Media Agency

Vox Pop: is a new-look Snapchat the right way forward? (Part 1)

By Rebecca Levy | Editorial Account Executive

Impero

|

The Drum Network article

This content is produced by The Drum Network, a paid-for membership club for CEOs and their agencies who want to share their expertise and grow their business.

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November 9, 2017 | 8 min read

Snapchat's plans to overhaul its primary app with the intention of making it more intuitive for users, comes after reports of serious losses due to a shift to programmatic advertising.

Clockwise from top-left: Impero, Run2, Merkle | Periscopix, Sagittarius, Rapp, BWP, Roast, Critical Mass

Clockwise from top-left: Impero, Run2, Merkle | Periscopix, Sagittarius, Rapp, BWP, Roast, Critical Mass

The Drum Network asks if a new-look app is the right way forward to bolster sales and widen its appeal, or if it is at risk of driving away its current audience.

Here's what some of our agencies had to say:

Dan Deeks-Osburn, strategy director, Impero

I couldn’t be happier to hear that as Snapchat leans heavier on programmatic delivery, its value as a communication tool erodes. The obsession with precise targeting and programmatic delivery is the great sickness rotting away at the heart of industry. It seems like since things became perma-tough in 2008, brands have been stuck in an endless cycle of growing KPIs, shrinking budgets, and ever-increasing stakeholders demanding ever greater returns. It feels like a safer bet to send customised ads to a targeted audience who (hypothetically) already care about your product in the first place, avoiding the wastage of reaching people who aren’t interested at this moment. But it’s precisely this ‘waste’ that builds brands. Brand advertising with a huge reach doesn't only focus on people who are interested in your product right now, but also taps into the huge audience who could want or need your product in the future. People don’t know what they want until they’re told what they want, and it’s our job as marketers to tell them. Snapchat was compelling to marketers because it was an innovative service with great creative formats ideally suited to a young audience. If Snapchat focuses on building a creative space for having conversations in exciting ways that consumers want to engage with, it’ll be on to a winner for users and brands who want to invest in creative marketing. If it sticks with its programmatic approach, the app will eventually become as ignorable as a banner ad.

Dave Nicoll, social media manager, Run2

It sounds like a terrible idea. Snapchat continues to see huge growth with 12-17 year olds which is an audience other social networks struggle with. The reason these younger users love it is exactly because it isn't very intuitive and therefore it hasn't been invaded by parents etc unlike other social networks, for example, Facebook and Twitter. It's likely that through the process of attracting a larger user base with a simpler app, it will drive away its primary audience who are hugely active on the platform.

Laura Collins, head of paid social, Merkle|Periscopix

This is a risk Snap has to take. Since its IPO in March, its story has rapidly turned from a tech fairytale into a tragedy, and drastic action needs to be taken. It’s having trouble dispelling common conceptions about the platform: it’s too expensive to advertise on, and only teens use it. The first has been addressed by its move to programmatic advertising and the removal of minimum spend requirements, but to grow its older user base, changes to the app itself are vital. Time will tell if those changes alienate current users…but no guts, no glory.

Kris Boorman, digital marketing blogger, Sagittarius

Oh boy. Snapchat. A fun app, once I can figure out how to blimmin’ use it. This isn’t a ‘grandma programming the VCR’ thing, age isn't the issue. The barrier is the shit UI. I’ve just got no patience for it. At this point, it might be too great a risk to spend time on overhauling the app, but if it had recognised the need for that overhaul, and taken steps to improve it before spending so much money on advertising (regardless of the method), it needn’t have been such a gamble. To be blunt: programmatic isn’t the issue, Snapchat is.

Jess Geary, account director, Rapp UK

Watching Snapchat’s crisis of confidence is like watching a talented young popstar veering off the rails. Its captive audience is categorically the hardest to reach, as the potent combination of tech-savviness and ethical sensitivity means that the 18-24 year olds drive the penetration of adblockers the world over. Therefore, Snapchat’s shift to programmatic and sponsored content, away from human-curated ad moments is bound to be the death knell for these ad-intolerant, perceptive engagers. Re-designing the platform so that it can be another app that your embarrassing parents stalk you on may be a way to grow revenue, but you will lose a valuable, progressive audience in the process.

Steve Wilkins, head of content strategy, BWP Group

Risky? Yes. However, history has shown us that the social media networks that fail to adapt to change or take risks, usually fall by the wayside. Think back to the early days of social networking; Friendster, Myspace. Despite their early successes and growth, they failed to adapt to the wants and needs of their users and remain ascendant or relevant. As a 35-year-old android user myself, I will be interested to see if it can both target and woo me with its new-look Snapchat app, as tapping into this demographic could be significant in it bolstering sales. Jury's out.

Lucy Cunningham, head of mobile, Roast

With the rising shift in programmatic many publishers have adopted this model successfully, however very premium placements, as Snapchat would consider itself to be, tend not to always reap the commercial reward. It has seen this, and it will be a good lesson for other publishers who are looking to go 100% programmatic in rejigging their proposition and educating the market going forward. I would expect to see Snapchat revert back to programmatic, as larger publishing houses aim for an increase in programmatic buys, but can understand its decision in the short term. It will be interesting to see if programmatic was the problem or if it's Snapchat's overall proposition that needs looking at.

Brian Williamson, senior strategist, Critical Mass

It’s risky but necessary. It must grow to meet investor expectations, and to grow it must be accessible for more people. The question is, can Snapchat design for scale and still do what it does best? Young people like it. Content publishers like it. Facebook’s struggle with those groups is arguably its biggest weakness. Snap has been criticised for not emulating Facebook’s quantitative approach, but it’s clear that approach has its own consequences.Users will dislike the redesign for at least the first month, but if it preserves its core appeal, they will return. It’s a risk they must take.

Click here to see part 2 of this Vox Pop.

Media Agency

Content by The Drum Network member:

Impero

The creative agency for impatient brands.

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Run2 Digital

We make digital marketing do what it should, brilliantly. When you run with us second place isn’t an option.

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2Merkle

Merkle is a leading data-driven, technology-enabled, global performance marketing agency that specialises in the delivery of unique, personalised customer experiences across platforms and devices. We call it ‘people-based’ marketing, and with over 25 years’ experience, we are proud to be recognised as a global leader.

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Sagittarius

Sagittarius specialises in website design and development, ecommerce, user experience (UX), personalisation, digital transformation, search engine optimisation (SEO), pay per click (PPC), mobile marketing, online advertising and social media planning and campaign management.

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RAPP

RAPP is a global, data-driven creative community that builds direct, meaningful and high-value relationships between brands and people. At RAPP, with our unrivalled depth of expertise in first-party data, we’ve been observing and cataloguing real people’s lives for 50 years. In today’s world the balance of power has shifted, and customers are in control, which is why we put people and their preferences at the heart of the brand experience. With a talent base of more than 1,600 professionals in 18 offices, we help brands grow the value of real people by understanding what really matters and creating experiences that are right for real people, with real needs, in real time, creating marketing that matters. Our expertise in data and marketing sciences allows us to deliver our clients actionable human insight - an incredible understanding of genuine motivations, observed transactions and actual interactions. Our process reflects how real people think; we balance the left brain and the right, and we do our best work when we bring Precision and Empathy into balance. Building on our data foundation, RAPP delivers a range of capability across social, digital, customer experience and technology.

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BWP Group

We are a strategically-led creative agency specialising in brand and customer experience.

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ROAST

We are ROAST.

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Critical Mass

Critical Mass designs unparalleled brand experiences that connect with people. We got our start back in 1996 when a design visionary and a successful entrepreneur came together with a focus on digital experiences in a rapidly evolving space. Since then, we’ve helped local, national, and global brands reimagine digital and transform their businesses through strategic consulting, innovative creative ideas, and cutting-edge technology thinking. And through it all, we go the extra mile to be the best partners we can be.

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