Snapchat CEO Says Facebook Will Implode

A lot of people are surprised or think this information about what’s driving mobile app install pricing is novel. To me, it reads like an assessment of Facebook that was copied out of an online marketing textbook. FB wouldn’t disagree either and that’s why they’re hustling to find other products to attract additional budgets because they know they’re on a timeline.

“Facebook has continued to perform in the market despite declining user engagement and pullback of brand advertising dollars — largely due to mobile advertising performance, especially app install advertisements,” he writes.

“This is a huge red flag because it indicates that sustainable brand dollars have not yet moved to Facebook mobile platform and mobile revenue growth has been driven by technology companies (many of which are VC funded).

“VC dollars are being spent on user acquisition despite unknown [lifetime value] of users — a recipe for disaster.

Snapchat CEO Says Facebook Will Implode – Business Insider.