The photo-sharing app BeReal has become a major success among Generation Z and beyond. With other major social apps vying to replicate parts of its no-frills ethos, it's amassed a war fund to work on its next phase. According to TechCrunch, the business secured a $60 million investment earlier this year. The money comes in a Series B round, and it values Paris, France-based BeReal at more than €600 million — just under $587 million at today's currency rates.
When the Information originally reported on some of the terms of this round, it stated a pre-money value of about $600 million. (Exchange rates are complicated right now; amid global economic uncertainty, the dollar is strong versus other currencies. The round's diameter had not before been published.)
According to a source, the firm currently has roughly 20 million DAUs. As of July of this year, the app has 7.9 million users, according to the Information. The data tend to show that, despite rival social applications' attempts to replicate the essence of the BeReal experience — a two-photo set captured from a user's front and back phone cameras, to be shared with pals at the same time each day — it isn't nothing like the real thing.
The numbers are still a small fraction of the users attracted by the world's largest social apps. Still, the speed with which BeReal has grown, and its traction with the key demographic of young adults, have been strong fillips for those other apps to pay attention to how they can bring the same kind of experience into their platforms. TikTok, Instagram, and Snapchat are among the other apps that have replicated the program. (The now-defunct FrontBack is not included in the list.)
BeReal, founded in 2019 by former GoPro employees Alexis Barreyat and Kévin Perreau, took off in earnest early this year, with its Gen Z user base propelling the app up the App Store rankings.
App analytics company Apptopia stated in April that BeReal's installations had increased by 315% per year. BeReal is easy to use: once a day, it sends users a reminder inviting them to take a dual picture, or a "BeReal" — a selfie and a front-facing shot taken simultaneously. In contrast to Instagram's manicured style, this service aims to present consumers with a more realistic picture stream. The photographs themselves vanish after 24 hours.
The app's popularity drew the attention of a variety of investors, culminating in a $30 million Series A headed by Andreessen Horowitz and Accel in June 2021.
The app was valued at $100 per day active user when the Information was reported on Series B earlier this year.
Yes, as one of our sources put it, many instances of early juggernauts fizzling out in consumer applications (sad waves to YikYak, Peach, Yo, and the rest). However, BeReal's rapid growth and ability to catch the attention of a certain set of users made it an appealing investment at this time.
It also occurred when the app was gaining widespread attention, as seen by its inclusion in an SNL spoof in October.
The major issue now is how BeReal intends to utilize the funds and what steps it will take next to improve its product.
The app has no financial model; however, the Financial Times reports that subscriptions may be considered. Sensor Tower data last month also revealed that, despite 53 million lifetime installations, just 9% of BeReal users on Android used the app daily. However, this does not correspond to real-world use since most of BeReal's primary user base – younger Gen Z users in the United States — use iPhones.
Featured image: BeReal
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