The photo and video sharing app Snapchat is reportedly growing faster than it has since 2017, the year the company went public. Daily users soared 23 percent and revenue grew by 116 percent, growth numbers that far outpace established social media giants like Twitter.
The Verge reports in an article titled “Snapchat is growing faster than it has in years,” that photo and video sharing app Snapchat has seen a massive increase in growth in recent years, showing a huge turnaround for a company that at one point many thought was set to collapse.
The Verge writes:
Just a couple of years ago, there were concerns that Snap, the parent company of Snapchat, wouldn’t survive as a standalone company. Its stock price bottomed out around $5 after a disastrous redesign that slowed user growth and confused advertisers.
The situation is much different now. Snapchat is growing faster than it has since 2017, the year it went public. On Thursday, the camera-based messaging app said it added 13 million daily users during the second quarter, a 23 percent increase from the year-ago period. That means 293 million people use Snapchat every day around the world, up from 173 million this time four years ago. (Twitter reported 206 million daily users in the second quarter, by comparison.) Snap’s revenue also soared 116 percent to $982 million, making it a faster growing business than Twitter or Facebook.
The new numbers solidify one of the most impressive turnaround stories in tech. They also reflect how tech companies have benefited throughout the pandemic as people increasingly spend more time online. Snap CEO Evan Spiegel has said he expects the app’s user base to actually grow faster as pandemic lockdowns end, since Snapchat is designed to be used out and about with friends.
The majority of Snap’s user growth in the second quarter came from outside its core markets of North America and Europe, where advertisers can pay to reach more people. This means that Snap will have to work harder to monetize its new user effectively.
Snap also has to compete with Apple’s changes to data tracking in iOS 14 which makes third-party developers show a prompt asking permission to track users across different apps. Snap’s chief business officer, Jeremi Gorman, said “we observed higher opt-in rates than we are seeing reported generally across the industry, which we believe is due in part to the trust our community has in our products and our business.”
Read more at the Verge here.
Lucas Nolan is a reporter for Breitbart News covering issues of free speech and online censorship. Follow him on Twitter @LucasNolan or contact via secure email at the address lucasnolan@protonmail.com
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