Snap Inc, which owns the Snapchat platform, has published its revenue report covering the third quarter of 2021. It reported earnings of $1.07 billion in total. The company had previously estimated that it would generate $1.1 billion in revenue in the third quarter. However, this goal was not achieved.
In a meeting with analysts, Snapchat CEO Evan Spiegel blamed Apple for not achieving his targeted revenue. Thanks to Application Tracking Transparency, which Apple introduced with the iOS 14.5 update, users had the opportunity to turn on and off the ‘follow’ permission. Evan Spiegel, who initially supported this feature, has now given a different explanation.
Snapchat earns most of its revenue from ads.
Evan Spiegel, CEO of Snapchat, which generates revenue mainly through the digital ads it displays in the app, said, “The new ‘ad tracking’ change, which Apple made widely available for iOS in June and July, disrupted our business,” Reuters reported. said.
Noting that the feature implemented by Apple was not what they expected, Spiegel noted that it prevented its business partners from measuring the performance of their ads. In addition, he stated that it negatively affects the business model that advertisers have been accustomed to for decades.
Evan Spiegel, who used the phrases “This is definitely a frustrating thing for us”, nevertheless stated that he was positive about Apple’s changes in ad tracking. Referring to Application Monitoring Transparency, “It is really important for the well-being of the ecosystem in the long run. We fully support that,” he once again defended the feature.
The number of daily users has been determined
Currently, almost all of the popular social media platforms have more than 1 billion users. Snapchat, on the other hand, has not caught this amount yet. The company announced that the number of daily active users has reached 306 million. In the second quarter, this number was around 293 million. Although it was founded later than Snapchat, TikTok has over 1 billion active users.
Snapchat’s star began to fade with the Stories feature that Instagram introduced in 2016. However, it still remains popular, especially among the young. In a survey conducted in the USA recently, it was revealed that the most favorite social media application of young people is Snapchat. It has been revealed that the most used social network is Instagram.
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