zoom-revenue

Zoom Revenue

Business / By / June 8, 2023

Zoom passed $4 billion in revenue in 2022, compared to over $2.6 billion in revenue in 2021 and over $622 million in 2020.

Zoom leverages what we call a freeterprise business model, where the company leverages a free product to bring in as many users as possible.

However, it employs a qualified salesforce to turn these free users into paying enterprise customers.

freeterprise-business-model
A freeterprise is a combination of free and enterprise where free professional accounts are driven into the funnel through the free product. As the opportunity is identified the company assigns the free account to a salesperson within the organization (inside sales or fields sales) to convert that into a B2B/enterprise account.

Key Stats

  • Revenue increased from $60.8 million in 2017 to $4.1 billion in 2022, representing a CAGR of approximately 287%.
  • Net income increased from a loss of $14,000 in 2017 to $1.38 billion in 2022, indicating significant profitability for the company.
  • Revenue per employee increased from $194,193 in 2019 to $604,076 in 2022, indicating significant growth in productivity and efficiency.
  • The revenue and net income trend show significant growth year-over-year, indicating that the company is successfully expanding its market share and generating significant profits.
  • The trend in revenue per employee shows that the company is becoming increasingly productive and efficient, likely due to investments in technology and automation.
  • The significant increase in revenue, net income, and revenue per employee suggest that the company invests heavily in growth strategies.

Related Visual Stories

Who Owns Zoom?

who-owns-zoom
Zoom’s principal private shareholders comprise Eric S. Yuan, a Chinese-American billionaire businessman that founded Zoom. Dan Scheinman, board member and angel investor in Zoom since the start, and Santiago Subotovsky, also an early investor in Zoom. Zoom follows a freeterprise business model where free accounts are channeled into enterprise customers.

Zoom Competitors

zoom-competitors
Zoom is a video platform, which enabled remote working. As such it competes with other large tech players like Google and Microsoft for the productivity space, and other startups like Slack and Go-To-Meetings.

Zoom Business Model

zoom-business-model
Zoom is a video communication platform, which mission is to “make video communications frictionless.” Leveraging on the viral growth from its freemium model, Zoom then uses its direct sales force to identify the opportunity and channel those in B2B and enterprise accounts. 

Zoom Revenue

zoom-revenue
Zoom passed $4 billion in revenue in 2022, compared to over $2.6 billion in revenue in 2021, and over $622 million in 2020.

Zoom Profits

zoom-profits
In 2022, Zoom generated over $1.37 billion in profits, compared to over $672 million in profits in 2021. Zoom has been profitable since 2019.

Zoom Employees

zoom-employees
By January 2022, Zoom had 6,787 employees, compared to 4,422 employees in 2021.

Zoom Revenue Per Employee

zoom-revenue-per-employee
Zoom generated $604K per employee in 2022, compared to $599K in 2021, and almost $246K in 2020.

Freeterprise

freeterprise-business-model
A freeterprise is a combination of free and enterprise where free professional accounts are driven into the funnel through the free product. As the opportunity is identified the company assigns the free account to a salesperson within the organization (inside sales or fields sales) to convert that into a B2B/enterprise account.

More Resources

About The Author

Gennaro is the creator of FourWeekMBA, which reached about four million business people, comprising C-level executives, investors, analysts, product managers, and aspiring digital entrepreneurs in 2022 alone | He is also Director of Sales for a high-tech scaleup in the AI Industry | In 2012, Gennaro earned an International MBA with emphasis on Corporate Finance and Business Strategy.
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