Snapchat could have $350 million revenue in 2016
Snapchat has not disclosed its official earnings for 2015, yet some credit reports placed the number at $50 million. Snapchat of Venice is informing financiers that it expects to generate $300-350 million in earnings this year. In this economic climate, this is seen as a great indication of a turnaround in the financial marketplace. A closer look at the business could disclose why investors are so keen on the company. It is evidently on the right track to make a considerable profit this year. Snapchat has 100 million everyday users who watch more than 7 billion video clips on a daily basis, the business states. Initially Snapchat offered costly advertising campaigns a year earlier, asking brand names for a minimum of $750,000 for one-day advertising. Today, marketers could pay in the area of $250,000 for a "Live Story" ad or $50,000 to take over a publisher's station on Snapchat Discover. Advertisers could also produce "Lenses," customized picture filters, and even spend more for them to appear before Snapchat customers. Snapchat has actually even hired an advertising and marketing executive from Facebook. According to reports, Snapchat had $100 million in earnings in the 4th quarter of 2015. If the $300-350 million number is appropriate, that would certainly place Snapchat's current appraisal of $16 billion at about 50 times profits.