Who Owns Hit Social App BeReal, and How It’s Funded
The BeReal app has become a major hit with college students. How does it make money? Does the company have publicly traded stock?
April 22 2022, Published 4:25 a.m. ET
BeReal has become a major hit with college students, and the photo-sharing app’s user base is growing rapidly. But how does BeReal make money?
The French app offers a new flavor of social media, and its fans see it as a relief from Facebook, Instagram, Snapchat, and TikTok. Although BeReal launched in early 2020, many are just discovering it now, in 2022.
How does the BeReal social app work?
You can download the app on an iPhone or Android device and create an account. The app will send you an alert once a day to share a photo of your current moment with friends. The app is designed so that when you hold up a smartphone, the front camera takes a picture of your face and the rear camera captures what’s in front of you. You’re not allowed to edit or make any improvements to the images. The goal is to capture real moments.
You have two minutes to snap a photo and share it with your friends. There is the option to post later, but your friends will see how late your post is. As you don’t know when the prompt to post something will come and the timing changes every day, one alert could catch you in bed and another could find you walking to a restaurant.
On platforms such as Instagram and TikTok, users often share polished pictures in a bid to stand out and draw a large following that they can leverage to promote brands at a fee. The competition to amass influence is stressful and can be annoying to non-influencers. BeReal appeals to those seeking an exit from that pressure, getting people to express themselves authentically.
How does BeReal make money?
Traditionally, social apps make money through advertising. In contrast, there are no ads on BeReal, and you don’t need to purchase a subscription to use the app—it’s free for everyone.
However, it's worth noting that platforms such as Instagram and TikTok initially focus on growing their audience before showing ads to make money. They usually start monetizing their audience after they surpass a billion users. Therefore, BeReal's approach to advertising could change down the road.
Who owns BeReal, and how is the app funded?
BeReal's founders are Alexis Barreyat and Kévin Perreau. With no revenue source, the app is currently funded by investors, including Web3 crypto backer Andreessen Horowitz, Accel, DST Global, Kima Ventures, and New Wave. It has raised at least $30 million from its backers.
Does BeReal have a stock?
BeReal doesn’t have stock yet, meaning interested investors will need to go through the private capital market. And for that, you to be an accredited investor, which requires a net worth of at least $1 million or a certain level of trading experience. BeReal stock may be publicly available someday, but its management hasn’t yet discussed IPO plans.
