Sacra estimates that Framer reached $50M in annual recurring revenue (ARR) in August 2025, doubling from $25M in 2024. The company has set a target of $100M ARR by 2026.

Framer's revenue has grown rapidly since transitioning from a prototyping tool to a website builder. The company reported $10M ARR in 2023, a fourfold increase from its pre-pivot low of $2.5M in 2021. Prior to the pivot, Framer's prototyping tool peaked at $4M in revenue in 2019 before declining during the COVID-19 downturn.

Framer operates on a subscription SaaS model with tiered pricing. Self-serve plans range from $5-20 per seat, while business plans are priced at $50-200 per seat. The platform has approximately 500,000 monthly active users and an estimated 45,000-55,000 paying customers, resulting in an average revenue per customer of approximately $1,000 annually.

Enterprise customers now account for the majority of new accounts, with clients including Miro, Perplexity, and Scale AI. Framer has also gained traction in the startup ecosystem, with 40% of Y Combinator's Summer 2024 batch using the platform for their main websites. The company has achieved break-even operating status while sustaining strong growth.

Framer raised $100M in a Series D round in August 2025 at a $2B valuation. The round was led by Meritech Capital Partners, with participation from existing investors Atomico and Accel.

The company’s funding history includes early investments from BoxGroup and Foundation Capital. Framer raised $7.7M in a Series A round in 2017, led by Accel, followed by additional rounds that contributed to its progression toward the $2B valuation.

The Series D marks a substantial increase from prior valuations, coinciding with the company’s transition from a design prototyping tool to a comprehensive website builder. Framer has raised $161M across all funding rounds, providing capital to support its growth initiatives and international operations.

Framer is a visual website builder that integrates the design functionality of Figma with the publishing capabilities of a modern content management system. Users can begin with either a blank canvas or AI-generated wireframes, drag and drop elements such as text and images, and publish production-ready websites without requiring code.

The workflow starts with content creation through Wireframer, Framer's AI tool that generates fully responsive layouts based on text prompts. Users can also import designs directly from Figma using a one-click plugin or replicate live sections from existing websites via a browser extension.

The design interface replicates Figma's canvas, offering features such as auto-layout stacks, breakpoint management for responsive design, and advanced tools like 3D transforms and vector editing. The AI Workshop enables users to describe components in plain English and receive reusable elements with property controls.

Content management is facilitated through built-in CMS collections, which can bind to any design element, including vector graphics and icon libraries. The localization system supports AI-powered translation with pay-as-you-go pricing for multiple languages.

Publishing is instantaneous to a global CDN powered by AWS CloudFront, incorporating automatic image optimization, SEO pre-rendering, and staging environments. The platform includes Advanced Analytics with features such as click tracking, conversion funnels, and native A/B testing, which can be configured by right-clicking any page.

On-Page Editing allows non-technical team members to make content updates directly on the live website without accessing the design canvas, extending the platform's usability across marketing teams, legal departments, and country managers.

Framer operates a subscription SaaS model targeting design-focused teams that require the ability to ship websites quickly without relying on developer resources. The platform offers free plans for individual creators, mid-tier subscriptions for agencies and freelancers, and business plans for enterprises that include advanced collaboration features.

The company employs a primarily B2B go-to-market strategy, targeting design teams, marketing departments, and startups that prioritize visual control over their web presence. Enterprises now account for the majority of new customer acquisitions, reflecting a shift upmarket.

Revenue generation is driven by a combination of seat-based pricing and usage-based features, such as localization and advanced analytics. The freemium model encourages conversions by limiting access to certain features, while paid tiers provide collaboration tools, custom domains, and advanced publishing capabilities.

The business benefits from network effects as teams collaborate on shared projects and templates. Agencies use remix links for client handoffs, and enterprise customers expand adoption across departments via the On-Page Editing interface.

Framer's cost structure includes expenses for cloud infrastructure supporting global hosting and CDN delivery, as well as AI processing costs associated with the Wireframer and Workshop features. The company achieves strong unit economics by efficiently utilizing AWS infrastructure and focusing on high-value customer segments that support premium pricing.

Webflow leads this category with an estimated $200M ARR and strong enterprise adoption. The platform offers comprehensive CMS capabilities, e-commerce functionality, and a mature template marketplace. However, recent bandwidth pricing changes have drawn user criticism, creating migration opportunities for competitors.

Framer differentiates itself with a Figma-like interface and real-time collaboration features designed for design teams. Its AI-powered tools, such as Wireframer and Workshop, enable faster initial setup compared to Webflow's more manual workflows.

Squarespace competes with its Fluid Engine editor and established brand recognition among creative professionals. Despite this, Squarespace lacks the advanced design controls and developer-friendly features that appeal to Framer's target audience.

Bubble specializes in full-stack web and mobile applications with database logic and complex workflows. While it has introduced AI app generation tools, Bubble primarily serves users building functional applications rather than marketing websites, resulting in limited direct competition with Framer.

Unqork focuses on enterprise no-code applications in regulated industries such as financial services and insurance. Its emphasis on business process automation and compliance requirements places it in a distinct market segment from Framer's design-oriented platform.

Wix and Wix Studio compete on pricing and comprehensive AI toolsets, including image generation, copy creation, and site generation. With low-cost bundles under $20 per month, Wix appeals to a broad audience but lacks the advanced design controls and animation capabilities that distinguish Framer.

Canva's website builder leverages its extensive user base and design template library. While Canva effectively serves non-designers, Framer offers advantages in advanced layout controls, custom interactions, and professional publishing features.

Framer's AI features, including Wireframer, Workshop, and vector generation, target the broader $30 billion design software market beyond traditional website builders. These tools use single prompts to create branded components, copy, and animations, expanding the addressable market from basic web creation to comprehensive design workflows.

The addition of AI translation and localization features creates opportunities in the global content management market. Companies can launch multi-language sites without requiring separate CMS instances, appealing to European and APAC customers who often manage five or more locales.

Advanced analytics, including native A/B testing and conversion tracking, enable Framer to compete for marketing operations budgets that were previously allocated to specialized optimization tools. This development positions the platform as a complete marketing stack rather than a standalone website builder.

On-Page Editing reduces the skill barrier for content updates, allowing Framer to attract users such as marketers, legal teams, and regional managers who previously relied on design-focused tools. This expands the potential user base within existing customer organizations.

The enterprise focus has already yielded results, with companies such as Miro, Perplexity, and Scale AI adopting Framer for their primary web presence. Framer's penetration in Y Combinator startups provides a natural growth path as these companies scale and require more advanced web infrastructure.

Third-party integrations, such as Frameship's Shopify connector, address the e-commerce SMB market by enabling merchants to create branded storefronts without development resources. This addition fills a gap in Framer's current offering while leveraging its existing design capabilities.

Framer's Amsterdam headquarters and EU compliance certifications support its European expansion, where privacy regulations and localization requirements favor platforms with built-in international features. Offices in Barcelona and San Francisco provide 24-hour customer support, facilitating global growth.

The platform's traction with startups and scale-ups indicates potential in adjacent verticals such as professional services, creative agencies, and SaaS companies that prioritize brand presentation. These segments emphasize design quality over complex functionality, aligning with Framer's core strengths.

Competitive pressure: Webflow's established market position and enterprise-scale resources enable it to pursue aggressive feature development and pricing strategies that may constrain Framer's growth. As the market leader with substantially higher revenue, Webflow allocates significant investment toward AI tools, enterprise features, and customer acquisition to maintain its competitive edge against smaller entrants.

Technical complexity: Framer's design-first approach may face challenges in addressing the needs of users requiring advanced e-commerce functionality, complex databases, or custom integrations reliant on traditional development workflows. This tradeoff could necessitate a decision between preserving simplicity for designers or introducing features that increase complexity and potentially dilute the platform's core value.

AI commoditization: The standardization of AI-powered website generation across platforms poses a risk to Framer's differentiation through tools like Wireframer and Workshop. Larger competitors with greater resources may rapidly replicate or surpass Framer's AI capabilities, diminishing its advantages in speed and usability.