Snapchat can’t stop losing.
Earlier this week, the popular app faced serious backlash after posting an ill-conceived advertisement that appeared to make light of domestic violence. The ad was for a game called “Would You Rather?” and presented users with the following question: Would they rather “slap Rihanna” or “punch Chris Brown”? It was a particularly problematic ad due to the former couple’s highly publicized abusive relationship, in which Brown pleaded guilty to assaulting Rihanna in 2009.
Needless to say, it was a huge mistake that has cost the company a wild amount of money. And we mean wild. Just one day after Rihanna blasted Snapchat for the distasteful ad, CNN Tech reports that the app’s stocks have since dropped 4 percent, thus wiping out nearly $800 million in its market cap. Let this be a lesson for all publicly traded companies: Don’t get on RiRi’s bad side.
On Thursday, the 30-year-old singer released a blistering statement on her Instagram account, in which she accused Snapchat of exploiting domestic violence victims. She ended her comments with, “Throw the whole app-oligy away.” And, of course, the Navy followed orders.
Snapchat has issued a number of apologizes since removing the ad; it also added a member of National Network to End Domestic Violence to its board.
Earlier this year, the company’s stock took a dive after Kylie Jenner announced she no longer uses the app. In that instance, Snapchat’s shares fell 7 percent.
