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As it works to expand its international business opportunities, Snapchat has opened a new office in Paris, while it’s also expanding its relationships with local AR artists and creators to reinforce its leadership on this element.
As explained by Snap:
“Snap is excited to announce the opening of its new office in Paris. This strategic development confirms Snap’s strong presence in France and reaffirms its long-term commitment to innovation, creativity, and the growth of the local digital ecosystem. The opening of this new 4,000-square-meter office in the heart of Paris marks a new milestone for Snap and its more than 100 employees in France, designed to foster synergy and creativity within its teams.”
That’s a pretty big office space for a primarily online company, which, as Snap notes, reaffirms its commitment to the region, and contributing to local tech and arts development.
“France stands out as one of the most dynamic and strategic markets for Snap globally, with a rich ecosystem of partnerships: Numerous local media outlets, major cultural institutions, influential creators, and iconic brands trust us to activate large-scale campaigns and partnerships.”
That last point is important, because at this stage, Snap has struggled to maximize its revenue opportunities in markets outside the U.S.
Around 60% of Snap’s revenue comes from the North American market, with just 18% coming from Europe. That’s despite Snap seeing an almost equal amount of users in each of these markets, with the majority of Snap’s usage now coming from Asia, and India specifically.
In essence, that means that Snap is heavily reliant on its U.S. business to drive its revenue intake. And with the app’s growth stalling in both the U.S. and EU, it really needs to raise its EU revenue stats to capitalize on its opportunities.
Which is likely why it’s making France a bigger focus. Snap has 27 million monthly active users in France, making it its biggest EU market by a significant margin (Germany has 19 million users). And as such, establishing a local presence could help Snap drive more business in the region, while it’s also looking to invest in local creatives to solidify its presence.
“This creation also marks the launch of our AR Studio Paris’ artistic residency program: a unique space dedicated to cultural and technological experiences, through collaborations with contemporary artists. This program will welcome a select group of artists each year from various disciplines - design, visual arts, music, sculpture, etc. - to imagine, with the support of the AR developer community, immersive works designed to be experienced through Snap’s AR glasses, Spectacles.”