Snap Is in a 'Code Red' Race to Improve Snapchat User Growth – Business Insider

Snap has drastically reorganized its business to focus on reinvigorating growth. The effort has many employees working in an emergency mode, particularly around advertising. Adding older users to Snapchat is also a renewed focus, people told Insider. As Snap struggles to reverse slowing growth and improve its advertising business, parts of the company are operating with a “code red” mentality and more aggressively working to entice older users to join Snapchat.In the weeks since Snap enacted sweeping layoffs and shut down projects, it’s been reorganizing around three areas of focus: the direct-response ad business, user growth, and augmented reality.Inside the company, employees are hearing little beyond “monetization,” or how to make more money off of Snapchat users, and how they need to increase revenue growth by the end of the year, according to people familiar with Snap’s efforts and internal messages seen by Insider. The people asked not to be identified sharing information on private projects.Advertising specifically is operating in a “code red” mode, one of the people said, with workers and ad engineers on related projects pulling long hours to bring more effective direct ads to Snapchat. Direct response is a type of ad that prompts a user to do…
Read More