Australian graphic design company Canva is venturing into the European market with a new headquarters in London.
As it faces competition from tech giants like Adobe and Microsoft, Canva believes it is uniquely positioned to overcome industry challenges and attract both individual and enterprise users with its suite of AI-backed tools for creating websites, according to CNBC.
A woman uses a laptop on April 3, 2019, in Abidjan. - According to the figures of the platform of the fight against cybercrime (PLCC) of the national police, nearly one hundred crooks of the internet, were arrested in 2018 in Ivory Coast
Canva Cites Profitability
In the face of rising borrowing costs and a gloomy economic outlook, many tech firms have been compelled to downsize their workforce over the past year. However, Canva's co-founder and CEO, Melanie Perkins, remains optimistic about the company's prospects, citing its profitability over the last six years and strong cash balance as key factors contributing to its resilience.
Canva's design suite offers a range of free and paid tools for website design, presentations, and social media content creation. Its annualized revenues for the year up to May amounted to $1.5 billion, with a substantial $700 million held in cash reserves.
Europe represents a significant portion of Canva's user base, with 16% of its 135 million global users located in the region. While 15% of users are paid subscribers, including 14 million individuals and 6 million businesses such as WPP, Unilever, and Rolls-Royce, Canva aims to drive growth in both user segments.
Canva's affordability has been crucial in attracting users amid economic uncertainty. Even during periods of economic instability, users have increasingly turned to Canva's platform rather than abandoning it, resulting in steady growth.
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Canva's Business Expansions in Europe
The company's strategic business expansions in Europe have bolstered its product offerings and enhanced its core product experience. Acquiring London-based Flourish, known for its data visualization capabilities, has provided Canva with a data storytelling product widely adopted by organizations ranging from the BBC to Google and Accenture.
Canva's image and video background removal features and bulk create functionality have been empowered by the Visual AI tool Kaleido. Smartmockups, based in the Czech Republic, has led the development of Canva's product and printing mockup features.
In Europe, Canva has witnessed increased engagement from individual users, with the UK boasting a significantly higher percentage of small businesses utilizing the platform than the global average. Moreover, renowned European companies like BBC, L'Oréal, Unilever, Bosch, and Rolls-Royce have embraced Canva's products.
To strengthen its European presence, Canva has inaugurated its first European Campus in London's vibrant Shoreditch neighborhood. The campus embodies a distinct British ambiance, featuring meeting rooms named after types of biscuits, an office library, locally roasted coffee beans, brewed craft beer, and picturesque views of the leafy square.
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