Snap Inc (SNAP)

[Bucephalus9]

Twitter replaced news and it did not make them profitable. People are not in a mindset to shop when they are viewing the news, which means people will usually not click on the ads. Also, the average person who uses Snapchat is also on Facebook and Instagram, they just use the platforms differently. One is not a replacement for the other. Most millennials and gen z's use all 3.

If Snapchat wants to be successful longterm, they need to make it easier for businesses to establish a presence and then the average business may have incentive to spend money with them instead of opting for one of the dozens of other proven avenues like Facebook, Instagram or Google ads.

The store I work for has over 20,000 followers on Instagram and close to that on Facebook. I tried to grow our Snapchat following too, but I eventually gave up because Instagram is so much easier to grow a following organically and I only have so much time in the day. I do not plan on going back because from a business perspective, I can still attract the same people on Instagram as Snapchat