MNTN CEO Mark Douglas on Snap Earnings and Digital Ad Market

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Mark Douglas, CEO of MNTN, recently joined CNBC to discuss Snap earnings and the weakening digital ad landscape with Oppenheimer’s Jason Helfstein on The Exchange.

When asked whether SNAP’s recent troubles were specific to them, or just a symptom of a broader digital ad slowdown, Jason Helfstein expressed that it is mostly likely centered around Snap, “There are categories that are pulling back, but I think that the other companies that are reporting next week, namely Meta and Alphabet, have a much deeper advertiser bench. And so they’re just better able to deal if you do see some pull backs.” Instead, Helstein believes the bigger issue for Snap is that they haven’t developed robust enough ad products for direct response and performance advertisers.

Douglas explained that when you look at the overall ad market, you have to divide it into brand and direct response, and notes that brand advertising tends to get cut when times are tough, “With Snap, they’re facing so many pressures: competition from TikTok, slowing user growth in the U.S. which has been happening for years, and I think it’s finally starting to catch up with them. And their ad business is not all direct response.”

For the rest of the conversation, check out the link below.