Is Snapchat the New Vine?
Will Snapchat be the new “Vine” ? The one hit wonder that gets beat out by the social media giant, Facebook.
Recently Snapchat’s stock fell more than 20% because of missed expectations of growth. This time last year Snap was growing at 52%; but the social network only grew 36% this time around. You might be thinking to yourself, “36% is still a positive growth rate.” Which it is, but we have to take in other factors.
Where did the 16% of people move to? Facebook and Instagram, that’s where. Facebook and Instagram are stealing away Snapchat’s users thanks to the introduction of their own “stories” features that made Snapchat so popular.
Now why does this sound familiar? Facebook using its money and power to copy an idea and hurt another social network? Hmmmmm… Oh yeah, that’s right: Twitter’s Vine lost out to Facebook’s / Instagram’s videos and Boomerangs. Will snap soon suffer Vine’s fate of tech extinction? Well, if they don’t change something this might happen to them.
Instagram recently outpaced Snapchat by reaching 200 Million users with Instagram stories. This will not only hurt Snapchat with daily users, but also with investors. Without the money to sustain growth it’ll be hard to wage war with the social media giant.
Snapchat is in a critical period right now. They must act fast, but they must also act strategically – unlike Vine, who never changed what they were doing and rarely added new features. Snap’s future relies upon their ability to stay ahead of Facebook with new features and functionality that make it worth using.