Social Media Weekly
25 JULY - 30 JULY 2018
This week Facebook has reported a record loss, $118 billion in market value to be exact, and one of the biggest one-day losses in stock market history. However, even though user numbers on the social network are stagnating in Europe and the US, the company still managed to squeeze more revenue from every user. Furthermore, the company has a lot of monetisation opportunities with Instagram (thanks to the recent launch of IGTV), Marketplace, Messenger and getting businesses to pay to interact with customers through WhatsApp.
“Expect to see a bigger emphasis on growth of Facebook’s family of platforms rather than Facebook proper,” said Lynnette Luna, the principal analyst at GlobalData.
Facebook loses $120 billion in market cap after awful Q2 earnings
Facebook’s share price fell more than 20 percent in after-hours trading today after the company announced its slowest-ever user growth rate and a scary warning that its revenue growth would rapidly decelerate. Before today’s brutal Q2 earnings, Facebook’s share price closed today at $217.50 — a record high — but fell to around $172 after the earnings call. That’s a market cap drop of roughly $123 billion. In two hours, Facebook lost more value than most startups and even public companies are ever worth.
Read More: Tech Crunch
Instagram is testing a new, simpler way to react to stories
Forget comments that go straight to your DMs. Instagram is testing a new way to react to Stories that is much simpler, and it involves emoji.
Right now, the options to respond to a Story are limited: You can only reply to the person who posted the Story, or share the post with another friend via Direct. But the feature some users are seeing allows them to quickly react to a post by choosing from a set of emoji. (This way of responding is similar to the "reaction" emoji that Instagram's parent company, Facebook, introduced in 2016.)
Read More: Refinery 29
Facebook’s quarterly ad revenue to get lift from Instagram
The social media giant is expected to post record revenue and users in the quarter, thanks in part to the photo-sharing app Instagram, according to analysts. The business, acquired for $715 million in 2012, now has more than 1 billion users and is a big reason Facebook’s advertising machine is still growing.
Read More: Bloomberg
Snapchat “Storytellers” finally pairs creators with advertisers
Snapchat is arriving very late to the game of courting influencers. Now it hopes to boost ad spend by connecting businesses with its top independent creators, but it won’t take a cut of deals it helps arrange.
Read More: Tech Crunch
Snapchat opens a private marketplace for brands to buy ads in discover shows
Snapchat has developed a private marketplace for advertisers that could help publishers on the platform sell commercials directly to brands and raise the value of the ad inventory.
Read More: Ad Age