Available at a fixed monthly cost

Get your quote today

What we offer at a glance

  • Get an external data protection officer
  • Audit of your data privacy status quo
  • GDPR support for small businesses and large corporations
  • Personal contact person & individual support
  • Easier communication with authorities
  • 100+ experts from the fields of law, economics & IT

Don't trust us, trust them:

Jedox  Logo Contact Demodesk Logo Contact Elevate Logo Contact Canon  Logo Contact CBTL Logo Contact Alasco  Logo Contact RightNow Logo Contact Veganz Logo Contact Escada Logo Contact First Group Logo Contact

Learn more about our prices & services

or call us now: (020) 36956 452

DataGuard NEWS: Apple's privacy changes cause revenue drop for snapchat

After having changed their privacy settings, giving consumers more control over how and when apps are allowed to track their behaviour, Snap CEO reports that their revenue is massively affected.

What happened?

This summer, Apple introduced its new App Tracking Transparency system which requires users to explicitly consent to apps tracking their behaviour for advertising purposes. Bad for Snap, who was gaining a lot of revenue from small image ads that redirected consumers to other apps or services to be downloaded or purchased. With the new Apple settings, Snap now cannot personalise and optimise these image ads anymore. Not being able to detect if certain apps are already installed, how fast users react to the ads being shown or how long they look at them, makes advertising less effective.

While Snap was in favour of these changes at first, they are now admitting that the lack of personalisation has affected their revenue coming from in-app advertising. Snap expects its fourth-quarter revenue to come in between $1.16 billion and $1.20 billion, which is short of the $1.36 billion in revenue that analysts were expecting.

However, it is worth noting that giving users more control over what happens with their data, has reportedly increased the amount of daily active Snapchat users by 4%, from 293 million in April to 306 million in October.

Why should you care?

The future is private. Consumers are getting more and more aware of what happens with their personal data, and they are ready to turn away from businesses that they feel don’t deal ethically with it. This is why Apple, who have positioned themselves as strong privacy advocates these past years, did the only right thing. While seemingly making things more difficult, more trust and transparency will lead to happy customers and more revenue in the long-term.

Our take on it

We love to see huge corporations and global players are taking privacy practices seriously and start putting them above revenue. Despite recognising that the Apple privacy update would lead to a drop in revenue, Snap CEO was positive about the improvements to the privacy of their customers saying that it aligned to the company's values. These values are reaping benefits as the number of Daily Active Users has grown since April. To learn how to better serve your customers with a privacy-first approach, check out our Attitudes to Data report. If you have any questions, we are happy to chat with you – contact us via our website!

Sign up to our newsletter – Get practical tips and invitations to webinars and online Q&A sessions.Subscribe now


About the author

Ren Watson

As a results-focussed analyst, Ren has worked in many industries including finance, charity and start-ups and became interested in data protection as a focus over the last decade. Using her analyst skills alongside her data protection expertise, she has consulted with charity, media and energy companies to understand their data protection requirements and has provided guidance and support for implementation of multiple privacy programmes. Today, she provides multi-functional support and awareness within DataGuard and to clients to promote privacy beyond compliance.

Explore more articles