The Biggest Source of Growth for Snap
Snap (NYSE: SNAP) reported better-than-expected third-quarter results, with daily active users climbing to 210 million and revenue up 50% year over year. The photo- and video-sharing app saw improved engagement across geographies, devices, and its various features.
Snap's strongest area of engagement growth is Discover, the section of its app featuring professionally created content, including its Snap Originals. Management said time spent in Discover grew 40% year over year. That compares to just a 13% year-over-year increase in active users.
CFO Derek Anderson noted on the earnings call that the company also saw "growth in Snapchatters posting and viewing Stories" during the quarter. CEO Evan Spiegel later noted that the introduction of an "infinite scroll," so to speak, on Stories led to greater engagement, and premium content Stories also found in Discover helped supplement user-generated content.
Source Fool.com
