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Twitter (TWTR) Tests Stickers: Another Attempt to Add Users?

According to a Re/Code report, Twitter Inc. TWTR is testing a new feature which allows to users to add images to photos before posting. The feature is called "Stickers" for now while Twitter is also considering other names like Stamptags, Taptags and Stickits.

Stickers is quite similar to Twitter’s celebrity exclusive photo app, Twitter Camera and Facebook’s FB Sticker Tool.

Quoting Twitter, Re/Code said that Stickers will also let users “see how other users from around the world have edited the same photo” and “suggest photos that you can edit and post to participate in trending conversations and breaking news.”

However, Re/Code was unsure about how Twitter would obtain those photos or determine which ones to recommend.

Stickers appears to be one of many attempts by Twitter to boost the dwindling user base. Analysts believe that such tools attract new users as well as increase the engagement level of the current users by allowing them to be creative with photos they post online.

Earlier, to make Twitter more engaging, tweets began to be displayed in a new way, live video streaming app Periscope was integrated in the feed and the star icon that stood for favorites was replaced by a bright red heart shaped button for likes. Also, it increased the limit for direct messages to 10K from 140 characters. Twitter made tweets available on Google search to woo the 500 million users who do not log in but keep a track of tweets, according to Dorsey. Last December, the company launched ads for logged out users. Its news curation tool, Moments, was a step in the same direction. However, CEO Jack Dorsey recently rubbished rumors that the company’s signature 140-character limit was being lifted.

Twitter has become a strong platform for self expression within 10 years of its inception. However, of late, it has been struggling to grow the user base and boost profits. At just 320 million users it has a long way to go before it can match Facebook, Alphabet’s GOOGL YouTube, WhatsApp (close to 1 billion) or even the photo sharing service, Instagram, with more than 400 million users. In the last reported quarter, the company incurred an operating loss of $67.2 million.

At present, Twitter carries a Zacks Rank #3 (Hold). A better-ranked stock in the same space is Paylocity Holding Corporation PCTY sporting a Zacks Rank #1 (Strong Buy).

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FACEBOOK INC-A (FB): Free Stock Analysis Report
ALPHABET INC-A (GOOGL): Free Stock Analysis Report
PAYLOCITY HLDG (PCTY): Free Stock Analysis Report
TWITTER INC (TWTR): Free Stock Analysis Report
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