Kylie Jenner’s tweet of no longer using Snapchat again, led to a $1.3 billion loss in the social media platform’s parent company market value on Thursday.
Kylie Jenner’s tweet read;
“Sooo does anyone else not open Snapchat anymore? Or is it just me… ugh this is so sad,” Kylie tweeted.
She later followed up with “still love you tho snap … my first love,” but the damage may already have been done, as AFP reported that Snap Inc.’s shares fell by over 6% in Thursday trading, a loss of about $1.3 billion in market capitalization.
Citigroup’s Mark May said in a statement: ‘While the recent redesign of its flagship app could produce positive long-term benefits, the significant jump in negative app reviews since the redesign was pushed out a few weeks could result in a decline in users and user engagement, which could negatively impact financial results.’
After dropping almost 8%, shares in Snap closed 6% down on Wall Street, and are now back near the $17 price at which the shares were listed when the company floated on the stock market.
Snapchat is facing intense competition from Facebook’s Instagram – especially for celebrity users – and Kylie Jenner’s tweet comes at a time when investors are already worried.