This web app uses cookies to compile statistic information of our users visits. By continuing to browse the site you are agreeing to our use of cookies. If you wish you may change your preference or read about cookies


Why Kik Messenger's Business Model is so successful?

Get all the answers

Kik Messenger’s Company Overview

Kik Messenger, also known simply as Kik, is a free instant messaging mobile app developed by the Canadian company Kik Interactive. Founded in 2009 by a group of students from the University of Waterloo, Kik has grown into a widely used platform with millions of users worldwide. Kik allows users to send and receive messages, photos, videos, sketches, mobile web pages, and other content after they register a username. It differentiates itself from the competition by emphasizing privacy and anonymity, as users can sign up with just an email address without the need to provide a phone number. Business Model: Kik's business model is based on offering a free, user-friendly platform for instant messaging. The company's primary focus is on providing a space for individuals, particularly teenagers and young adults, to communicate with friends and connect with others worldwide. Kik Interactive generates revenue through in-app purchases, advertising, and partnerships with brands and content providers. The app also offers a "Kik Points" feature, allowing users to earn points by watching ads and completing surveys, which can then be spent on themes and unique features. Revenue Model: Kik Messenger primarily generates its revenue through in-app purchases and advertising. Users can purchase various digital goods, such as stickers, emojis, and themes, enhancing their messaging experience. Additionally, Kik offers a unique advertising model. Instead of traditional banner ads, Kik uses 'Promoted Chats' where brands can chat with users, providing a more interactive advertising experience. The company also collaborates with brands for 'Bot' chats, where automated messages from brands interact with users. Furthermore, Kik's partnership with digital content providers allows it to receive a share of the revenue generated from users accessing paid content.

Country: Ontario

Foundations date: 2009

Type: Private

Sector: Technology

Categories: Communication

Kik Messenger’s Customer Needs

Social impact:

Life changing: affiliation/belonging

Emotional: fun/entertainment, provides access, design/aesthetics

Functional: connects, informs

Kik Messenger’s Related Competitors

Kik Messenger’s Business Operations


A credit arrangement is when a consumer purchases items on credit (without paying cash) and spends the provider later. Typically, trade credit is extended for a certain number of days after the products are delivered. These credits may be deducted from one's tax liability.


This approach generated money by sending promotional marketing messages from other businesses to customers. When you establish a for-profit company, one of the most critical aspects of your strategy is determining how to generate income. Many companies sell either products or services or a mix of the two. However, advertisers are frequently the source of the majority of all of the revenue for online businesses and media organizations. This is referred to as an ad-based income model.

Customer relationship:

Due to the high cost of client acquisition, acquiring a sizable wallet share, economies of scale are crucial. Customer relationship management (CRM) is a technique for dealing with a business's interactions with current and prospective customers that aims to analyze data about customers' interactions with a company to improve business relationships with customers, with a particular emphasis on retention, and ultimately to drive sales growth.

Customer data:

It primarily offers free services to users, stores their personal information, and acts as a platform for users to interact with one another. Additional value is generated by gathering and processing consumer data in advantageous ways for internal use or transfer to interested third parties. Revenue is produced by either directly selling the data to outsiders or by leveraging it for internal reasons, such as increasing the efficacy of advertising. Thus, innovative, sustainable Big Data business models are as prevalent and desired as they are elusive (i.e., data is the new oil).


A digital strategy is a strategic management and a business reaction or solution to a digital issue, which is often best handled as part of a broader company plan. A digital strategy is frequently defined by the application of new technologies to existing business activities and a focus on enabling new digital skills for their company (such as those formed by the Information Age and frequently as a result of advances in digital technologies such as computers, data, telecommunication services, and the World wide web, to name a few).


Freemium is the sum of the words free and premium and refers to a business strategy that provides both free and premium services. The freemium business model works by providing essential services for free and charging for enhanced or extra capabilities. This is a typical practice among many software firms, who offer imperative software for free with restricted functionality, and it is also a popular approach among game developers. While everyone is invited to play the game for free, extra lives and unique game features are accessible only once the player buys.

Mobile first behavior:

It is intended to mean that as a company thinks about its website or its other digital means of communications, it should be thinking critically about the mobile experience and how customers and employees will interact with it from their many devices. The term is “mobile first,” and it is intended to mean that as a company thinks about its website or its other digital means of communications, it should be thinking critically about the mobile experience and how customers and employees will interact with it from their many devices.


Micropayments are financial transactions involving a tiny amount of money that is frequently conducted online. While micropayments were initially intended to apply minimal amounts of money, practical systems allowing less than one dollar transactions have met with little success. One impediment to the development of micropayment systems has been the need to keep transaction costs low, which is impracticable when transferring such tiny amounts, even if the transaction charge is just a few cents.

Tradeable currency:

This pattern involves the creation of a digital asset and the establishment of a payment mechanism. Through this, the user earns points that may be used for other services.

Online marketplace:

An online marketplace (or online e-commerce marketplace) is a kind of e-commerce website in which product or service information is supplied by various third parties or, in some instances, the brand itself, while the marketplace operator handles transactions. Additionally, this pattern encompasses peer-to-peer (P2P) e-commerce between businesses or people. By and large, since marketplaces aggregate goods from a diverse range of suppliers, the variety and availability are typically greater than in vendor-specific online retail shops. Additionally, pricing might be more competitive.

Embed code:

Copy the code below and embed it in yours to show this business model canvas in your website.