Snapchat’s flagship platform has lost some shine, at least according to a social-media influencer in the Kardashian-Jenner family.
The Snapchat parent company’s shares sank as much as 7.2 percent Thursday, wiping out $1.3 billion in market value, on the heels of a tweet from Kylie Jenner, who said she doesn’t open the app anymore. Owing to the recent app redesign, the tweet drew similar replies from her 24.5 million followers. Wall Street analysts too, have begun to notice, citing recent user engagement trends noticed since the platform’s redesign.
Following Jenner’s tweet to her 24 million followers on Thursday afternoon, shares in the publicly traded company fell 7.2 percent, reducing a whopping $1.3 billion from Snapchat’s market value. Her strong social media presence might draw even more users against using the messaging service, as well as stir up fear among investors.
If Jenner is to take the blame for tweeting one solitary tweet, and the dip in Snap’s shares, it could create even more problems for Snapchat, which company’s IPO in March 2017. After she tweeted, #influencermarketing was trending all over the social media. Some of her followers even commented requesting to get rid of Instagram’s chronological order. Quite rightly so!
Meanwhile, as the app takes criticism, Chief Executive Evan Spiegel may become one of the highest paid executives in the U.S. After the company’s IPO, Spiegel got a $636.6 million stock grant that will be payable through 2020.
“Still love you tho snap,” Jenner hedged in a later tweet.