Platform dependency and traffic diversification, AI platform strategy and partnerships, impact of economic uncertainty and AI opportunities, issues with platform strategy and macroeconomic conditions are the key contradictions discussed in BuzzFeed's latest 2025Q2 earnings call.
Transformation and Direct Audience Focus:
-
reported
69.9 million hours of U.S. time spent across its properties in Q2, marking a
3% increase quarter-over-quarter, making it the only company in its competitive set to grow in this period.
- The increase was driven by a shift to direct and diversified audience sources, with direct visits, internal referrals, and app usage now making up
61% of BuzzFeed's O&O traffic.
Revenue Growth and Diversification:
- Total revenue for the quarter was
$46.4 million, up
13% year-over-year, driven by a fourfold increase in studio revenue, a
23% increase in organic affiliate commerce, and an
11% increase in programmatic advertising.
- The growth was attributed to the company's focus on scalable tech-enabled business lines and reducing platform dependencies.
Platform Diversification and IP Development:
- The studio business reduced its dependence on
and
, diversifying into additional platforms and focusing on IP development and long-form content.
- This strategy led to strong improvements in the mid-form video business, with passive revenue rising
40% year-over-year, supported by significantly higher RPMs.
Audience Engagement and Loyalty:
- Nearly half of BuzzFeed and HuffPost daily users return more than once a week, and log-in users on buzzfeed.com have tripled over the past 2 years.
- The increase in engagement and loyalty was due to investments in owned properties, diversifying distribution sources, and leveraging new AI technologies.
BF Island and AI-Native Social Media:
- BuzzFeed is developing the BF Island app, a potential AI-native social media platform, with an early prototype already showing promising results.
- The initiative aims to liberate from platform dependencies and provide an escape from the negative aspects of current social media platforms, catering to consumer demand for alternatives.
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