Swot Analysis Of Snapchat

Introduction

The company that is selected for this analysis is Snapchat Inc. The company has continued to grow over the years, taking on major industrial players like Facebook. Snapchat is basically a technology and a social media multinational conglomerate. The industry to be analyzed here is the social media industry that encapsulates the associated technologies. Snapchat’s industry offers stiff competition that eats into the company’s market share.

Overview of Snapchat

Snapchat is a multinational conglomerate that was started in April 2011 by Bobby Murphy, Evan Spiegel, and Reggie Brown, who are Stanford University’s former students (Maven 4). The principle concept of snapchat is for users to take pictures and write a message about that

For instance, Facebook Inc. has increased its level of importance to marketers by merely 3 percent from 52 percent in the year 2015 to 55 percent in 2016 (Stelzner 40). Initially, social media companies were using multiple platforms to market their products, but are not opting to use Facebook. It is no wonder that the company has experienced an increase. A quick comparison with other players indicates that they are on a downward trend. For instance, LinkedIn is indicating a decline in its importance as a key marketing social media platform from 21 percent to 18 percent. Likewise, Twitter has also experienced a reduction from 13 percent to 12

Furthermore, the brands act autonomously of the community. Most social media platforms are single or narrow-minded ideologies whose long-term outlooks are unclear. Moreover, the source of traffic is unreliable and it can change unexpectedly, which makes it hard for marketers to accurately predict their target audience.

Opportunities: The social media benefits from a growing number of educated, loyal and strong customer base. Also, the social media provide the company with quick access to customer concerns that can be addressed proactively. Social media offers huge opportunities for sales and targeted marketing. In addition, companies have increased their sales and revenue through the social media, which continues to provide immense opportunities for additional investments.

Threats: The first threat relates to the growing number of start-up social media companies that are tarnishing the name of social media platforms. Likewise, there has been a growing level of concern with brand impersonation with a good example being Facebook is brand impersonated by Fuckbook. Thirdly, social media are threatened by lost trust. Besides, industry incompetence that is characterized by industry incompetence continues to be a threat. Furthermore, there are fewer controls in the social media