Time to Snap?
By Teamspirit on Tuesday, 20 March 2018
Research from eMarketer suggests that Snapchat’s advertising revenue in the UK will overtake Twitter’s in 2019. Are you Snapping? And if not, should you be?
Snapchat is particularly popular in the UK, accounting for 10% of the company’s global ad revenues. In 2016 that percentage translated to £21.9m. In 2019 it’s predicted to reach £181.7m, ten million more than Twitter UK.
This growth is predicted despite Snapchat’s rocky first couple of months this year, that have seen criticisms of the platform by both Kendall Jenner and Rihanna affect its stock price.
Of course, however successful Snapchat may become it is still dwarfed by Facebook and Instagram. Instagram is predicted to take an 8.1% market share by 202, while Snapchat will have 2%, and Twitter just 1.1%.
Snapchat is extremely popular with younger users who are particularly susceptible to celebrity endorsements (or lack thereof), and who also pose a challenge to Financial Services brands.
While this consumer demographic may not have high spending power or considerable assets in the present, they are extremely vocal about the brands they love and can also be fiercely loyal as well.
For Financial Services looking to open up their offerings to a wider audience, or address the long-term issues posed by an ageing population, engaging with younger audiences in the digital spaces they occupy will be a key component for building future success and brand affinity.