, more emoji slots, and the ability to create a custom server banner. The server owner can use these features to improve the experience for all members, making the platform even more appealing to large communities.
By offering these boosts, Discord taps into the growing trend of paid digital content and community engagement, creating a system where users can directly support their favorite servers.
4. Discord’s Partnership with Game Developers
Discord also partners with game developers to bring in additional revenue. These partnerships often focus on integrating Discord with gaming platforms and promoting games to Discord’s vast audience. For example, Discord has a partnership with Xbox, which allows Xbox users to link their Discord accounts to share what they are playing with friends.
Additionally, Discord has occasionally worked with game developers to promote new titles. This partnership may include in-app advertisements, game-related features, and promotions targeting specific gaming audiences. Discord also features a game store, where users can purchase games directly from the platform. While Discord no longer operates its own game store, partnerships with developers still play a role in driving traffic and revenue to the platform.
5. Discord’s Role in the Streaming Industry
While Discord is primarily known as a communication tool, it also plays a significant role in live streaming. In 2018, Discord introduced a feature called Go Live, which allows users to stream games, videos, or other content to a small group of friends or a larger community.
By offering streaming tools, Discord taps into the growing popularity of live streaming on platforms like Twitch and YouTube. However, Discord’s focus is on a more private, community-centered approach. Users can easily create private streams within their servers, making it a great tool for groups of friends, guilds, or niche communities to share content in real time.
For Discord, this feature doesn’t just increase user engagement but also presents an opportunity for potential partnerships with content creators and influencers. While streaming is not a direct revenue source, it adds value to the overall platform, making it more attractive to users and, indirectly, to potential advertisers or sponsors.
6. Discord’s Monetization of Data and Ads
Unlike other platforms, Discord does not rely heavily on ads to generate revenue. The platform has remained ad-free, which many users appreciate. However, Discord collects user data, like any online platform. This data can be used to improve user experience, target features more effectively, and enhance its paid services. Discord may also use this data for potential ad partnerships in the future, though it is unlikely to flood the platform with ads.
The focus has been more on providing a seamless and engaging experience for its community, which might help Discord avoid the frustrations many users have with other platforms that rely on heavy advertising.
7. Discord’s Future Monetization Plans
While Discord’s primary business model revolves around subscriptions, server boosts, and partnerships, the company has occasionally hinted at future opportunities for further revenue generation. Discord is still a relatively young platform, and its monetization strategy could evolve over time.
Potential avenues for future monetization include:
- Advertising: While Discord remains ad-free for now, there’s always the possibility of incorporating ads in a non-intrusive way, such as sponsored content in relevant communities.
- Creator Economy: With the rise of content creators and influencers, Discord may look to introduce more tools to help creators monetize their communities. These tools could include features for paid access to exclusive content, merchandise sales, or donations.
Although Discord has not yet fully explored these areas, they present opportunities for growth in the coming years.
Conclusion
Discord has built a strong business model based on user engagement and community-driven features. With its premium subscription service, Discord Nitro, and its monetization of server boosts, Discord generates revenue while maintaining a free experience for the majority of users. Partnerships with game developers and integration into the streaming world help enhance the platform’s value while diversifying its income streams.
Although Discord has not leaned heavily into advertising, its future plans may involve exploring new ways to further monetize its user base. For now, Discord’s balance of offering free access to essential features while providing paid options for those who want more helps ensure its continued growth and success.
