>> Snapchat's street cred with investors have disappeared faster than one of cult-like app's messages. The parent, Snap, Inc, has seen its stock plummet 60% from its March 2017 IPO price, as 5 million users turned off the app this year. Snapchat has a plan to turn things around. But it leaves out the app's key users, kids, teens, and the under-30 crowd.
Reuters reporter, Sheila Dang.>> Snap wants to start gaining more users over 35, because for the last two quarters, they've seen their daily active users shrink. So, in order to find growth, part of their strategy is to start growing up a bit. So they wanna get some of the parents and grandparents of these users.
>> And while that might bring in more eyeballs, there's a risk it could cost Snap something else, advertisers.>> From the ad buyers that I spoke with, they use Snapchat in order to reach the millennial audience. So they wanna reach teenagers, people under 30. And so now some of them are a bit worried that if Snapchat starts getting these kids' older relatives on Snapchat, maybe these kids start to leave, they go to different platforms.
And those platforms might not have advertising. So they're worried that they might lose this audience.>> And that's a real concern. This year, Facebook will lose 2 million users under the age of 24 who would rather not be online friends with their parents, warns research firm, eMarketer. Getting older users on board comes with other risks.
Most adults won't have much use for the whimsical selfie filters popular on Snapchat. And then there's the usability issue. Snapchat has to make the app easier to use so older folks won't tip off the kids by asking, how do I use this thing? Experts fear any changes to the app, like the redesign earlier this year that sparked widespread criticism, could end up backfiring by alienating youngsters without totally winning over their parents either.