First of all, you can see the number of users of Snapchat is very impressive with more than 293 million active users, and it is increasing annually with 2 digits rate (20% year on year). And those people do not just open the app for checking newsfeed or surfing interesting content. Actually, the average user spends about 30 minutes per day contacting and communicating with their friends visually through Snapchat.
Imagine that only 0.1% of daily active users can be converted into your potential customers just by impression ads if you still think that number 293 million people is still a small pie.
In addition to user number, the demographic of users on Snapchat is similar to Tiktok, and other young social platforms with more than 75% of users are young and belong to Millennials and Gen Z. According to the Omnicore agency, there are 51% of Snapchat users are 25+ years old. The survey also pointed out that Millennials make up the largest generation in U.S. history, and on a global scale, Gen Z is even bigger. Those generations are familiar with branded campaigns and products.
According to Sproutsocial, Snapchat also reaches 75% of 18 to 34 year-olds in the US. So it makes sure that is why 13-year-old girls swapping face by smartphone filter is not your targeted customer.
Also, keep in mind that many Snapchat users don’t actually use Facebook. These are new and exclusive audiences that, figuratively speaking, can only be reached via Snapchat.
One important factor that contributes to the special Snapchat audience is the spending power of users. You may hear that Millennials have impulsive spending habits like YOLO style- You only live once. Together with Millennials, GenZ Snapchatters also cover $1 trillion in spending power. On their own, they’ve got $323 billion in direct and $1.2 trillion in indirect purchasing power. Moreover, 87% of Gen Z users answered that their purchase decision was based on family and KOL/influencers on ads.
The difference between the two-generation on brands’ preferences is huge. There’s no better place to reach this influential community than on Snapchat.
Finally, to cover the potential range of customers faster, you need advertisement as a booster. Fortunately, the cost of Snapchat advertising is quite low compared to other platforms. Only from $5 can start an ad for more than 290 daily active users.
According to Marketingdive, Snapchat ads in the first quarter of the year cost an average of $2.95 per thousand impressions, compared with $4.20 on Instagram and $5.12 on Facebook.
How that is possible? All cost advantages come from ads optimization which bases on precise Snap pixels
To achieve that efficiency, marketers should run ads first to let pixels learn data for better optimization later
Snap Pixel lets you see what actions Snapchatters take after they swipe up or tap the CTA on your ad. By placing the Snap Pixel code on your website, you can measure performance metrics like lifetime value, return on ad spend, and total sales achieved from your campaigns.
You can re-engage with the Snap Pixel. Actually, Snap Pixel allows you to track actions taken on your website, so you can measure campaign impact and optimize accordingly. You can track purchases, optimize for any conversion event, and of course retarget, retarget, retarget.
Especially US Snapchat ads let you use pixel data to utilize location targeting to maximize the relevant target customers.