Marketing Strategy of Snapchat analyzes the brand with the marketing mix framework which covers the 4Ps (Product, Price, Place, Promotion). These business strategies, based on Snapchat marketing mix, help the brand succeed in the market. Let us start the Snapchat Marketing Strategy & Mix to understand its product, pricing, advertising & distribution strategies:
The product strategy and mix in Snapchat marketing strategy can be explained as follows:
Snapchat is one of the most popular social media chatting applications, which help users to share text, images, videos, files etc. The novelty of Snapchat is that, the messages and images posted on the application are short lived. After certain duration, those cannot be accessed. At the time of development, the thought was, the emphasis on frivolity of the short-lived messages thus more user engagement and interaction. When introduced, the emphasis of Snapchat was on person-to-person photo sharing however later on add-ons like ability video sharing, video chat and saving chat were introduced.
Snapchat has incorporated many innovative features like Context cards, Publisher stories, Custom Geofilter, Snap Map etc as a part of its marketing mix product strategy. In Snapchat Stories, user can compile the images in chronological order in the form of story and publish it to the friends. The features were later modified as ‘Live Story’ wherein the user at event can upload the real-time images into the curated stories available to all. Music, texts, Geofilters, filters and emojis can be incorporated in the stories to make it more entertaining to the viewer.
Snapchat Price/Pricing Strategy:
Below is the pricing strategy in Snapchat marketing strategy:
Snapchat is a free to download and use app but has certain premium content which can be used. The unique freemium pricing offers discounts, promotional codes on viewing the entire story published.
The Publish Story feature has the feature of SnapAds. Through this, the school newspapers can increase viewership and generate income through revenue sharing agreement. Another feature supported through Ads is Discover wherein short content from publisher is displayed. Latest financial report of the parent company Snap Inc. shows increase in overall users from 153 million to 178 million (17% increase) as compared to previous year. Other financial details are given in the report. The revenue generation is through advertising mainly by products Snap Ads and Sponsored Creative Tool like Sponsored Lenses, Sponsored Geofilters and measurement services. As compared to the year 2016, the revenue generation was more in 2017. Snapchat offers reply of one snap free for a day however, for playing additional snaps, charges are applicable.
Snapchat Place & Distribution Strategy:
Following is the distribution strategy in the Snapchat marketing mix:
Snapchat being a web based application, is ubiquitous. It is available in 20 languages. When launched, it was compatible only with the i-phone however now it can be accessed through windows as well as android. The Publish Story was expanded to partner with schools to publish weekly school newspapers.
These stories last for 24 hours still having viewership of billions.
Snapchat Promotion & Advertising Strategy:
The promotional and advertising strategy in the Snapchat marketing strategy is as follows:
Snapchat has interactive and detailed website where the details about all the products, features, use, policies and be accessed. Snapchat has introduced many innovative and user appealing features in their products. The advertising campaigns on Snapchat are innovative, exciting and fun attracting lot of followers. The performance of the campaign helps in designing strategy and optimization. Snapchat offers all the data related to the advertisements like verification, viewability, reach, resonance and reaction. In 2017 it has reportedly signed deals with NBCUniversal, A &E Networks, BBC, ABC and MGM. The original content from these can be viewed in Snapchat in story form.
Since this is a service marketing brand, here are the other three Ps to make it the 7Ps marketing mix of Snapchat.
The target audience for this is youth in the age group of 18-34. Through features like Publish Stories, Snapchat is exploring young talent and help in empowering them. The advertising campaigns SnapChat promotes are depending on the target. They have 300+ audience base depending on their preferences for entertainment, shopping, and travel. Other demographics also influence the marketing campaign. SnapChat has a unique service of Audience match by which data user of Client and SnapChat are matched and customized audiences can be built up. In 2013, Snapkidzs, a special children application was introduced for the kids under the age of thirteen years. This had some age appropriate safety features.
Context Card is an innovative and integrative feature of Snapchat. It allows user to access information about the Snap user is interested in. For this, it has partnered with TripAdviser, goop, foursquare, Michelin. Integration of platforms like Uber, Lyoft, Open Table, Resy, Booktable enables user to book many services through them. The process for buying and managing advertisements on Snapchat is easy and simple. The website has clear titles and has proper navigation links. Snapchat believes in learning about the world, having fun together while living in the moment. They have special guidelines to help the users by supporting broad range of expression, while maintaining their safety. If user does not comply with these guidelines and violates the rule, Snapchat holds rights to delete the chats and even the account. In such cases, the user is permanently barred from accessing Snapchat again.
Snapchat also has hardware products like Spectacles on offer. Revenue from it is reported net of allowances for returns. These are smart-glasses with built in camera capable of recording 10 second video per use. Currently the estimated market value of Snapchat is 15 billion dollars and the user base is still growing. Hence this completes the marketing mix of Snapchat.
Snapchat is Multimedia Mobile Application and Image messaging application.
It was constructed by Evan Spiegel, Reggie Brown and Bobby Murphy originally in 2011 as a part at Stanford University. The parent company of Snapchat is Snap Inc.
This article has been researched & authored by the Content & Research Team. It has been reviewed & published by the MBA Skool Team. The content on MBA Skool has been created for educational & academic purpose only.
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