Inshorts

Inshorts Business Model: How Do They Make Money?

Inshorts has revolutionised the digital news landscape in India by pioneering bite-sized information model for online news consumers. Founded in the year 2013 by three IITians, Inshorts is leading news aggregator and content distribution platform which delivers concise news summaries in 60 words or less, without opinions and other fluff. Available as a mobile app, it carries both national and international news across categories like politics, business, entertainment, technology, sports, world news and more. Inshorts caters to the growing digital audience in India covering both English and Hindi-speaking users. It is basically designed for fast on-the-go consumption of daily news and is popular particularly among millennials and Gen Z. Wondering about the fundamentals of Inshorts? How does it operate? What are its revenue streams? Let’s delve into these details to satisfy your queries.

What Are The Pillars of Inshorts’ Business Model?

Inshorts

Inshorts operates an effective business model which is centred on around providing users with concise, engaging 60-word summaries of news articles. The news stories are curated from over 30 credible domestic and international sources and compressed into bite-sized content. Both human editors and AI tools are used to curate the stories. This model ensures that the users consume news in a quick and efficient manner, without any compromise on quality.

Inshorts caters to both readers and advertisers. Primary customer segment is made up of busy individuals like professionals who lack the time to read lengthy news articles but want to stay updated with the current events. Advertisers, on the other hand, get access to a large and diverse audience on the platform to promote their products and services.

Inshorts operates through its core mobile app and a public app. Inshorts App delivers short, succinct and personalised news updates to the users. Apart from news stories, the app also features stock market insights and explainers. Public App, on the other hand, is a video-based platform for posting and viewing hyperlocal news updates.

User acquisitions are through free app downloads via Play Store and App Store or OEM pre-installs in partnerships with smartphone manufacturers. It maintains a strong presence on various social media channels to reach a wider audience.

Company Inshorts Group
Establishment Year 2013
Founder Azhar Iqubal, Deepit Purkyastha and Anunay Arunav
Headquarters Noida, Uttar Pradesh, India
Industry Digital News, News Aggregator
Net Worth $550 million
Revenue In 2024 $21.7 million

How Does Inshorts Make Money?

1. In-App Advertising

Inshorts earns the bulk of its revenue from in-app advertising. In-app adverts are embedded into the news feed in the form of native ads, video ads and display banners. These appear as sponsored shorts every 5-10 cards, using geo-targeting and interest-based segmentation for higher relevance.

In-App advertising is the core revenue stream for Inshorts, accounting for 60-70% of the company’s total revenue.

2. Sponsored Content and Brand Collaborations

Inshorts earns revenue through sponsored content featuring the products or services of client brands. The sponsored content can be in the form of custom 60-word stories or integrations within the feed like branded explainers or product placements.

Inshorts also generates revenue by collaborating with companies to create and distribute content that enhance their brand identity and reputation. It partners with over 500 brands, including global giants like Netflix and Maruti Suzuki.

3. Other Revenue Sources

Inshorts offers affiliate links in finance/stock sections and also has tie-ups with e-commerce companies. Revenue is generated through commission on conversions. Furthermore, hyperlocal ads on its Public App also contribute to the revenue.

User Base and Reach

Inshorts has an active user base of over 10 million. Apart from India, the app serves audience in many other countries, including United Kingdom, United States, Canada and UAE. It is the highest rated news app in India, with an average rating of 4.5/5 on Google Play and App Store.

Inshorts’ users spend an average of 10 minutes daily on the app. Over 1 billion stories have been shared on the platform since its launch.

Funding and Financials

Inshorts has raised $164.9 million in funding across 9 rounds. Its latest funding round in July 2021 raised $60 million. Major investors include Tiger Global Management, A91 Partners and Vy Capital.

Inshorts reported a operating revenue of INR 181.4 crore in FY 2024, with a net loss of INR 227.8 crore. The net loss reduced from INR 309.7 crore in FY 2023, translating to a drop of 26%.

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