Snapchat is partnering with Datahash to improve ad performance through Conversions API (CAPI). Snapchat's CAPI allows advertisers to send web events from their servers directly to Snapchat, bypassing the need for browser-based tools like cookies. This privacy-centric approach has led to a 300% YoY increase in CAPI integrations in Q1 2024, contributing to Snapchat's 21% YoY revenue growth to $1.195 billion in the same period. The number of small- and medium-sized business advertisers on Snapchat also grew by 85% YoY in Q1.
Datahash, a leader in the first-party data space, will make it easier for advertisers to adopt CAPI. Their setup often takes about 15 minutes, requires no coding, and delivers strong Event Quality Scores (EQS) on Snapchat. Advertisers implementing both CAPI and the Snap Pixel have seen a 25% improvement in purchase value and an 18% decrease in costs.
CAPI helps advertisers optimize their Snapchat campaigns by leveraging first-party data instead of cookie-based identifiers. This results in strong conversion optimization, more accurate Return On Ad Spend (ROAS) reporting, and remarketing campaign enablement. Advertisers implementing CAPI have seen an increase in their EQS, with those having an EQS of 5 seeing a median ROAS increase of 26% compared to those with an EQS of 3.
The partnership between Snap and Datahash will also offer marketers access to a range of first-party setups including App CAPI, Offline CAPI, leads integrations, and Custom Audiences. Datahash will provide these services through a single, intuitive interface that integrates with other advertiser systems, requiring minimal IT development.
