STREAMING NOW: Watch Now

Snapchat user growth stagnant amid redesign backlash

Snapchat's redesign hasn't done much to help the company.Snap, the parent company of Snapchat, said Tuesday th...

Posted: May 2, 2018 10:03 AM
Updated: May 2, 2018 10:04 AM

Snapchat's redesign hasn't done much to help the company.

Snap, the parent company of Snapchat, said Tuesday that it added just four million users during the first three months of 2018 amid a backlash to a significant app redesign.

The redesign was supposed to attract new users amid concerns of lackluster audience growth.

Instead, growth slowed. The service had 191 million daily active users during the quarter, up from 187 million at the end of last year, or just a 2% increase. User growth rose 5% in the last quarter of 2017 and 3% in the third quarter.

By comparison, Facebook said Tuesday that WhatsApp's Snapchat clone now has 450 million daily users.

Related: Snapchat faces backlash after app redesign

The daily active users figure also came in below Wall Street's expectations of 194 million. GBH Insights called the metric "disappointing" in an investor note, and said it speaks to Snap's user growth problem, which is a "major black cloud" over the company.

Snap stock fell more than 15% in after hours trading following the earnings report.

Revenue jumped 54% to $230.7 million, but came in below analysts' expectations. Snap said the redesign impacted its revenue by "disrupting user behavior" and creating some apprehension among its advertisers.

"We are already starting to see early signs of stabilization among our iOS users as people get used to the changes, but still have a lot of work to do to optimize the new design, especially for our Android users," CEO Evan Spiegel said on a call with investors. "We are now focused on optimizing the redesign based on our ongoing experimentation and learning."

He also said the company has seen increased new user retention among older people.

Related: Snapchat takes another swing at Spectacles

Earlier this year, Snapchat redesigned its app to separate content posted by friends from content posted by publishers and celebrities.

The update, which rolled out to most users during the first quarter, was intended to make the interface less confusing.

But it ended up setting off an outcry among users. A Change.org petition asking the company to remove the redesign now has more than 1.2 million signatures.

Snapchat was also panned by some of its most prominent users after the redesign. Kylie Jenner, a reality TV star, threatened to quit the app in February, causing the stock to fall. Chrissy Teigen, a model and TV personality, said she stopped using the service in March.

Snapchat has since made some tweaks to the redesign and will roll out an update that moves Stories from friends to the same page as posts from celebrities and brands once again.

Indiana Coronavirus Cases

Data is updated nightly.

Confirmed Cases: 49063

Reported Deaths: 2732
CountyConfirmedDeaths
Marion11760689
Lake5276246
Elkhart340255
Allen2835133
St. Joseph200169
Cass16429
Hamilton1608101
Hendricks1425100
Johnson1296118
Porter76738
Tippecanoe7359
Clark66844
Madison66764
Bartholomew59145
Vanderburgh5876
LaPorte58326
Howard58058
Kosciusko5624
Marshall5016
Noble48528
LaGrange4779
Jackson4733
Boone45443
Delaware45252
Hancock45236
Shelby43125
Floyd38444
Morgan32731
Monroe30928
Montgomery29720
Grant29626
Clinton2902
Dubois2886
Henry28216
White26610
Decatur25432
Lawrence24825
Dearborn23823
Vigo2388
Warrick22729
Harrison21622
Greene19032
Miami1862
Jennings17712
Putnam1708
DeKalb1634
Scott1628
Daviess14817
Wayne1436
Orange13623
Perry1359
Steuben1302
Franklin1268
Ripley1247
Jasper1232
Wabash1142
Carroll1102
Fayette1037
Newton9910
Gibson982
Whitley975
Starke943
Randolph804
Huntington782
Jefferson762
Wells751
Fulton721
Jay680
Washington671
Pulaski661
Knox640
Clay604
Rush583
Owen501
Adams491
Benton480
Posey450
Sullivan451
Spencer441
Brown421
Blackford392
Crawford320
Fountain322
Tipton311
Switzerland280
Parke240
Martin220
Ohio180
Vermillion140
Warren141
Union130
Pike110
Unassigned0193

Ohio Coronavirus Cases

Data is updated nightly.

Confirmed Cases: 60181

Reported Deaths: 2991
CountyConfirmedDeaths
Franklin10879439
Cuyahoga8277383
Hamilton6287206
Lucas2836303
Marion273639
Summit2241207
Pickaway220541
Montgomery220131
Mahoning1861239
Butler167447
Columbiana130960
Stark1156113
Lorain106468
Trumbull99774
Warren89525
Clark7809
Delaware61715
Fairfield60517
Tuscarawas58510
Belmont55522
Medina54332
Lake52920
Licking52012
Miami47531
Portage46159
Wood45251
Ashtabula43744
Clermont4317
Geauga41443
Wayne36552
Richland3515
Allen32841
Mercer2909
Greene2879
Darke25326
Erie25022
Holmes2453
Huron2282
Madison2029
Ottawa16024
Washington14020
Sandusky13814
Crawford1365
Putnam13215
Ross1323
Coshocton1302
Hardin12312
Morrow1181
Auglaize1074
Jefferson922
Union921
Monroe8917
Muskingum891
Hancock831
Preble801
Athens791
Hocking798
Guernsey763
Lawrence740
Williams722
Shelby704
Clinton680
Logan651
Fulton630
Ashland621
Carroll603
Wyandot605
Brown591
Scioto540
Defiance533
Knox531
Fayette480
Highland461
Champaign441
Van Wert420
Perry371
Seneca352
Henry320
Jackson260
Paulding260
Adams241
Pike240
Vinton222
Gallia201
Harrison121
Meigs120
Morgan110
Noble110
Unassigned00
Fort Wayne
Clear
82° wxIcon
Hi: 92° Lo: 72°
Feels Like: 86°
Angola
Clear
73° wxIcon
Hi: 90° Lo: 71°
Feels Like: 73°
Huntington
Few Clouds
81° wxIcon
Hi: 90° Lo: 72°
Feels Like: 85°
Decatur
Clear
75° wxIcon
Hi: 91° Lo: 72°
Feels Like: 75°
Van Wert
Clear
75° wxIcon
Hi: 92° Lo: 72°
Feels Like: 75°
AM Storms, Slightly Cooler Friday
WFFT Radar
WFFT Temperatures
WFFT National

Community Events