Snapchat execs are dropping like flies as Spiegel tries to Snap out of his slump

As the company continues to struggle, Snapchat execs are starting to make like ghosts and disappear.

May 24, 2018

A VP of engineering at Snap jumped ship earlier this week to work at Tesla — the 10th executive to ghost the social media company since its IPO last year.

Investors share these executives’ skepticism — after struggling to recover from a poorly implemented redesign, Snap’s value has plummeted from $20 to just $11 per share in the last 3 months.

Hoping for a hail mary, Spiegel fumbled the Snap

After Snap’s earnings fell $30m short of their Q3 goal in 2017, CEO Evan Spiegel decided to redesign the app from the ground up — without asking users what they wanted. The changes pissed off everyone from celebrities to your 3rd-grade neighbor, John.

Then, famously famous person, Kylie Jenner, tweeted that the update was “sad” — and lopped $1.3B off of Snap’s market value. The app tanked to the tune of 83% negative reviews — and a petition on to remove the update with more than 1.2m signatures.

Redesigning a redesign… never a good sign

With no choice but to listen to its millions of angry users, Snapchat rolled out a redesign of its redesign at the start of May — just 5 months after the previous redesign that was supposed to save the company.

Unfortunately for Snapchat, neither redesign was able to stop the financial bleeding — both revenue and user growth failed to hit quarterly goals.

Join 1.5m+ professionals getting The Hustle daily news brief

Business and tech news in 5 minutes or less

100% free, no ads or spam, unsubscribe anytime


How'd Bezos build a billion dollar empire?

In 1994, Jeff Bezos discovered a shocking stat: Internet usage grew 2,300% per year.

Data shows where markets are headed.

And that’s why we built Trends — to show you up-and-coming market opportunities about to explode. Interested?

Join us, it's free.

Look, you came to this site because you saw something cool. But here’s the deal. This site is actually a daily email that covers the important news in business, tech, and culture.

So, if you like what you’re reading, give the email a try.

If you don’t like it, unsubscribe any time. Privacy policy.