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Visualizing the Social Media Universe in 2020

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Visualizing the Social Media Universe in 2020

Social media has seeped into virtually all aspects of modern life. The vast social media universe collectively now holds 3.8 billion users, representing roughly 50% of the global population.

With an additional billion internet users projected to come online in the coming years, it’s possible that the social media universe could expand even further.

How the Networks Stack Up

To begin, let’s take a look at how social networks compare in terms of monthly active users (MAUs)—an industry metric widely used to gauge the success of these platforms.

RankSocial NetworkMAUs In MillionsCountry of Origin
#1Facebook2,603🇺🇲 U.S.
#2WhatsApp2,000🇺🇲 U.S.
#3YouTube2,000🇺🇲 U.S.
#4Messenger1,300🇺🇲 U.S.
#5WeChat1,203🇨🇳 China
#6Instagram1,082🇺🇲 U.S.
#7TikTok800🇨🇳 China
#8QQ694🇨🇳 China
#9Weibo550🇨🇳 China
#10Qzone517🇨🇳 China
#11Reddit430 🇺🇲 U.S.
#12Telegram400 🇷🇺 Russia
#13Snapchat397 🇺🇲 U.S.
#14Pinterest367 🇺🇲 U.S.
#15Twitter326 🇺🇲 U.S.
#16LinkedIn310 🇺🇲 U.S.
#17Viber260🇯🇵 Japan
#18Line187🇯🇵 Japan
#19YY157🇨🇳 China
#20Twitch140 🇺🇲 U.S.
#21Vkontakte100 🇷🇺 Russia

Here’s a closer look at individual social platforms, and their trials and tribulations:

Facebook

To put it mildly, Facebook has had its hands full. A flurry of companies are boycotting Facebook’s ads, while the platform struggles to fend off the spread of misinformation.

Yet, its stock price continues to advance to new highs while the traditional economy faces less than rosy forecasts. Facebook still possesses the largest cohort of users, inching closer to the 3 billion MAU mark—a breakthrough yet to be achieved by any company.

Snapchat

Snapchat and founder Evan Spiegel have had a bumpy road since their IPO in 2017. The stock price reached its nadir near $4 in 2018, reflecting investor concerns tied to the introduction of Instagram Stories. In recent times, the stock has advanced past the $20 mark, although there is still long-term unclarity around monetization and profitability.

YouTube

YouTube competes head on against traditional television and streaming programs for eyeballs. The platform raked in revenues of $15.1 billion in 2019, nearly double their figures in 2017.

Parent company Alphabet has invested in YouTube with new rollouts like YouTube Music (merged with what was once Google Music) and YouTube Premium—a bundled subscription-based platform providing music, ad-free content, and YouTube Originals. By the looks of it, the future of YouTube will be much more than just videos.

WeChat

The biggest social platform in China, WeChat has flourished, now holding a whopping 1.2 billion MAUs. As part of the Tencent Holdings conglomerate, they belong to the BATX group that is seen to lock horns with America’s Big Tech.

Reddit

There have been whispers of a Reddit IPO on Wall Street for some time now. While such an event has not yet materialized, Reddit’s success certainly has. With 430 million MAUs relative to 330 million in 2018, the company continues to attract a larger audience. The notion of community has taken on a different meaning in the digital age, and Reddit represents this transition with their ever-growing network of users.

Instagram

Instagram has been vital to Facebook’s success, since its $1 billion acquisition in 2012. The platform attracts a younger audience compared to Facebook and it has demonstrated an ability to remain versatile, specifically by implementing Instagram Stories and Reels.

Twitter

Busy schedules don’t seem to faze Jack Dorsey who has not one, but two CEO jobs in Twitter and Square. Twitter has been able to achieve profitability in the last two years, reporting net income figures of $1.2 and $1.5 billion in 2018 and 2019 respectively. They no doubt have their work cut out for them as they continue to combat fake news and similar controversies on their platform.

TikTok

If any publicity is good publicity, then 2020 has been TikTok’s year. Headlines include privacy breaches with alleged ties to the Chinese Communist Party, a banning of the app by India Prime Minister Narendra Modi, and now, talks of a partial U.S. acquisition. Potential acquirers include leaders Microsoft, Twitter, and Oracle.

Social Media Under Trial?

Despite the list of headwinds social media has faced, about half of the world is now on it—and there seems to be no end in sight for future growth.

How have companies with exposure to the social media universe fared in 2020 so far?

Companies With Exposure To Social MediaYTD Price Returns
Pinterest83%
Tencent Holdings43%
Snapchat32%
Facebook30%
Twitter22%
Alphabet17%

Widespread participation in social media comes with its fair set of problems. Some companies such as Facebook have found themselves in the crosshairs on both sides of the political spectrum. As concerns grow around privacy and data, social media will be front and center in shaping the future of government, business, and politics.

Only time will tell just how high user counts will reach. The long-term trajectory suggests there’s more room left in the engine. There are still parts of the world that are just beginning to possess the technological infrastructure for social media to be a possibility. It’s plausible future growth will come from that avenue.

If stock prices of companies linked to social media are of relevance, their performance this year paired with the fact that they are trading near all-time highs supports such a growth thesis.

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Ranked: The Most Innovative Companies in 2021

In today’s fast-paced market, companies have to be innovative constantly. Here’s a look at the top 50 most innovative companies in 2021.

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Most Innovative Companies 2021

Ranked: the Top 50 Most Innovative Companies in 2021

This year has been rife with pandemic-induced changes that have shifted corporate priorities—and yet, innovation has remained a top concern among corporations worldwide.

Using data from the annual ranking done by Boston Consulting Group (BCG) using a poll of 1,600 global innovation professionals, this graphic ranks the top 50 most innovative companies in 2021.

We’ll dig into a few of the leading companies, along with their innovative practices, below.

Most Innovative Companies: A Breakdown of the Leaderboard

To create the top 50 innovative company ranking, BCG uses four variables:

  • Global “Mindshare”: The number of votes from all innovation executives.
  • Industry Peer Review: The number of votes from executives in a company’s industry.
  • Industry Disruption: A diversity index to measure votes across industries.
  • Value Creation: Total share return.

For the second year in a row, Apple claims the top spot on this list. Here’s a look at the full ranking for 2021:

 CompanyIndustryHQChange from 2020
1AppleTechnology🇺🇸 U.S.--
2AlphabetTechnology🇺🇸 U.S.--
3AmazonConsumer Goods🇺🇸 U.S.--
4MicrosoftTechnology🇺🇸 U.S.--
5TeslaTransport & Energy🇺🇸 U.S.+6
6SamsungTechnology🇰🇷 South Korea-1
7IBMTechnology🇺🇸 U.S.+1
8HuaweiTechnology🇨🇳 China-2
9SonyConsumer Goods🇯🇵 Japan--
10PfizerHealthcare🇺🇸 U.S.Return
11SiemensTechnology🇩🇪 Germany+10
12LG ElectronicsConsumer Goods🇰🇷 South Korea+6
13FacebookTechnology🇺🇸 U.S.-3
14AlibabaConsumer Goods🇨🇳 China-7
15OracleTechnology🇺🇸 U.S.+10
16DellTechnology🇺🇸 U.S.+4
17Cisco SystemsTechnology🇺🇸 U.S.-5
18TargetConsumer Goods🇺🇸 U.S.+4
19HP Inc.Technology🇺🇸 U.S.-4
20Johnson & JohnsonHealthcare🇺🇸 U.S.+6
21ToyotaTransport & Energy🇯🇵 Japan+20
22SalesforceTechnology🇺🇸 U.S.+13
23WalmartConsumer Goods🇺🇸 U.S.-10
24NikeConsumer Goods🇺🇸 U.S.-8
25LenovoTechnology🇭🇰 Hong Kong SARReturn
26TencentConsumer Goods🇨🇳 China-12
27Procter & GambleConsumer Goods🇺🇸 U.S.+12
28Coca-ColaConsumer Goods🇺🇸 U.S.+20
29Abbott LabsHealthcare🇺🇸 U.S.New
30BoschTransport & Energy🇩🇪 Germany+3
31XiaomiTechnology🇨🇳 China-7
32IkeaConsumer Goods🇳🇱 NetherlandsReturn
33Fast RetailingConsumer Goods🇯🇵 JapanReturn
34AdidasConsumer Goods🇩🇪 GermanyReturn
35Merck & Co.Healthcare🇺🇸 U.S.Return
36NovartisHealthcare🇨🇭 Switzerland+11
37EbayConsumer Goods🇺🇸 U.S.Return
38PepsiCoConsumer Goods🇺🇸 U.S.Return
39HyundaiTransport & Energy🇰🇷 South KoreaReturn
40SAPTechnology🇩🇪 Germany-13
41InditexConsumer Goods🇪🇸 SpainReturn
42ModernaHealthcare🇺🇸 U.S.New
43PhilipsHealthcare🇳🇱 Netherlands-20
44DisneyMedia & Telecomms🇺🇸 U.S.Return
45MitsubishiTransport & Energy🇯🇵 JapanNew
46ComcastMedia & Telecomms🇺🇸 U.S.New
47GETransport & Energy🇺🇸 U.S.Return
48RocheHealthcare🇨🇭 SwitzerlandReturn
49AstraZenecaHealthcare🇬🇧 UKNew
50BayerHealthcare🇩🇪 Germany-12

One company worth touching on is Pfizer, a returnee from previous years that ranked 10th in this year’s ranking. It’s no surprise that Pfizer made the list, considering its instrumental role in the fight against COVID-19. In partnership with BioNTech, Pfizer produced a COVID-19 vaccine in less than a year. This is impressive considering that, historically, vaccine development could take up to a decade to complete.

Pfizer is just one of four COVID-19 vaccine producers to appear on the list this year—Moderna, Johnson & Johnson, and AstraZeneca also made the cut.

Meanwhile, in a completely different industry, Toyota snagged the 21st spot on this year’s list, up 20 places compared to the rankings in the previous year. This massive jump can be signified by the company’s recent $400 million investment into a company set to build flying electric cars.

While we often think of R&D and innovation as being synonymous, the former is just one innovation technique that’s helped companies earn a spot on the list. Other companies have innovated in different ways, like streamlining processes to increase efficiency.

For instance, in 2021, Coca-Cola performed an analysis of their beverage portfolio and ended up cutting their brand list in half, from 400 to 200 global brands. This ability to pare down and pivot could be a reason behind its 20 rank increase from 2020.

Innovation Creates Value

As this year’s ranking indicates, innovation comes in many forms. But, while there’s no one-size-fits-all approach, there is one fairly consistent innovation trend—the link between innovation and value.

In fact, according to historical data from BCG, the correlation between value and innovation has grown even stronger over the last two decades.

Most Innovative Companies 2021

For example, in 2020, a portfolio that was theoretically invested in BCG’s most innovative companies would have performed 17% better than the MSCI World Index—which wasn’t the case back in 2005.

And yet, despite innovation’s value, many companies can’t reap the benefits that innovation offers because they aren’t ready to scale their innovative practices.

The Innovation Readiness Gap

BCG uses several metrics to gauge a company’s “innovation readiness,” such as the strength of its talent and culture, its organization ecosystems, and its ability to track performance.

According to BCG’s analysis, only 20% of companies surveyed were ready to scale on innovation.

Scaling Innovation

What’s holding companies back from reaching their innovation potential? The most significant gap seems to be in what BCG calls innovation practices—things like project management or the ability to execute an idea that’s both efficient and consistent with an overarching strategy.

To overcome this obstacle, BCG says companies need to foster a “one-team mentality” to increase interdepartmental collaboration and align team incentives, so everyone is working towards the same goal.

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Timeline: Looking Back at 10 Years of Snapchat

A high level look at Snapchat’s 10-year history, including user growth, innovative product design, and the twists and turns along the way.

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10 years of snapchat

Looking Back at 10 Years of Snapchat

Over the years, many ideas have emerged from the dorm rooms at Stanford University, but not all of them evolve into billion dollar companies.

Snapchat, however, has beaten the odds. The company’s stock has recently shot up during the COVID-19 pandemic, a bright spot in a decade of highs and lows.

The graphic above is a high level look at Snapchat’s 10-year history, including user growth and financials. Snapchat’s wild ride from start-up to massive success is well documented, so we’ll focus on key elements of story—product design, the Facebook rivalry—and look at how the company is doing today now that the hype surrounding the app has died down.

But first, a quick history…

Setting the Scene

Snapchat originally began its life as a project called Picaboo in 2011.

Cofounders Evan Spiegel, Bobby Murphy, and Reggie Brown, who were attending Stanford, began building an app that could send photos that disappear after a certain amount of time.

Picaboo was renamed Snapchat in 2012, and by the end of that year, it was clear that the start-up was onto something big. A $13.5 million Series A financing in early 2013 helped fuel the company’s explosive growth.

Positive Momentum: Product Design

One of Snapchat’s biggest strengths over the years has been innovative product design. Many of the features we now see baked into every social app originated from Snapchat.

Here’s a quick rundown of Snapchat’s key feature and product development over the past decade.

snapchat feature product timeline

Of all the features listed above, the concept of stories is perhaps the most significant contribution to the digital landscape. Disappearing short-form videos started off as a messaging tool, but ended up transforming the way people share their lives online.

As well, the forward-looking acquisition of Looksery in 2015, helped introduce millions of people to augmented reality (AR). AR continues to be a major growth driver for Snapchat today, as advertisers embrace the Lenses feature.

Negative Momentum: Facebook Rivalry

To Mark Zuckerberg’s credit, he realized the potential of Snapchat early.

When the company was only one year old, the Facebook CEO offered the Snapchat founders $60 million to buy the company. When they rejected the offer, Facebook almost immediately launched an app called Poke which was extremely similar to Snapchat’s offering. You’d be forgiven for not knowing what Poke is, as the app received a tepid reception and was quietly shut down in 2014.

“I hope you enjoy Poke.” – Mark Zuckerberg, in an email to Evan Spiegel

For Snapchat, Poke was a blessing in disguise as it brought even more attention to their growing app. Mark Zuckerberg, however, was not done trying to steal the company’s thunder. After offering $3 billion in cash to purchase Snapchat (the offer was once again rebuffed), Facebook copied a number of features from Snapchat and integrated them into Instagram.

Stories were a massive hit for Instagram, and Snapchat, which could not yet match Instagram’s scale, took a big hit. Growth began to slow noticeably after that Instagram update.

Snapchat Today

Snapchat hit rock bottom in 2018 after shares dropped below the $5 mark, and user growth had stalled out. As well, underwhelming sales of Snapchat’s Spectacles product garnered negative press and hurt the brand’s “cool factor”.

Today though, the situation looks much different. The app still has a strong market share with the younger demographic, and close to 300 million daily active users. Snapchat was one of the many digital companies to benefit from the COVID-19 pandemic (or, at least, the increase in digital content consumption), and the share price has rocketed to new highs. One other promising indicator is the company’s rising average revenue per user, or ARPU.

arpu revenue per user snapchat

Of course, as the last 10 years have shown, success is not guaranteed. TikTok is still a significant competitor with a lot of momentum, and tastes can change quickly in the digital world. That said, there is a positive path forward for Snap Inc.

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