Page 81 - November 2020

The Trials and
Tribulations of Social

Media
For companies that have a vested stake in
social media, there comes some complexities
attached. Some organizations such as
Facebook and Twitter frequently find
themselves in the tug of war of all sides of
the political spectrum.
Worries have mounted over the years over
privacy of data (inclusion of GDPR in the EU
being such an example), but social platforms
will still be paramount in shaping the futures
of administration, commerce and political
processes.
Internet speeds and availability are just
beginning to penetrate many parts of the
At World’s End world. With technologies like 5G the
The stormy winds that may have been faced by social media—and landscape as well as engagement patterns of
there seems to be no end in sight for future growth. How have social media platforms can drastically change
companies with exposure to the social media universe performed in to accommodate a more digitally connected
2020 until now? The Year to Date (YTD) price returns can give a small world. Future scalability can definitely come
preview of their performance. from these untapped regions.

83% COMPANIES WITH
EXPOSURE TO
SOCIAL MEDIA
% YTD Price Returns

17% 43%
22%

30% 32% Ahoy

Ahead
As these relatively new
social media
platforms, continue to
tread on uncharted
Source: waters only time can
www.visualcapitalist.com tell how high these
current MAUs may
Pinterest although at the bottom 50% of the top 20 MAU rankings, tops YTD of companies reach. As they tread
with exposure to social media with 83% price returns. China’s Tencent Holdings have 43% newer uncharted
while Snapchat comes in third with 32%. Facebook, Twitter and Alphabet complete list of waters, the current
YTP Price Returns. growth rate suggests
If share prices of companies linked to social media are of importance, their performance this this may be just the tip
year in conjunction with the fact that they are outperforming stock trading with all-time of the iceberg.
highs supports such a trajectory hypothesis.

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