Snapchat Is Turning It Around
Yesterday Snap, Inc. (Snapchat’s parent co) reported its Q2 Earnings. For the quarter revenue was up 48% YoY to $388M and DAUs hit 203M, up 8% YoY. Both of these metrics exceeded the Street’s expectations, which drove Snap’s share price up 12%.
So how is Snapchat turning it around? Founder Evan Spiegel credits the launch of Snap’s next generation of AR Lenses (called Lens Studio), and an improved Android interface for their user growth. They’re also seeing the benefit of a recommitment to brand partnership, instead of just programmatic ad sales, to drive topline rev.
Yesterday’s results cap a remarkable turnaround for the once beleaguered social. A year ago there were whispers that Snapchat might not even survive as it coped with a poor app redesign, the infamous Spectacles flop, and a string of high-level executive departures. It goes to show how a focused commitment to a more stream-lined business strategy can make all the difference in the world.