Twitter Reveals Why It Hides Daily Active User Figures

September 11, 2017

We are living in an age where the process of data tracking has become very smooth and easy, acknowledging the tools like Google and Social-media analytics. Still, Twitter has managed to maintain its legacy. It has carved its own path that is different from other social-media websites.

What Twitter does that distinguishes it from other social-media websites?

Twitter hides its daily active user (DAU) growth while other social-media websites channelize all their efforts to showcase these details since they believe it helps them garner the attention of a massive audience, generating a huge fan base.

Why does Twitter hide its daily active user figures?

Twitter hides its daily active user figures because it believes that the revelation of DAU growth will turn out to become a nasty comparison trick. Its DAU growth will always be subject to comparison with other social-media networks like Snapchat and Facebook, giving up an idea of highlighting active users’ growth.

Twitter’s statement in response to the Securities and Exchange Commission (SEC)’s question

When the Securities and Exchange Commission (SEC) asked Twitter about its reason to hide its daily active user progress, Twitter said that since the absolute number of DAUs is not as important as the percentage change in DAUs so it refrains from sharing its DAU details. Twitter further revealed that the percentage change that arises in DAUs determine whether users’ engagement is decreasing or increasing relatively.

In the light of a report given on Business Insider

Business Insider published a report regarding this matter where it focused on the belief of Twitter. Twitter believes that company’s investors should focus and emphasize on the change in percentage rather than the absolute DAU to get rid of confusion and chaos when comparing a company with other companies who reveal information with respect to DAUs. Having said, the key is to use various definitions of DAUs, entailing different segments of various user bases.

Twitter has added no users since its first quarter while acquiring $574 million revenue in the second quarter, leading to a five percent yearly decrease in revenue.

Still, Twitter has more than 300 million active users who use Twitter on a daily basis. These monthly active users (MAUs) play a key role in earning a great amount of revenue. A surprising part is that it had reported about this in the first quarter.

Jack Dorsey, Twitter’s CEO said that monthly active usage added five percent to YoY while the daily active usage (DAU) added twelve percent to YoY, making a third consecutive quarter of double-digit numbers.

Conclusion

DAU numbers shrink the Twitter’s deteriorating user base because DAU growth rate shows that existing users are inclined towards micro-blogging site. We hope that Twitter will achieve all its goals whether it reveals about them or not.

Author


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