Undervalued Snapchat Worth Another Look, Says Study

Snapchat is emerging as an overlooked growth platform, with Measured CEO Trevor Testwuide highlighting a critical industry shift towards incrementality measurement over outdated last-touch metrics. Recent innovations, including new bidding and AI automation, have significantly boosted Snapchat's ad performance. Measured's data shows substantial increases in adoption and incremental return on ad spend (iROAS) for customers. Despite low ad spend allocation, Snapchat delivers a strong median iROAS of $2.84, outperforming competitors. Brands investing in Snapchat also experience a significant "halo effect," yielding higher incremental returns across their entire search and social mix beyond direct platform conversions. Snapchat's Adrian Mulryan emphasizes their unique, engaged audience, actively recommending products, as the platform aims to prove its incremental value to marketers. Trevor Testwuide, Measured CEO, calls Snapchat one of marketing’s most overlooked growth platforms. It’s true. Snapchat entered the social advertising landscape more than a decade ago. Yet, for most brands, the platform remains a secondary allocation or a reach play behind the platforms that usually dominate quarterly planning conversations. Last May, Snapchat introduced new goal-based bidding capabilities and expanded formats for Sponsored Snaps, including Chat takeovers and creator-delivered placements, alongside broader AI-powered automation tools across ad delivery and budget optimization. The changes had a major effect. Snapchat adoption among Measured customers increased 11.1 percent, while median incremental return on investment (iROAS) rose 36.2 percent. "We’ve really been driving innovation across the industry," said Adrian Mulryan, head of global agency and strategic accounts at Snapchat. "We’ve launched many products that can close the gap. There’s a range of products that can help marketers reach their goals. The report demonstrates that Snapchat is a platform that can deliver results at scale, Mulryan said, adding, "Obviously, the study is specifically focused on retailers. We have a number of retailers on the platform, but I think we can always see more. I think this will highlight to the industry, agencies and brands that we rebuilt the ad platform." "Snapchat’s been undervalued for a number of years. A lot of the conversations we’ve had were really about demystifying what Snapchat is today," said Mulryan. "We have a unique audience. If you look at the results and look at our audience, we believe it is unique." Mulryan said that 92 percent Snapchat users include friends in their shopping journeys and 73 percent recommend brands and products to friends and family. "Our billion users are talking about purchases every day and recommending purchases every day," he said. Sonia Lapinsky, retail partner & managing director and head of Alix Partners fashion practice, said Snapchat can be "used very strategically, but retailers are looking at larger platforms, often assuming that’s where they’re going to get the bigger bang for the buck." "We’ve often been asked by retailers how they can access younger consumers," Lapinsky said. "From our research, we found that teens are spending more time on Snapchat. They spend five hours a day on social in general and Snapchat ranks third, ahead of Instagram and Facebook. If you’re looking to reach a younger audience and capture these consumers earlier in their lifecycle, Snapchat is a good way t...