The Snapshot of SnapChat for Small Businesses
What social media platform is relatively new, has a yellow, ghost-shaped logo, and has virtually every teen and twenty-something in selfie overload? You guessed it. SnapChat!
Bursting onto the scene, this app has emerged in popularity among the ranks of its established competitors like Facebook and its recently acquired Instagram, along with Twitter. So the question in every small business owner’s mind is, is this new social platform worth the investment?
What is SnapChat?
SnapChat is a mobile app that allows a user to send videos and images that time lapsed to disappear after a few seconds of viewing. Almost reminiscent of the old cartoon, “Inspector Gadget,” only these message do not self-destruct. The platform currently has over 100 million daily active users with approximately 9,000 images shared per second.
SnapChat’s Competitive Landscape
Remember what happened when Instagram gained steam? Facebook bought it out. Likewise, the social giant attempted to do the same with SnapChat when they offered a whopping $3 billion in 2013. However, SnapChat declined which prompted Facebook to take the position, “if you can’t have them, beat them! This is exactly what Facebook is striving to do with the addition of the ‘Stories’ feature to its Instagram platform which clearly has the larger user base and simpler interface to quite possibly accomplish that.
The Cold, Hard Facts
Marketing 101 taught us to always check the data. So what does the data say about SnapChat marketing? A recent report released by Shift Communications reported the following:
In the last three months,
- Over 60% of people who follow at least one brand have not interacted with it.
- Over 50% of SnapChat users have not made a purchase based on Snapchat.
- Less than 50% of frequent brand-friendly users have purchased from a brand they saw on Snapchat.
- Less than 50% of frequent users have made a brand referral based on a brand account.
Unless you are a larger known entity, it most likely isn’t the the time to invest. However, I wouldn’t necessarily rule out SnapChat just yet. As we’ve seen before, social media platforms are ever evolving. The true test of its strength will be shown in how it can combat Facebook’s ability to replicate its features and if whether they will become more marketing faceted. In the meantime, I suggest keeping a close eye on this platform this year to see if it can rise to the profitability of its dominant competitors for businesses.