6 Reasons Why Business Owners Should You Care About the New Clubhouse App

Clubhouse is the newest, buzziest social media app around. It was launched in April 2020 by Paul Davison and Rohan Seth of Alpha Exploration Co. In just one month the networking app was valued at $100 million, and by January 2020 the valuation reached $1 billion.

If you’re just learning about Clubhouse, you’re not alone.

Clubhouse is an invite-only social media app that allows users to launch or drop in on “Rooms” — or audio-only chat rooms with friends, followers, or the general public. Each room has a different topic, often hosted by an expert or pioneer in the field. There are no videos, no pictures, and hardly any text. It’s all just audio. To join the app, users must have an iPhone and receive an invitation from a Clubhouse member.

Users can gather in rooms to discuss a variety of topics like finance, weight training, wellness, politics, networking, or business. Participants can see who is talking and who is listening, and rooms sometimes hold thousands of users at a time. The exclusivity of Clubhouse offers a sense of security for high-profile users and allows for interesting conversations. MC Hammer is known for hosting rooms about cryptocurrencies, while Kevin Hart drops in on debates about whether he is even funny.

Unlike other platforms, Clubhouse is private and hierarchical., and also focuses on audio rather than text or images. Moderators oversee discussions and can kick people out or allow them to partake in conversation. Some have compared the app to a party line or a podcast that allows audience participation.

Early on the app was used by Silicon Valley tech workers and venture capitalists that wanted to connect during the early stages of the pandemic. While the app has 10 million weekly users at the time of this writing (continuing to balloon), it began to build buzz with high-profile users like Drake, Oprah Winfrey, Mark Zuckerberg and Elon Musk.

How Can You Join?

Clubhouse is only available on iOS and you must be invited by a current user to join. Each user that is invited to join can then invite more users. Some people are so desperate to join that they’re purchasing invites for up to $20,000 on eBay.

However, Clubhouse has suggested that the app will be open to a wider audience soon, although no date or exact information has been released.

6 Reasons Why You Should Care About Clubhouse

Clubhouse has formed a reputation by allowing access to conversations hosted by big names like Elon Musk and Mark Zuckerberg. Recently, Musk even invited Vladimir Putin to have a conversation on the app. However, there may be intriguing opportunities for businesses to build trust with clients, and users may benefit from some form of monetization in the future.

  1. The ability to have candid, back-and-forth discussion on Clubhouse presents a very different kind of dialog than you would find on Twitter or Facebook. The intimacy involved in the one-on-one conversations make it nearly impossible to troll or gaslight, which text-based networks like Twitter now suffer from. Clubhouse opens the door to very fruitful discourse, especially between brands and their consumers.
  2. Brand authenticity has become more important in today’s volatile world. Consumers and business partners seek trust, and a candid conversation on Clubhouse could work well for people and companies that choose to engage with partners and clients. While entering a live, unscripted conversation may sound nerve-wracking, it will go a long way towards forming more authentic relationships with your business partners and your customers.
  3. Content on Clubhouse can get very creative. People are still discovering exactly what the app can be used for – and it can offer much more than discussions on business and news. There was recently a room that hosted an audio-only performance of Disney’s The Lion King, and a new cocktail brand hosted a room that encouraged people to make a cocktail and join a conversation with no specific topic at all. Because Clubhouse is so new, brands have the ability to experiment and find what’s truly engaging to their audience.
  4. Thought leadership will blossom on Clubhouse. The original idea behind the app was to share tips, exclusive information and insider knowledge. This content will not disappear from Clubhouse, so business owners and industry leaders can use this as a way to build relationships, share knowledge, and launch themselves into better positions.
  5. The pandemic has proven that people want to engage in different ways. Audiobooks, podcasts and webinars grew in popularity over the last year, and one reason may be screen fatigue. People can only endure so many Zoom meetings or virtual events. It’s refreshing to sit back, close your eyes, and listen. Clubhouse offers a mental break from a nonstop torrent of activity delivered behind screens. The platform also offers greater opportunity for personal connection through live content. This is a refreshing move away from the impersonal communication that we’re now accustomed to.
  6. According to mobile-app analytics research firm App Annie, Clubhouse reached No. 1 at Apple Inc.’s App Store in more than 30 countries this year, meaning it is now a more popular download than Instagram, TikTok, Zoom or WhatsApp in those markets. Clubhouse is coaxing more than just English-speaking users, and the app is thriving in places like Germany and Japan. Lastly, there’s also a curious but profound affinity for Clubhouse in areas with more autocratic governments, such as the Middle East, Central Asia and Eastern Europe. Downloads in those areas have surged in recent weeks because citizens can come together and discuss topics that would be too difficult to speak about in public. This just goes to show the vast reach and potential that the app offers.

It’s too early to tell what Clubhouse will morph into. While it offers a lot of promise, audiences still remain very limited and the app itself could face fierce competition from other audio-based apps.

For the time being, it is worth exploring and getting familiarized with. Some companies might thrive on it while others may not find the right fit. Even if you can’t find yourself an invitation, please don’t hesitate to contact us to learn more about Clubhouse Marketing and how it might benefit your organization’s digital marketing efforts.

We provide digital marketing services, as well as Lead Capture tools.  We’re always happy to answer questions. Contact us today to grow your traffic, leads, and sales.