How The Snapchat Redesign Could Affect The Stock [Originally published Dec 4th, 2017]

Snap continues to invest in its advertising products – and could be working on a third party ad system similar to Google AdSense and Facebook Audience Network.

Snapchat still has an exclusive network of hard to reach consumers in the largest ad markets. This network of users also provides a unique image recognition data set that can be leveraged for ad targeting.

Snapchat’s new Discover feed will help spur international growth, as users do not need to add any friends or follow anyone to discover content, a la Netflix.

Algorithmic content delivery will allow Snap to place content anywhere within its feed, allowing it to charge brands for premium placement like Facebook.

Combining messaging and stories will further monetize Snapchat’s messaging network.