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Snapchat to Start Showing Ads From Verizon, Warner in ‘Stories’

Evan Spiegel Snapchat

For the first time Snapchat has released an advertising API for its platform, called Snapchat Partners. The new Snap Ad format allows advertisers via third party collaborators, to show a 10-second video while users are watching photos and video posted by their friends.

The ads will appear between Stories from different users, rather than interrupting a friend’s daily update. Snapchat said people interact with the ads five times more often than comparable digital ads, citing internal data from the company’s tests.

According to Ad Week, instead of trying to pen a deal with Snapchat directly, advertisers will be able to go through collaborators and their software to buy and manage huge video advertising campaigns.

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Snapchat will test ads from about 10 brands, amog them Verizon Communications, Warner Bros and Procter & Gamble.

The Los Angeles social networking company plans to highlight the new advertising programs at the Cannes Lions International Festival of Creativity, the ad industry’s biggest annual gathering, which starts on Saturday.

Snapchat ads are full screen and default to playing audio. just think of how many ads you’ve skipped on Facebook or YouTube.

The company says 150 million people use Snapchat each day, and that users watch 10 billion videos a day. More than a third create Stories.

According to Ad Week, Snapchat made $59 million last year. Now the company paln to to making between $250 million and $350 million this year, and is aiming for $1 billion by the end of $2017.




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