As Snap Co-Founder and CEO Evan Spiegel continues his Wall Street roadshow to drum up hype and quell apprehension about his company’s impending initial public offering at a (relatively new) valuation somewhere in the ballpark of $19 to $22 billion, enterprising journalists are still finding interesting tidbits of information in Snap’s S-1 regulatory filing. Like this one.
Snapchat thinks YouTube is pretty good at advertising.
Our knowledge of that assessment comes by way of Snap’s inclusion of a September 2016 Digital Campaign Management System Report conducted by the research-based advertiser insight and guidance entity aptly named Advertiser Perceptions. The report ranks seven top-of-mind, advertising-based tech companies (Snapchat along with YouTube, Google Display Network, Instagram, Facebook, Twitter, and Pinterest) in the categories of advertisers’ Satisfaction Rating, Plans To Increase Ad Spend, and Likelihood to Recommend. YouTube tops all categories except Satisfaction Rating, where it’s second to Snapchat. Check it out:
Google doesn’t break out YouTube revenue in its quarterly earnings, but esearch outfit eMarketer estimates YouTube revenues grew by 30% over the course of 2016 to roughly $5.6 billion. UBS analyst Ed Sheridan also predicts YouTube to have revenues of $27 billion in 2020. Meanwhile, Snap reported 2016 revenues of $404.5 million in its aforementioned regulatory filing and Goldman Sachs (one of the lead banks on the company’s IPO) estimates revenues could bump $2 billion in 2018.