Are Snapchat Ads Worth It? (The Answer)
Snapchat is one of the biggest social media platforms in 2019 – but are Snapchat ads worth it? They are if you’re targeting the right people. Businesses who know how to use Snapchat for their marketing are going to succeed in 2019, but you need to determine if the platform is right for you or not. Because it’s not right for everyone.
In this article, I’ll go over everything that you need to know about Snapchat and the audience it reaches. The platform has a lot going on behind the scenes, and you’re going to lose money if you’re not using it correctly. There are very few businesses who should be using Snapchat ads – I’m going to set you up to decide if that’s you.
Snapchat ads are expensive, which is the primary reason that many people should avoid it. To advertise on Snapchat, you need to spend a minimum of $50 a day. That totals out to about $1,500 a month, which is an insane number for social media advertisers.
However, people are looking to grow their brand with a younger audience might find that Snapchat ads are worth it for them still. You can’t underestimate the love that so many late teens and college kids swear by Snapchat. The facts about how they use it is astounding.
For the people who aren’t trying to develop a brand with that audience, though (whether that’s because you’re not targeting that audience or you’re looking for sales) this is short. Snapchat ads aren’t worth it for you. But this can still be a learning experience for how to evaluate advertising in general.
Bad marketing opportunities don’t exist, not objectively. It’s important that you’re able to look at what appears to be bad and figure out where it’s good. By the end of this article, you should be able to come up with a few ideas of businesses that should be on Snapchat.
Factors To Think About When Evaluating Snapchat Ads
The first thing you should look at when determining if Snapchat ads are worth it is the user demographic. This is one thing you need to consider with every advertising opportunity. For Snapchat, the primary users are between 13 and 34. More than 70% of Snapchat users are women.
Even within the 13 – 34 range, the audience on Snapchat is going to skew young. If Snapchat ads are worth it for you, you’re targeting Gen Z and late millennials. 45% of Snapchat users are between 18 and 34, and 30% of millennials use Snapchat daily. Those who do are checking Snapchat multiple times a day.
One question you should always ask is whether your ideal customer is on a platform or engaging with content. In this case, this target audience is very engaged. People who are checking it daily or checking it several times daily, and usually clearing out all the content on their feed. This gives you a lot of opportunities to get in front of this audience.
Another question you should ask is if your target audience has the disposable income to make the advertising worth it for you. $50 a day can add up quickly for a lot of businesses, and a lot of people in the Snapchat audience aren’t big spenders. You might be able to get enough conversions to make it worth it with the amount of engagement, though.
The final question I’m going to ask you to ask is about the cost. I’ve already told you the astronomical advertising cost with Snapchat, and that’s definitely something to consider. But you should also consider the cost to create the ad – with Snapchat, this can be just as expensive as other platforms.
With that being said I’m not saying you shouldn’t market on Snapchat. In fact, I actually have a full guide here on Snapchat Marketing, if you still want to use the platform for your business.
My Opinion on Snapchat Ads
I think that 99% of businesses wouldn’t benefit from Snapchat ads, and I wouldn’t recommend them to most people. The cost is prohibitive, and the demographic is pretty narrow. If your product or service isn’t catering to a younger audience, I wouldn’t expect that you’ll see good results.
For reasons, I’ll explain below, most local businesses aren’t going to do well, either.
I would use Snapchat if my client was working with that audience, though. Because the audience is so engaged, the ads can work really well if you’re in the perfect scenario to allow them to work. For a business who is targeting Generation Z or millennials and can afford the high price, Snapchat ads are definitely worth it.
Snapchat Ads Worth It For You?
To determine whether Snapchat ads are worth it for you, you need to consider if your business is going to benefit from being seen by the right audience. This means not only their age but also they’re likeliness to perform the action that you want them to perform. Snapchat ads perform best when you can do one of two things.
The first thing you can do to make sure that Snapchat ads are going to be worth it for you is to put people directly into a sales funnel. People who use Snapchat aren’t going to retain the information for long, because they’ll move on to the next thing in 10 seconds. So, you need to get them to swipe up.
If you can effectively put people into a sales funnel or get them to buy from the ad, then you can do well with Snapchat ads. This works best for product-based businesses, where you can show off what you’re doing in the 10 seconds you get. Delivering a message in that short of a time can be difficult, though.
The other way you can get Snapchat ads to work for you is by focusing on the branding aspect. This is what a majority of people who are currently using Snapchat are using it for. The primary way that people are advertising on the platform profitably right now is through filters, which are purely branding ads.
People are very engaged on Snapchat, but they tend to be engaged passively. That means that they’re consuming content, but not in a way where they necessarily expect a call to action. But for many businesses, simply being seen is enough to meet their goals.
It’s hard to measure the effectiveness of branding, but you don’t necessarily need to be able to. Having a far-reaching brand can be enough of an ROI in and of itself. For brands and companies who can afford to be patient, Snapchat is a powerful tool.
Again, you’re tasked with the ability to build that brand in 10-second snippets. Preferably, a series of 10-second snippets. But either way, you need to be able to deliver a message and develop a brand in a short amount of time.
Very visual brands can leverage Snapchat well. If you want to leverage Snapchat, you need to make your brand more visual.
Who Benefits From Them The Most?
When asking are Snapchat ads worth it, there are a few ways to break down the businesses they are worth it for. The first way to split it is by digital businesses and physical businesses. If you are a local business, you shouldn’t be using Snapchat.
First, digital businesses tend to be able to allocate more money to digital advertising. It’s their rent on the internet. Snapchat ads will always go to the highest bidder, so low bids won’t be seen. And the ads aren’t likely to convert to foot traffic – unless your creative is really amazing.
There are also some industries that will do better than others. First, you need to be a business to consumer business. Selling to other businesses on Snapchat shouldn’t go through ads, but I’ll talk about that more later. Restaurants are the type of business I would expect could do well, because they’re profitable and experiential businesses.
Beyond that, any sort of consumer business can work. But you can also break this down by product. There are three types of products that I would expect to do well on Snapchat. The first is clothing – fashion and lifestyle brands always do well with the audience that Snapchat reaches. Streetwear brands, for example, should be on Snapchat.
The other two types of product are fun products and novelty items. The type of thing that a younger audience is likely to buy and be able to buy on a whim. If your product is entertaining by itself, people might buy straight away. If your product isn’t, it won’t fit on the platform.
But, in general, I don’t think Snapchat ads are worth it. They’re expensive and pretty niche. If you’re not rich and not in that niche, the answer to “are Snapchat ads worth it” is a no for you. I would consider Snapchat ads for certain businesses in certain industries with a specific slant on their brand. I would also consider Snapchat ads for businesses looking to build a brand online with a younger audience.
At a minimum of $1,500 a month – without even considering how effective that’s going to be – I’m wary of Snapchat ads.