Sir Martin Sorrell recently made an astonishing revelation: WPP’s clients spent $90 million on Snapchat ads in 2016. Our CEO, Jeri Smith, writes for MediaPost’s Marketing Daily on why most brands should steer clear of advertising on Snapchat. An excerpt:
I will say something for digital advertising: One of its best qualities is how it can lead a consumer down the latter stages of the path to purchase. Unfortunately, for CPG brands like the ones filling Snapchat’s coffers, their products have a much shorter, less considered purchase process. Even worse, that path is less likely to be traveled online.
I would love to see how CMOs from the CPG brands making up 19% of Snapchat’s revenue managed to justify that disconnect. Ditto the beverage brands that comprise a further 16% of the platform’s ad buys. And that’s without holding to account the first movers who bought Snapchat ads at a 93% mark-up when they debuted, eager to be seen as ahead of the curve.
To find out why brands are splashing out on such an ill-advised investment, read the whole piece.
