Venmo, the popular peer-to-peer payment app that lets pay back your friends for things like cabs and concert tickets easily and instantly, processed almost $US1 billion in transactions during the fourth quarter. But its growth is slowing down — big time.
Based on data from eBay-owned PayPal (which owns Braintree, which owns Venmo) charted for us by BI Intelligence, Venmo payments grew just 29% quarter-over-quarter, compared to 50% in the previous quarter.
BI Intelligence points out a few possibilities for the growth stagnation in the last quarter, including a decreased ad spend, or slower business due to college winter break. But it’s also possible Venmo’s slowed growth is an indicator of this market beginning to reach saturation: Most notably, Snapchat, one of the hottest messaging apps valued around $US10 billion, introduced a platform for mobile peer-to-peer payments, called Snapcash. It even has a snazzy theme song.