Snapchat is exploding in popularity and is used by the younger generation, aka, people with little to spend. And, advertisements on social media are often both hated by users and a massive failure for advertisers. So, how does Snapchat monetize?
Today it was announced that Snapchat will sell “sponsored selfies”. The article states that “Snapchat will design the stickers on behalf of brands, with Hollywood studios likely to be among the first advertisers.”
If you don’t know what a Snapchat Selfie filter is feel free to read my article on how to barf a rainbow.
Do you see where this is going? As an example, if a new movie is coming out about dinosaurs, users may get something like a dinosaur selfie filter for a day.
Is this not massively underpriced?
I saw the initial pricing model and the first words that popped into my head were “WTF?!”
Snapchat wants to charge $750,000 for a peak day and $450,000 for a non – peak day for advertisements.
There are users on Snapchat who get $100,000 for a single days work. These users have ~2 million followers.
Snapchat gets 4 BILLION video plays per day. At a Snapchat celebrity’s rate they’d get $200 million for the same amount of exposure. So why charge $450k?
So let me get this straight; a 30 second ad seen by 114 million people is worth $4 million, but an ad which people can interact with and see an entire day, sometimes billions of times is only worth $450k???
Come on, Snapchat!
Who set this price? Do they have some other idea up their sleeve to make money? The network is exploding and the selfie filter idea is genius. Snapchat celebrities are already monetizing their own feed using this method.
Maybe they know something I don’t.If it were my network I’d charge more. A lot more.