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26-Jul-2017 22:58

The company draws significant revenue, 30 percent of its sales, from this advertising model — which also include sticker sets which companies sponsor in order to make them available to users for free.Directly related to that, Line has pioneered stickers.In Thailand, for example, where Line is the largest chat app, Facebook actually has more active users.That ongoing touchpoint could be crucial in the future when Facebook decides to ramp up its efforts with Messenger outside of the U. and in the countries where Line is the top chat app, and other markets where Line believes it can grow.Line grossed more than

The company draws significant revenue, 30 percent of its sales, from this advertising model — which also include sticker sets which companies sponsor in order to make them available to users for free.Directly related to that, Line has pioneered stickers.In Thailand, for example, where Line is the largest chat app, Facebook actually has more active users.That ongoing touchpoint could be crucial in the future when Facebook decides to ramp up its efforts with Messenger outside of the U. and in the countries where Line is the top chat app, and other markets where Line believes it can grow.Line grossed more than $1 billion in sales for the first time in 2015, more 40 percent of which came from in-app purchases within its social games.

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The company draws significant revenue, 30 percent of its sales, from this advertising model — which also include sticker sets which companies sponsor in order to make them available to users for free.

Directly related to that, Line has pioneered stickers.

billion in sales for the first time in 2015, more 40 percent of which came from in-app purchases within its social games.

“Historically, we have depended on a small number of games for a majority of our mobile game revenues, and we expect that this dependence will continue for the foreseeable future,” Line admitted in a filing.

There’s an opportunity there, there could be major interest from bigger companies wanting a slice of the messaging space particularly in something with the potential to grow like Southeast Asia, but there is a huge and very obvious threat.

It’ll be fascinating to watch Line and Facebook spar in the future.

For example, Viber, the Rakuten-owned app, is fairly obscurely the top chat app in Myanmar simply because it became popular before the likes of Line and We Chat focused on the country.

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Line and others have poured vast sums of money into marketing their apps in the country but have found it hard to compete with the existing network effect that Viber enjoys there.That’s crucial for making money from messaging since just throwing ads into the mix will ruin the user experience, plus it builds a moat that helps keep users in the Line app ecosystem rather than rival apps.



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