The Chief Strategy Officer of Snap Inc (NYSE:SNAP) recently shrugged off the stock’s awful performance and sluggish user growth metrics, instead concentrating on its rising audience engagement.
Bloomberg notes Imran Khan’s comments today from a European conference:
Khan, speaking at The Next Web conference in Amsterdam Friday, said that Snap’s 166 million daily users visited the site on average more than 18 times per day, spending more than 30 minutes in total daily on the social network.
Khan also brought up the app’s success in luring advertisers to experiment with filters and games on its platform to engage its youthful audience:
He used the example of a Snap advertising campaign for Kraft Heinz Co. brand Oreo cookies to highlight the platform’s value for advertisers. He said the campaign, which involved a mobile game people played using Snap, was viewed by 13.6 million people who on average spent 45 seconds playing the game. He said the campaign had lifted Oreo’s brand awareness by 64 points and lifted “purchase intent” by 18 points.
The company’s saving grace is the relative exclusivity of its audience. Snap users are often not found on Facebook, Instagram, and Twitter, and if they are, their accounts tend to be somewhat dormant on those platforms. That’s according to recent data from a study the company funded recently.
Still, investors remain largely unconvinced that the money-losing company will be able to get the traction it needs to truly compete with Facebook. SNAP has fallen 17.4% since its IPO day back in March, and is down 12% since its first-ever earnings report last week.
Snap Inc shares were trading at $20.27 per share on Friday morning, unchanged on the day. Year-to-date, SNAP has declined -17.20%, versus a 7.14% rise in the benchmark S&P 500 index during the same period.
Try StockNews.com Premium Today!
Get access to our daily newsletters, Best Stocks List, POWR Ratings, and much more!
Free for 14 days -- no credit card required!