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This was 3 times the figure expected
WPP, the largest advertising company in the world, has announced that its clients spent 90 million US dollars on Snapchat advertising in 2016. WPP originally forecast that 30 million US dollars would be spent through the year on the platform, but were forced to re-evaluate their forecasts multiple times throughout the year. CEO Martin Sorrell said that he believed that Snapchat legitimately posed a threat to Facebook as a potential “alternative”. Whilst he admitted that Snapchat spend was small compared to the 5 billion US dollars and 1.7 billion US dollars spent on Google and Facebook respectively, it was also noted that Snapchat spend is expected to increase further to 930 million US dollars in 2017. With the addition of sponsored filters and video ads between stories on Snapchat, Facebook’s fake news and measurement issues in 2016 may encourage publishers to experiment with the photo app. In response to Snapchat’s potential, Facebook has offered advertisers an option to opt in to its Ad Network, which it claims will help reach 16% more people. The companies that have recently signed up to Snapchat include the Washington Post and the India Today group.
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