if you're over 30 you may have chosen to
ignore snapchat thinking it's more an
app for teens but it might be time to
start paying attention the app company
plans to hit public markets in 2017 with
a reported valuation of 25 billion
dollars that would make it the biggest
IPO star since Alibaba in 2014
don't be embarrassed if you don't know
snapchat one of the biggest differences
with Facebook and Twitter is that a snap
will disappear after at most 24 hours
the app lets you take photos or short
videos with your phone you can doodle
annotate add filters so how is this app
so valuable well it has 235 million
users a month more than half of those
use it daily despite being a relatively
young company it ranks just behind
Instagram and Twitter and the Jung's
love it 70% of 18 to 24 year old
smartphone owners use the app its
popularity is even growing among the
older 30 plus crowd the company makes
its money from video ads and branded
filters that are interspersed throughout
the app and thanks to snapchats young
and coveted millennial user base
advertisers are willing to pay top
dollar to get their promos in front of
youthful eyes that's triggered big
expectations with revenue estimated to
reach 1.7 billion dollars in 2018 still
snapchat isn't cheap it's reported 25
billion dollar valuation is 25 times its
expected 1 billion revenue next year
compare that to Facebook which went
public in 2012 it had a valuation of 19
times its forward revenue and even that
valuation was considered outrageous at
the time snapchat is hoping that as
popularity isn't as fleeting as the life
of one of its messages whether it
deserves a huge valuation depends on how
long users keep snapping