> Snapchat doesn't have a good way to monetize their user base though. It's probably going to be a difficult problem for them, especially with their inflated valuation.
They've already started monetizing and seem to be doing pretty well. The "Discover" channels are pretty expensive and drive a LOT of traffic (Buzzfeed gets 21% of it's views from Snapchat[1]). Additionally, ads are inserted into "live" stories and you can buy extra filters as well. As far as I can tell none of those steps have alienated their userbase. Of course, the teen/tween crowd tends to be pretty fickle, so we'll see if they can pull it off long term.
They've already started monetizing and seem to be doing pretty well. The "Discover" channels are pretty expensive and drive a LOT of traffic (Buzzfeed gets 21% of it's views from Snapchat[1]). Additionally, ads are inserted into "live" stories and you can buy extra filters as well. As far as I can tell none of those steps have alienated their userbase. Of course, the teen/tween crowd tends to be pretty fickle, so we'll see if they can pull it off long term.
[1] http://www.businessinsider.com/buzzfeed-gets-21-of-its-traff...