Snapchat's New Design Shrinks User Figures

By Natasha Makon — Published August 08, 2018

Snapchat's New Design Shrinks User Figures

In the last 3 months, we have seen Snapchat lose 3 million daily users despite efforts to make the app more attractive. Recently, we have seen a redesign of the Snapchat app as well as new features such as group video chats and Harry Potter Bitmojis however, user growth has continued to shrink. Since the redesign was released, 1.2 million users worldwide signed a petition prompting the company to reassess its decision. Snapchat has now seen the results of their decision. Snap CEO Evan Spiegel did, however, claim to take this feedback seriously. "We feel that we have now addressed the biggest frustrations we've heard and are eager to make more progress on the tremendous opportunity we now have to show more of the right content to the right people." He said, "It has been approximately six months since we broadly rolled out the redesign of our application, and we have been working hard to iterate and improve Snapchat based on the feedback from the community."

According to Snap's second-quarter earnings report, the number of daily active users has decreased from 191 million to 188 million in the first yearly quarter. This 2% drop marks a somber first decrease in user count in the company's history. However, things aren’t as bad as they seem. The 188 user number is 8% higher than this time last year and according to CFO, Time Stone, active users are up to 100 million in the US and Canada. Overall revenue is now $262 million this quarter which is a 44% year over year increase. Snap is still dealing with a $353 million net loss, however, this figure has decreased by 20% since last year. What's more, Snap has revealed that 11 of its Shows have an average monthly audience of over 10 million which is a 7 million increase since last quarter's report. "The number of people that watch Publisher Storied and Shows on iOS every day has grown by more than 15 percent this year," Spiegel reports. In addition, he confirmed that users spend an average of over 30 minutes on Snapchat every day.

Despite this financial gain, it is must still be unnerving for any app to be faced with user decline. Even Kylie Jenner, former Snapchat Queen, launched a makeup filter on Instagram last month without creating one for Snapchat. Now that is saying something.  

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