Snapchat launches unskippable ads in Australia

By AdNews | 26 July 2018

Snapchat is introducing non-skippable ads to its suite of options for Australian clients after testing the format in the US.

AdNews understands that the six-second ads, which the tech company is calling 'commercials', can be bought and traded programmatically from early August.

The unskippable ads will feature across Snapchat's TV-like content hub, called Shows, which hosts programs typically three to five minutes in length.

The commercials will run during Snapchat Shows instead of a pre-roll format and will only be six seconds in length.

To date, commercials have only been sold in the US with no self-serve or programmatic service. From August, over 100 selected Snapchat brands partners and advertisers will have access to the service across Australia, USA, Canada and the UK.

Snapchat's Shows launched in 2016 as part of the Discover platform. The hub now has roughly three shows airing daily, and have been introducing a wide range of formats, including animation, documentaries, scripted drama, comedies and daily news shows.

The recent announcement is one of many from Snapchat regarding its advertising offering. The business has been focused on building its ad offering over the last two years as it looks to lure more advertisers to the platform and in turn, generate more revenue. 

AdNews understands the platform has also lowered its price significantly since it first launched its Lens ad option in 2016; an animated filter that transforms people's faces in funny ways.

According to reports, two years ago Snapchat was charging US brands $300,000 to $500,000 to sponsor a Lens - AdNews understands it charged a much lower figure to Australian clients. But this year, it's lowered its prices significantly. 

Snapchat says this is because it grown its programmatic ad platform which offers advertisers more efficient pricing.

Snapchat now has a much lower CPM than Instagram, arguably the platform's biggest competitor, at on average $2.95 per thousand impressed. Instagram's is $4.20, according to marketing technology firm 4C.

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