Facebook’s strategy of copying Snap’s feature
Facebook Stories led to the robust user base
The Facebook Stories feature is an imitation of Snapchat Stories, which was launched in 2013. While Snap’s invention benefited Facebook, which added the Stories feature in multiple products, Snap could not grow its user base with its Stories feature. Facebook first used the Stories feature on Instagram in 2016, the success of which led the company to take it to other platforms like WhatsApp Status. Per CEO Mark Zuckerberg, Instagram and WhatsApp are the top two “most used Stories product in the world.”
According to TechCrunch’s report on May 17, WhatsApp Status has 450 million daily users, while Facebook Stories reached 150 million daily users in May 2018. Instagram Stories had 300 million daily users as of November 2017, and Facebook Messenger Stories had 70 million daily users at the end of September 2017. In contrast, the Snapchat app had 191 million daily users at the end of the first quarter of 2018, a sluggish sequential increase of 2.1% from the fourth quarter.
Snap is popular among teens
Per a recent report by eMarketer, the number of Facebook and Instagram users is expected to grow in the US by 0.9% and 13.1%, respectively, in 2018, mainly driven by users in older age groups. On the contrary, by the end of 2018, 68.0% of Internet users in the 12–17 age group are expected to use the Snapchat platform, which is higher than that of Facebook and Instagram at 47.2% and 43.6%, respectively. However, Snap still lags behind Facebook, Alphabet (GOOGL), and Twitter (TWTR) in reaching the addressable market.