Greycroft’s Sigalow Says Snap Was Under-Priced at $17

The transcript discusses Snapchat's initial stock valuation at $17.00, perceived as underpriced by some due to its monetization potential. It highlights Snapchat's low revenue per user compared to other mobile apps and its untapped advertising and in-app purchase opportunities. The competition with Instagram is noted, with both platforms targeting similar demographics. The discussion also covers investment decisions, including a past $3 billion offer from Facebook, and the unique growth of Snapchat outside San Francisco, challenging conventional venture capital beliefs.

What was the initial public offering (IPO) price of Snapchat, and how was it perceived by some investors?

• $25.00, considered overpriced

• $20.00, considered fair

• $17.00, considered underpriced

• $10.00, considered overpriced

How does Snapchat's average revenue per daily active user compare to typical mobile app companies?

• It is about one-tenth

• It is about the same

• It is double

• It is half

What is the main competitive challenge Snapchat faces against Instagram?

• The battle for the same user demographic

• Instagram's larger user base

• Instagram's superior advertising strategy

• Snapchat's lack of features

What potential user demographic expansion could Snapchat achieve?

• From millennials to Generation X and Y

• From Generation Y to Generation Z

• From millennials to Generation Z

• From Generation X to millennials

What was the venture capital industry's belief about tech companies like Snapchat?

• They need to be in Southern California

• They can't succeed outside of San Francisco

• They should be based in New York

• They should focus on hardware