Social App Poparazzi Discloses $15 Million Series A Round

Anti-Instagram

Last May, social app Poparazzi was launched and quickly skyrocketed to the top position on the App Store (APPL) as the startup’s platform gained traction with Gen Z users. Nearly all of those participating on the platform are younger than 22. The app differentiates itself from Big Tech social media companies, which have been shunned by younger people in some cases. Poparazzi logged over 5 million downloads in its first year.

The platform also approaches photo-sharing from a different angle than Meta’s (FB) Instagram, as users post photos to their friend’s profiles, rather than posting their own shots. That concept inspired the company’s name.

Benchmark-Led Round

Poparazzi disclosed it bagged $15 million in a series A round led by venture capital firm, Benchmark. This follows a $2 million Floodgate-led seed round the company secured in 2018.

Company founders, brothers Austen and Alex Ma, spent the three years since the initial funding to test out different ideas. They were able to validate consumer interest in the Poparazzi app by leaning on TestFlight, a service offered by Apple to developers. This market research revealed that high schoolers in particular could be a good target customer base.

Parents on Watch

Since going live, the app has made numerous upgrades and refinements such as privacy enhancements, content moderation, more flexible options for profile build-outs, and in-app challenges to drive engagement. Poparazzi CEO Alex Ma expects the fresh funding will support the company’s growth for more than two years.

The company is not alone in the Instagram-alternative space. Several others are seeking to carve out market share with younger consumers, such as HalloApp and BeReal. This will likely keep Poparazzi on its toes, all while parents of teens face a whole new group of social media platforms to be concerned about.

Please understand that this information provided is general in nature and shouldn’t be construed as a recommendation or solicitation of any products offered by SoFi’s affiliates and subsidiaries. In addition, this information is by no means meant to provide investment or financial advice, nor is it intended to serve as the basis for any investment decision or recommendation to buy or sell any asset. Keep in mind that investing involves risk, and past performance of an asset never guarantees future results or returns. It’s important for investors to consider their specific financial needs, goals, and risk profile before making an investment decision.
The information and analysis provided through hyperlinks to third party websites, while believed to be accurate, cannot be guaranteed by SoFi. These links are provided for informational purposes and should not be viewed as an endorsement. No brands or products mentioned are affiliated with SoFi, nor do they endorse or sponsor this content.
Communication of SoFi Wealth LLC an SEC Registered Investment Adviser
SoFi isn’t recommending and is not affiliated with the brands or companies displayed. Brands displayed neither endorse or sponsor this article. Third party trademarks and service marks referenced are property of their respective owners.
SOSS22060303