Snap Inc. CEO Evan Spiegel Reflects on 13-Year Milestone in New Letter to Staff
September 3, 2024 (V SOCIAL MEDIA OF HOLLYWOOD) – In a message to employees, Snap Inc. CEO Evan Spiegel commemorated the company’s 13-year milestone by reflecting on its significant achievements and outlining future goals. The note highlighted Snap's recent progress, including reversing two years of declining revenue and reaching over 850 million global users, as the company continues to evolve in the competitive digital landscape.
“Thank you so much for your extraordinary efforts and dedication to our business," Spiegel wrote to the Snap team. He emphasized the company's success in building a sustainable cost structure, improving earnings and cash flow, and growing content engagement by 25% globally in the second quarter of 2024. The message came as the company works to further strengthen its advertising business and diversify revenue streams, including through its subscription service, Snapchat+.
Spiegel acknowledged the slower growth in Snap’s advertising business compared to competitors, noting that this has been a factor in the company's share price performance. However, he outlined the company's strategy to focus more on its lower funnel business, which generates more predictable revenue through smaller advertisers and direct response objectives. “Lower funnel revenue is ‘stickier’ because it is more closely tied to key business objectives and positive returns on ad spend," Spiegel explained.
Looking ahead to 2025, Spiegel said Snap will focus on accelerating growth in both upper and lower funnel businesses by introducing new ad placements like Sponsored Snaps and Promoted Places, as well as leveraging machine learning to improve ad performance and offer better insights for advertisers. “We’re going to start surfacing more unique and actionable insights to advertisers based on the diversity of engagement on Snapchat,” Spiegel noted, referencing the potential of Snap’s features like the Snap Map.
Spiegel also mentioned Snap's continued investment in augmented reality (AR) and generative AI, which have become central to the company's product strategy. These technologies are expected to further enhance user engagement and offer new opportunities for innovation on the platform.
Reflecting on the company's journey, Spiegel praised the team for navigating challenging market conditions and driving Snap’s growth over the past 13 years. "The reason that I’ve dedicated so much of my life to building Snap is because I believe deeply in the power of technology to make a positive impact in people’s lives,” he stated.
To read the full letter, click here.
Source: Snap Inc.
