Friday, June 14, 2024
HomeInternationalAustralian Startup Canva's Growth Accelerating During Downturn

Australian Startup Canva’s Growth Accelerating During Downturn

Canva Pty. Ltd., an Australian design software startup, said that its growth has surged despite macro headwinds affecting other tech companies. 

According to co-founder Cliff Obrecht, with global inflation still increasing, enterprise customers have turned to Canva as a less expensive solution that enables task consolidation on a single platform. 

Over 30 days through the middle of March, Canva added 10 million new active users to its website, bringing its total to 125 million.

“A lot of organizations are like, ‘hey, I don’t need to be paying these four subscriptions.’ To enable all their knowledge workers to scale on-brand designs, they look at the figures, and it’s just a no-brainer,” Mr. Obrecht said in an interview with The Wall Street Journal.

Several users were from enterprise markets, which Canva targeted with the launch of a product suite in September 2022 that included website design and presentation tools. It introduced AI-powered tools across its suite this month.

Canva customers include HubSpot Inc. and Zoom Video Communications Inc.

Canva was established in 2012, but it took five years to get its first 10 million users.

According to co-founder Melanie Perkins, Canva has been profitable since 2017 and generates $1.4 billion in annualized revenue.

Major investor Blackbird Ventures estimated its value at $26 billion last year.

Canva has increased its workforce by more than 50% to over 3,500 over the last year, while startups and tech giants alike have been cutting costs and jobs to satisfy investors’ rediscovered love of profits.

“Often these companies grew too fast, and they’re right-sizing, so there’s a lot of great talent on the market, and we’re certainly welcoming them in with open arms,” Mr. Obrecht added.

Subscribe To Newsletter

ICYMI

BRL Editor
BRL Editorhttps://businessreviewlive.com
Business Review Live covers finance, technology, travel, lifestyle, and everything in between through exclusive interviews and analysis, market statistics, digital video, and an expanded array of content formats.