Creatd Launches Its Biggest Ever Challenge, Expected to Drive Vocal+ Membership Growth

Rhea-AI Summary

Creatd, Inc. (Nasdaq CM: CRTD) has launched the Vocal+ Fiction Awards, its largest Challenge to date, promoting creativity among its diverse storytelling community. There are no restrictions on genre or theme, allowing creators to submit original fiction freely. The Challenge will award $5,000 to each of 25 winners, who will also be featured in a forthcoming book by Creatd Studios. Creatd reports growing subscription revenues, reaching $620,000 in the last quarter, anticipating Q4 revenues between $800,000 and $1,000,000, thanks to nearly 1.2 million freemium users and innovative adoption strategies.

Positive

• Launch of Vocal+ Fiction Awards expected to engage diverse storytelling community.
• Awarding $5,000 to each of 25 winners incentivizes creator participation.
• Anticipated Q4 revenues between $800,000 and $1,000,000 indicate strong growth potential.
• Reported gross revenues from subscriptions increased from $319,000 (Q1) to $620,000 (Q3).
• Nearly 1.2 million freemium users provide a strong foundation for growth.

Negative

• None.

NEW YORK, Oct. 14, 2021 /PRNewswire/ -- Creatd, Inc. (Nasdaq CM: CRTD) ("Creatd" or the "Company"), the parent company of Vocal, has announced the launch of The Vocal+ Fiction Awards, the Company's highest-value Challenge to date. The Challenge is a joint effort between Creatd Labs and Creatd Studios, two of the Company's four key Pillars. Creatd Labs houses the Vocal platform and its other technology, while Creatd Studios focuses on production and publishing ventures that draw from Vocal-powered stories and communities.

Deviating from Vocal's traditional Challenge format, there is no prompt, genre, or theme that creators must adhere to in order to submit their stories for consideration. Instead, all eligible creators are invited to submit their original fiction stories, utilizing any themes or genres of their choosing. In this way, the Vocal+ Fiction Awards are designed to unleash the full creative power of Vocal's creators, by leveling the playing field and encouraging participation from across Vocal's highly diverse community of storytellers.

The Challenge will award $5,000 each to 25 selected winners. Additionally, the winners will receive the opportunity of inclusion in Creatd Studio's first ever book—a short story compilation featuring the winning Vocal+ Fiction Awards entries. The Company will share further details on Creatd Studios' publishing efforts in a later update, and currently anticipates the book release to occur in the spring of 2022.

Commented Justin Maury, Creatd's COO and co-founder, "This Challenge represents the largest value proposition to date offered to our creator community. With the exciting new features in our product roadmap and upcoming offers for freemium creators, we expect to see a significant ramp-up in Vocal+ adoption during the remainder of the year."

Commented Creatd co-CEO and founder, Jeremy Frommer, "In the first quarter of this year, we generated $319,000 of gross revenues from Vocal+ creator subscriptions. This was followed by $479,000 in gross subscription revenues generated for second quarter, and $620,000 for the recently ended third quarter."

Vocal, Creatd's flagship platform and creator community, operates on a freemium-to-premium model to drive Vocal+ conversions, and Creatd's subscription-based revenues. Vocal's freemium creators are able to create a Vocal account for free and utilize Vocal's core functionalities—including storytelling tools, moderation support, and community features—at no cost, or choose to upgrade to Vocal+ for access to premium features and increased economic opportunities. The Company expects its freemium-to-premium conversion rate to grow this quarter through a variety of planned efforts, including free trials of Vocal+ offered to key segments of Vocal's freemium creator base.

Continued Frommer, "For the fourth quarter, we are on track to generate between $800,000 and $1,000,000 in gross revenues from Vocal+ creator subscriptions alone. None of this would have been possible without reaching nearly 1.2 million freemium users, which has provided us the critical mass we needed to begin implementing increasingly innovative and repeatable strategies for continued Vocal+ expansion."

About Creatd

Creatd, Inc. (Nasdaq CM: CRTD) is a creator-first technology company and the parent company of the Vocal platform. Our mission is to empower creators, entrepreneurs, and brands through technology and partnership.

For news and updates, subscribe to Creatd's newsletter: https://creatd.com/newsletter

Investor Relations Contact: ir@creatd.com

Forward-Looking Statements

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SOURCE Creatd, Inc.

FAQ

What are the Vocal+ Fiction Awards launched by Creatd (CRTD)?

The Vocal+ Fiction Awards is a Challenge that allows creators to submit original fiction stories without genre or theme restrictions, with 25 winners receiving $5,000 each.

When does Creatd expect to release the book featuring the winning entries?

Creatd anticipates releasing the book featuring winning entries in the spring of 2022.

How much revenue did Creatd (CRTD) generate from Vocal+ subscriptions in Q3 2021?

Creatd generated $620,000 in gross revenues from Vocal+ subscriptions in the third quarter of 2021.

What is the expected gross revenue for Creatd (CRTD) in Q4 2021?

Creatd expects to generate between $800,000 and $1,000,000 in gross revenues from Vocal+ creator subscriptions in the fourth quarter.

How many freemium users does Creatd (CRTD) have?

Creatd has nearly 1.2 million freemium users on its Vocal platform.