Snapchat unskippable ads will start running on or about May 15th as part of a test for a new branding tool called “Commercials”…
Snapchat will soon test a new revenue model beginning as early as mid-May, according to DigiDay. It’s a very familiar format, seen across many social platforms. Aptly named “Commercials,” the television-like, six-second spots will appear in pre-produced shows by publishing partners like Viacom.
Snapchat Unskippable Ad Test Launching in May
The good news is this is a common experience for such shows as Cribs and Girl Code. Which means they won’t appear in Stories or editions of Discover. So, users might not encounter any of these planned ads at all. However, users who do see the ad spots can’t skip or toggle them off. (Currently, users can easily dismiss a Snap ad simply by tapping on it.) But, that won’t be the case with these units.
Like Twitter, Snapchat has struggled to post a profit. The company has already spent enormously but isn’t yet making money. The move is likely due to the fact that users routinely skip ads on the platform. In fact, a study conducted by customer acquisition firm Fluent reveals 80 percent of 18- to 24-year old American users (the app’s key audience) typically opt to skip over ads. Moreover, 69 percent of all adults in the survey report skipping ads “always” or “often.”
To combat this trend, Snapchat has little choice but to explore new forms of revenue.