Peeks Social Receives iOS approval and Relisting to App Store


TORONTO, March 26, 2019 (GLOBE NEWSWIRE) -- Peeks Social Ltd. (TSXV:PEEK) (OTCQB:PKSLF) (“Peeks Social” or “the Company”) is pleased to announce that the Peeks App has been approved by Apple and is once again available for download in the Apple Store. In addition to returning to the Apple Store, the Company is also pleased to announce that it has successfully negotiated with Apple the use of 3rd party payment processing services for purchases on the Peeks Platform. Previously Peeks was obligated to use Apple's in-app purchases at a cost of 30% per transaction and funds settlement period of 45 days. The high cost of in-app payments and the long settlement periods had resulted in a poor quality of service to users and a significant number of user complaints. Similarly, the Company has also migrated approximately 80% of its Android traffic from Google in-app payments to 3rd party payment processing services. Google's fees and settlement periods for in-app payments are similar to Apple; as such the benefits to the Company by virtue of moving to 3rd party payment processing services will be comparable.

The new payment processing services cost the Company 2.8% to 10% as opposed to 30%. Settlement periods are typically 2 business days or less. This provides the Company the ability to pay broadcasters more quickly and to provide users discounts on the purchase of content. Long payout cycles have been the main cause of broadcaster complaints and the main hindrance to rapid growth of the business. The faster settlement periods are allowing the Company to get caught up on backlogged broadcaster payouts and facilitating faster payouts to broadcasters.

It is management’s expectation that the user adoption curve as a result of migrating to 3rd party payment processing services, will result in a temporary decline in transaction volume on the Peeks Platform, followed by a subsequent increase in transaction volume. It is also management’s expectation that faster payouts to broadcasters and lower fees to viewers will result in significantly greater broadcaster retention, and subsequently; to a significant increase in overall spending on the Peeks Platform. The Company’s operating margin will also significantly increase as a result of lower payment processing fees.

Annual General and Special Meeting

The Company will be holding its Annual General and Special Meeting on May 31, 2019. Details of location and time will be released once the company finalizes arrangements.

David Vinokurov
Director Investor Relations


Source: Peeks Social Ltd.

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