Snap Inc. hasn’t had much luck recently persuading shareholders that the company is on track to make some substantial cash. On the back of a weak financial report, which saw stocks plummet as much as 20%, Snapchat app user numbers may also be spiraling.
According to data from Sensor Tower, Snapchat downloads were down 16% during April 2017 across the Apple and Google Play Stores combined. Downloads of the app reached 21.1 million in April 2017, compared to 25.2 million in April 2016.
To add fuel to the fire, Sensor Tower reported that Instagram installs increased 19% during the same period with 31 million installs (up from 26.1 million). The imaging app retained momentum throughout the first 10 days of May with 10.5 million downloads on both stores, a boost of 17% the year-over.
Unfortunately, Snapchat downloads dropped further during the first 10 days of May at 28%.
Snap Inc. commented on weak user growth by stating it was focused on engaging existing users by adding creative features and tools. However, investors are likely to push for efforts to monetise the app.
Lucky for Snapchat, the app is still at the beginning of its monetisation ventures. According to some analyst estimates, Snapchat users are seeing roughly one advert per hour on the app. That leaves lots of room for growth, but Snap Inc. is likely to feel the pressure to get there quickly.