With Mark Zuckerberg rolling out a new feature on any of his many social media portals almost every day, it has become difficult for Snap Inc. to keep up with the competition. Zuckerberg tried his best to either acquire Snap or get rid of it in the social media race but it seems that the photo-sharing is nowhere close to budge from its current position. To deal with such competition, Snap is now seeking help from other slightly smaller organizations for the same. The company believes that there is nothing more appealing to the market than the latest technology. Taking this into consideration, the main focus of the company is now Snap Acquisition of various ad tech companies.
The main purpose behind Snap’s enthusiasm in acquiring these technology companies is in order to boost its appeal in the market. With the Stories feature of this app not being exclusive anymore, it is gradually losing its high position in the market. In order to take necessary steps before the company rolls downhill, the company is already in acquisition talks with a tech startup called AdRoll. Snap Inc. is aiming to grow its ad business in particular and solve allay investor concerns which have adversely affected its stock price.
Targets of the Snap acquisition
The main targets of the Snap acquisition are startups venturing in the fields of ad tech and marketing tech sectors. The source who revealed the news added that Snap is looking for startups to demonstrate its ad efficiency. For this, the company acquired Placed last month for over $200 million. This acquisition would give the company accessible third-measurement to track real-world purchases as well as store visits.
The last week has been brutal for Snap’s market. This is in relation to the figures as the stock price sank even lower than the initial $17 public offering. The analysts of Wall Street also cited the reason for this downfall. Apparently, the stock price downgrade is due to slow growth rate of the company and fierce competition from Facebook. When asked for an official statement on the Snap acquisition, the company declined to comment.