'WaPo,' Snap Sign Distribution Deal To Reach Millennials

The Washington Post just entered into a distribution deal with Snap, Inc. to increase its reach among younger users. The publication -- owned by Amazon head Jeff Bezos -- debuted a daily Discover Edition on Snapchat on Monday.

As such, WaPo becomes Snap’s first editorial partner to provide multiple news updates through the day, seven days a week. At launch, the Discover Edition is being tailored to readers in United States, Canada, and the United Kingdom.

For Emilio Garcia-Ruiz, managing editor for WaPo, the partnership is all about reaching new and bigger audiences.  “As we invest more in the platform, we look forward to growing an even larger audience,” stated Garcia-Ruiz.

In Discover, WaPo said it plans to focus on producing “fast, visually captivating and experiential” storytelling. That means taking readers behind the scenes -- both nationally and around the world -- in curated editions that feature breaking news and analysis.

The partnership comes just weeks after The New York Times said it was preparing to launch a daily edition on the Snapchat Discover platform.

Snap finally made its IPO plans public last week.

Set to trade on the New York Stock Exchange as SNAP, the self-described “camera company” plans to raise $3 billion, per its S-1 filing. The offering -- which could come within the month -- is expected to value Snap at somewhere between $20 billion and $25 billion.

Attempting to whet investors’ appetites, Snap said in its filing: “Our advertising business is still young, but growing rapidly.” Indeed, the company saw revenue of $404.5 million last year -- up more than 600% from the $58.7 million it generated in 2015.

Along with growing membership, Snap is increasingly making more ad revenue from each user.

Worldwide, average revenue per user (ARPU) in the last three months of 2016 was $1.05 -- up from $0.31 during the same period a year earlier. In North America, Snap’s ARPU in the last three months of 2016 was $2.15 -- up from $0.65 year-over-year.

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