(2021-08-25) Cocoon Cocoons Team Is Joining Substack

Substack acqui-hires team behind subscription social app Cocoon – TechCrunch

Cocoon’s initial pitch was for a social network for your closest friends, something that could level-up the text group chat you may have been stuck using before; over time, Cocoon evolved its platform’s dynamics to allow for more open social circles that users could fine-tune at will. 2019-11-26-CocoonsSocialAppForCloseFriendsGetsVcBackingToChasePathsDream

Cocoon didn’t rely on advertising or user data to monetize, instead pushing users to pay for a $4 monthly subscription

Cocoon • Cocoon's team is joining Substack

The app itself won't come along with the acquisition and will remain up and running as an independent company.

We started Cocoon because we believed that there was a missing space on the internet — a private space, for just our most important relationships. It wasn't that hard to imagine how an ideal space should work. The reason it didn't exist already was simply because the advertising business model wouldn't let it.

The starting premise of Cocoon was simple. Build a space worthy of our closest relationships, and pair it with the only business model that makes sense: charging directly for the product.

The first version of the app was designed specifically for long-distance families and only worked on iOS.

*After the dust settled from our initial launch and the pandemic hit with full force, it became clear that some of the most retentive users of the app were not just long-distance families.

Close friends, couples, and even support groups were using Cocoon as a hideaway from social media and messaging.*

Over the past two years, we've evolved from a niche app for long-distance families into a private social network for your closest relationships.

Recently, we took the long-planned step of turning Cocoon into a paid product.

We have been following Substack closely since day one as a best-in-class example of how a paid subscription model can unlock another obviously valuable experience.

The more we got to know the team at Substack, the more excited we became about the idea of accepting their offer to acquire our team.

Cocoon will stay up and running, and the focus of the product won't change. The app will remain independent. As the app moves away from a venture-backed model, the costs to maintain and develop the product will drop significantly.