Snapchat’s Advertisements

          The most frequent form of advertising we see on Snapchat is through the use of sponsored geofilters and sponsored lenses. These are filters that are designed for a specific location, time, or event. Typically, large businesses and corporations will use these geofilters and sponsored lenses to promote what they are selling. According to Four-Week MBA, the cost of sponsored lenses varies depending on the day of the week, but they typically cost about $450,000 per day, with costs rising for special events such as the Grammy’s (Cuofano, 2018). This may seem like a lot of money for a company to spend on advertising, however, millions of people are going to view that advertisement multiple times a day. According to an article called Starring in your own Snapchat Advertisement, by Joe Phua, “branded mobile apps have been found to increase target audience engagement with and positive attitudes towards brands. This is due to their ability to provide relevant, location-based advertising messages, and targeted advertisements to needs of consumers” (Phua, 2018). Another common way Snapchat uses advertisements is through their discover page. This is a page that consists of celebrity gossip, news stories, and advertisements. Snapchat has partnered with publishers to create daily news on their platform (Pahwa, 2018). This allows for more advertising opportunities as well as a way to get people to spend more time on this social media platform. Currently, discover ads typically start at $50,000 and get premium placement on the page (Cuofano, 2018). They receive this special placement because some of Snapchat’s biggest publishers get millions of views per day (Cuofano, 2018). Companies and organizations are realizing that Snapchat can be an effective way of targeting specific groups of people. With 178 million active users on Snapchat, it would almost be detrimental for a big corporation to not advertise on this social media platform (Cuofano, 2018).

References: 

Cuofano, G. (2018, November 10). Everything You Need to Know About Snapchat Business Model [Financial Infographic Inside]. Retrieved from https://fourweekmba.com/snapchat-business-model/

Pahwa, A. (2018, February 02). How does Snapchat Make Money? Snapchat Business Model. Retrieved from https://www.feedough.com/snapchat-make-money-snapchat-business-model/

Phua, J., & Kim, J. J. (2018). Starring in your own Snapchat advertisement: Influence of self-brand congruity, self-referencing and perceived humor on brand attitude and purchase intention of advertised brands. Telematics and Informatics.