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Oof, that is a staggering quarterly loss, how long will investors be willing to tolerate that when there are competitors active now in that industry, mainly ins
by ProAm 9y ago
Oof, that is a staggering quarterly loss, how long will investors be willing to tolerate that when there are competitors active now in that industry, mainly instagram.
- sjg007 9y agoThe kids still snapchat so... me thinks a while.
- tim333 9y agoThey've got money in the bank for another year and a half or so at that rate so it'll go on a while at least.
- giarc 9y agoWhat kids? Kids with credit cards or kids where most purchases are made by parents and therefore hard to link back to ads shown on SnapChat? I'm in my 30's and don't know too many people that use SnapChat... so when people say "young kids use SnapChat" I'm not sure if that means 13-18 year olds or 18-29 year olds or something.
- FreakyT 9y agoGenerally, I've found the SnapChat-using demographic is today's college and high school kids so, I'd say in the 15 to 22-ish range.
- big_youth 9y agoCompletely anecdotal but every time I go to 'youth' events. Music festivals, University Football games, concerts, the gym, these past Halloween parties, all I see are young people with Snapchat constantly running. I'm 28 and only a few of my friends are heavy users but most people younger than me have accounts. I've met several girls who are weirded out that I don't have a snap.
- nl 9y agoAverage revenue per user (ARPU) – ARPU was $1.17 in Q3 2017, an increase of 39% over Q3 2016 when ARPU was $0.84. ARPU increased 12% over Q2 2017 when ARPU was $1.05. It's brands with credit cards and "kids" with eyeballs. It's a promotions/advertising play.
- spike021 9y agoI'm 25 and many friends still use Snapchat. I think the trend is slowly moving to Instagram (which I prefer), but the usage with Snapchat still exists for sure.
- addicted 9y agoThis is like that Silicon Valley episode, where the only users are underage who are gonna get you fined per use. That's basically SNAP's audience. Young kids who you cannot monetize, and obviously cannot build billion dollar companies on. Maybe once they grow up they will be valuable, but (a) can SNAP wait that long and (b) will those users stick to SNAP once they've grown up?
- weej 9y agoChild Online Privacy Protect Act = COPPA https://www.ftc.gov/enforcement/rules/rulemaking-regulatory-reform-proceedings/childrens-online-privacy-protection-rule https://www.ftc.gov/enforcement/rules/rulemaking-regulatory-...
- gkoberger 9y agoMy data is anecdotal, but Snapchat is hemorrhaging "kids" to Instagram.
- mrkurt 9y agoWe have matching anecdotes!
- bcantrill 9y agoWell, I wouldn't be so sure. When SNAP had their first big miss a few quarters ago, I asked my 13-year-old (who I noticed hadn't been using Snapchat as much as he used to) about his usage. His response was that "Dad, no one uses Snapchat anymore!" (It's "all about insta", according to him.) While it is certainly anecdotal, it also fits both the data (the declining growth and difficulties monetizing) and the general perception (that Instagram stories obviated Snapchat). But then again, if my son were a kingmaker, Funky Karts would be a unicorn -- so take this for what it is!
- Mrtierne 9y agoIt's looking like investors are interested to know what the real value of the stock is. There's still a large audience to monetize but you're right the competitive set is crazy.
- randyrand 9y agoThe net loss is in parenthesis so doesn't that mean it's a net profit? This chart makes no sense.
- rfw 9y agoIt's just a convention.
- fullshark 9y agoWhat difference does it make? The stock holders have no power.