Just when you thought Snapchat was starting to stabilize its business comes some new storm clouds.
The first problem is a completely self-inflicted wound. At the beginning of January Snapchat redesigned its interface and users are not having it. According to the attached Verge link an astounding 1.2M Snapchat users have signed a Change.org petition asking Snap to go back to the old design.
So far Evan Spiegel and team are staying with the redesign, but insiders are worried that the blowback will decrease overall usage. And speaking of decreasing usage, Snapchat super-influencer Kylie Jenner casually tweeted that she hasn’t gone on Snapchat since becoming a new mom, which sent the Social-sphere and even Wall Street into a frenzy.
According to the attached Bloomberg link Snap, Inc. lost $1.2B in market value due to what’s now being called the “Kylie Effect” (I can’t make this stuff up.) And no, it’s not that Kylie Jenner was using Snapchat so much that her absence is hurting Snapchat’s overall usage metrics. It’s more the symbol of a heavy user growing up, getting busy with a new child, and suddenly having more important things to do than posting completely useless videos on Snapchat.
Hopefully they have some hard stuff in Snap’s corporate kitchen to get through this one!