Snapchat experienced a tough Q4 last year with lower-than-expected ad growth and higher costs, leading to job cuts and project reductions. However, in Q1 this year, Snap shares rebounded due to improved ad performance, refocused business opportunities, and a significant push on SMBs, resulting in an 85% increase in SMB advertisers year-over-year.
Key Points from Snap's Webinar:
- Redesigned Ad Formats: Snap has unified the look and feel of promotions to drive desired outcomes for partners.
- AR Ad Options: Enhanced AR ad options, including a new "State-level First Story" and an all-day Lens Carousel takeover.
- Streamlined App Downloads: New features allow app installations with fewer taps without leaving Snapchat.
- New Bidding Capabilities: Specific features for mobile gaming advertisers and a new Value Optimization offering to bid on purchase value.
- 7/0 Delivery Optimization: A new bidding method for click-through conversions within seven days, leading to lower cost-per-purchase and higher ROAS.
- Expanded Partnerships: Collaborations with CRM partners and companies like Snowflake, Datahash, LiveRamp, and Tealium for better data integration and Conversions API assistance.
- Landing Page View Optimization: A new goal to improve KPIs such as session volume, landing page views, and reduced bounce rates.
- Machine Learning Improvements: Enhanced models have resulted in over 60% lower costs for some advertisers compared to traditional click engagement models.
These updates reflect Snap's broader direction in improving ad performance and optimizing advertiser ROI.
