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Snapchat takes a flexible approach to how advertising is sold in its shows

March 23, 2018

Via: Digiday

Snapchat has chosen to take a flexible approach to how Snapchat shows make money. In some cases, that means partners taking the lead in sales; in others, Snapchat does.

Snap’s content and advertising deals with major media companies including NBCUniversal (an investor in Snap), Turner and Viacom give the show producers the first rights to sell sponsorships and ad slots within their programs. The media companies get a favorable cut on ads they sell, typically more than the 50 percent of revenue Snap splits with Discover publishers on ads sold by Snap, sources said. For advertisers that want to sponsor individual shows from these major media companies, it means working with that specific company on a campaign. Prices for individual show sponsorships can still cost several hundred thousands of dollars or more, according to two senior ad executives.

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