Report: Snapchat Asking For $750K Per Day For Advertisements
Snapchat has been increasing in popularity since its launch, as there are a ton of users that are joining in on the action and using the platform that allows them to make quick pictures and videos. Now, the team behind Snapchat is looking to capitalize on the popularity that they have managed to gain, as they are asking advertisers for 750,000 USD to run ads for one day.
The developers of the app believe that now they have managed to attract millions of consumers, who use the platform every single day, and with these many users, the company wants the brands advertising to pay more money as more people are now watching the ads.
$750K is certainly a huge amount of money, and it seems that the developers have decided to settle for less brands but they will take the large sum.
The news of this asking price comes from Adweek, as their sources have informed them that Snapchat has started to ask for $750K a day from the brands that are looking to advertise on the famous platform. One of the agency executives, who talked about the advertising on Snapchat stated:
They [Snapchat] have minimums, and they are very firm on them. From a monetization perspective, they are looking for fewer, bigger, better. We have clients for whom Snapchat works really well. It’s good for a product launch or a rebranding like McDonald’s has done.
If you look at the popularity of Snapchat, these rates are very much expected and their focus on dealing with the best in the industry will surely earn them the money that they are looking for. Snapchat gets millions of users every single day which is why they have the authority to change the advertisement rates whenever they want.
By increasing the rates, the company might lose some of the previous brands, but there will certainly be more in the pipeline. No comment on the pricing has been made by Snapchat, as their rep stated that they do not discuss the pricing details of their ads with anyone.
Few of the sources also claimed that running ads on Snapchat doesn’t give you an idea of who is actually watching the ad, as there is no way of knowing how many men and women watched the ad, and there are no age breakouts either. So, the platform has its disadvantages as well.
Even with this high price for one day ads, I am sure that there will be many companies that will opt to run their ad on Snapchat.
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