Snapchat is not just for millennials

Andrew Cummings
March 1, 2017

The market research firm had previously projected that U.S. users in that age group would make up 4.2 percent of Snapchat's total users.

Meanwhile, Snapchat's growth among older Americans has a lot to do with Snapchat's content deals, which have more recently included those with the NFL, NBCUniversal, Turner, Hearst, and Disney along with others.

Data released today (February 28) saw the Axel Springer-owned research house increase its earlier usage projections by more than 5%, forecasting that 70.4 million Americans will regularly use the platform this year.

While Snapchat is often thought of as a teenagers' platform, it is those aged over 45 that will drive some of its growth, according to eMarketer, which estimates that 6.4 percent of U.S. Snapchat users will be aged between 45 and 54 this year, up from the 4.2 percent it previously forecast.

While Snap cautioned it had no binding commitments yet from investors accepting such a lock-up period, the disclosure is a sign of confidence from the company in what is expected to be the biggest U.S. IPO since Facebook Inc FB.O .

However, Snapchat will gain fewer users age 24 and under, "as competition from rival Instagram heats up". "Older groups are now more likely to tune in for content".

Snap Inc., closing in on one of the largest tech debuts in years, has enough demand to push the price of its initial public offering higher than expected, people with knowledge of the matter said. The platform has multiple partnerships with television networks for mini episodes. Instagram Stories has quickly gained some 150 million users, nearly as many as Snapchat has.

Appealing to older people is a good thing for a digital product aimed at the young if it helps boost the total number of users, as long as the thing doesn't develop a reputation as an app for Mom and Dad. "But we do feel that Snapchat will gradually broaden its appeal beyond the youth demographic, just as Facebook did", Debra Aho Williamson, principal analyst at EMarketer, said in an e-mail. While overall growth is projected to slow down by 2021, eMarketer is citing Instagram Stories as competition to Snapchat's user base.

Other reports by iNewsToday