ADVERTISEMENT

Kylie Jenner fleeing Snap might be just the beginning (SNAP)

Kylie Jenner's tweet sent jitters down investors' spines, and she may not be the only influencer to leave the app.

  • Kylie Jenner tweeted
  • That may mean other Snap influencers may do the same, according to one analyst.
  • The larger wave of people staying off the app is a real concern for the company.
ADVERTISEMENT

Kylie Jenner might not be the only one.

The social-media star tweeted this week that she doesn't use the app anymore, wiping more than $1 billion from Snap's market capitalization. According to analyst Craig Huber of Huber Research Partners told Business Insider, that could be an indicator that more influencers will leave the app behind.

“That’s the worry," Huber said, adding that “the pile-on effect" may ensue, meaning that other influencers will get spooked and do the same. "That’s certainly a concern," Huber said.

ADVERTISEMENT

He added that Jenner's tweet is "a negative issue for the company," estimating that Jenner was attracting about 24 million followers. "That's a big number," he said.

Influencers are "a nice plus" for Snap, Huber said. The total market for influencers in 2017 was $1.5 billion according to Business Insider Intelligence's Influencer Marketing Reporter, and much of that market was eaten by Facebook's Instagram. But the market could grow to $10 billion by 2022, so Snap "certainly don't want to lose it," Huber said.

Jenner's tweet arrived at a time when many users are upset about the platform redesign. Huber said that “the company should have seen this [redesign backlash] coming if they did a proper job testing this in the marketplace.” He added that "the bigger problem" is the real possibility that "a lot of people in your circle leave it [the platform]."

FOLLOW BUSINESS INSIDER AFRICA

Unblock notifications in browser settings.
ADVERTISEMENT

Recommended articles

10 African countries that waste the most food in 2024

10 African countries that waste the most food in 2024

US troop withdrawal from Niger hangs in the balance

US troop withdrawal from Niger hangs in the balance

Detained Binance executives sue Nigerian authorities for human right violation

Detained Binance executives sue Nigerian authorities for human right violation

Nigeria's central bank increases minimum capital base for banks

Nigeria's central bank increases minimum capital base for banks

Sony’s creators convention redefines the creative landscape for content creators

Sony’s creators convention redefines the creative landscape for content creators

Exploring the popularity of progressive jackpot slots in Indonesia

Exploring the popularity of progressive jackpot slots in Indonesia

Egypt, Nigeria, and South Africa ranked as Africa's most polluted countries in new report

Egypt, Nigeria, and South Africa ranked as Africa's most polluted countries in new report

10 African countries with the lowest life expectancy according to the World Bank

10 African countries with the lowest life expectancy according to the World Bank

Kenyan women are more obese than their men - here’s why

Kenyan women are more obese than their men - here’s why

ADVERTISEMENT