GoPro unveils 'Quik' app that lets you edit photos, videos

GoPro CEO and Founder Nick Woodman joins the Yahoo Finance Live panel to discuss the latest outlook for GoPro amid the coronavirus pandemic.

Video Transcript

ADAM SHAPIRO: Shares of GoPro are trading higher as we head toward the closing bell, and we're going to talk about why they're going higher and their new app for GoPro users with Nick Woodman. He is not only the CEO, he's the founder of GoPro. Good to have you here. Tell us what Quik does. And you don't have-- do you have to have a GoPro to use it? I think it opens up the universe, doesn't it?

NICK WOODMAN: Yeah, that's right. Quik is the first product that we've made that isn't tied to the sale of a camera, to the sale of a GoPro camera. So Quik is intended to help everyone with a smartphone or any camera get more out of their personal photos and videos. The easiest way to think about it is it acts as a private Instagram of sorts, and it solves the problem of the black hole of your phone's camera roll.

So instead of losing track of your favorite shots, as has been the case since the dawn of the smartphone, you can now share your favorite photos and videos directly to the Quik app, and they'll show up in your own private Mural feed so that you never lose track of a great shot again.

And then behind the feed is a suite of powerful, yet simple to use editing tools that make it easy for you to customize and personalize your shots. You can create automatic highlight videos of your footage. And ultimately, the Quik app, you know, does what, I think, all of us have been yearning for, which is provides a simple solution for us to finally make sense of the vast number of photos and videos that we all have on our phones.

SEANA SMITH: And Nick, this app certainly gives you access to a wider audience. What's the growth opportunity there? And also, are you looking to convert some of these app users to the more traditional GoPro users? Are you looking to convert some of them into buying your cameras?

NICK WOODMAN: Well, we think it's an enormous TAM opportunity because it's tough to go ask someone, A, do you have any frustration with the number of photos and videos you have on your phone? And your phone's camera roll, that's something of an abyss. You know, we all know that feeling of capturing a great image and wistfully looking at it before you close out of your camera roll, knowing that you're not likely to see that photo or video anytime soon, if ever again, at all.

So given that this is such a widespread common problem amongst everybody with a phone, we think it's a significant TAM opportunity. And then once we're helping people do a better job of managing and engaging with their personal content, of course, there's additional services and ways to solve problems for those users as well. And given that it's tied to an annual subscription revenue that has high margin, high recurring revenue and margin for GoPro, it's a significant opportunity for our business.

Your question about our desire to convert these Quik app users over time to become GoPro camera owners, that's a great opportunity and one that we have to earn. But we do think that if we help you get more out of the shots that you're capturing with your smartphone, then over time, we can increase your passion for digital capture and content sharing and so forth. And that creates a growing relevance--

ADAM SHAPIRO: Nick--

NICK WOODMAN: --for our cameras.

ADAM SHAPIRO: Nick, for a Luddite like me, could I upload, if I were younger, something I created on Quik, say, to TikTok? Or is this in direct-- eventually in direct competition with TikTok?

NICK WOODMAN: Yes, you can share to all the popular social platforms directly from the app. So it's not a walled garden, by any means. The Quik app is really meant to serve as a private feed for you so that it's a place where you can celebrate your best shots, celebrate your life experiences in a private setting. You don't have to ask yourself if you want this image or this video to be social. It's just for you. But yes, it's easy to share to social platforms directly from the Quik app. And in this way, we're seeking to have the Quik app support your social life, but be a private haven for your personal footage.

SEANA SMITH: Nick, how has TikTok affected your business, though? Because we all have seen the videos. People will do anything for the best video out there. You would think that maybe it would increase demand for your cameras. Have you seen that?

NICK WOODMAN: Well, it's difficult to say if it's TikTok per se. But GoPro's business is growing, as you know. We've fortunately weathered the pandemic quite well with our shift to being a more direct to consumer business and shift to making the GoPro subscription experience more central to both our customers' experience, as well as our business model. So there's a number of factors that are really helping our business today.

But without question, the more social that people are and the more important engaging photos and videos of themselves are to them expressing themselves on these social platforms, that's certainly a positive momentum builder for our business.

ADAM SHAPIRO: Nick, one of the things I dislike about my Apple iPhone, when I sync a photo, if it's deleted from another device in the Apple sync, I lose the photo forever. And I sometimes back up onto the computer the photos. If I were to cancel the subscription with GoPro and I'm using Quik, would I lose my photos?

NICK WOODMAN: No, we will give you the ability to pull your content out of the Quik app. And I should mention that a feature that's coming later this year that will be included on the $10 a year subscription or $1.99 a month subscription, is that any photos and videos that you share to the Quik app and add to your personal feed, those will be backed up in the cloud at their original quality. And you will have access to pull those out and pull those into another collection if you want. So you'll always have access to your source content at its original quality.

ADAM SHAPIRO: All right, Nick Woodman is GoPro's CEO and founder. We appreciate your joining us here on Yahoo Finance Live.