It has been four years since the inception of social image messaging app Sanpchat and it is going through a lot of transitions to further enhance the platform.
While numerous features have been integrated to make the platform better, the company is now aiming to incorporate ads and inserts between stories to boost revenue.
According to a report on Adweek, the company is all set to include ads inside the application, an effort to increase profit maximisation from its 150 million user base.
Soon most Snapchat stories will have ads in between when users skips one person’s list to another. According to the report, the ads will have random occurrence rate.
Other than that, the image messaging platform will also come up with expandable snap ads, allowing users to install promoted applications, watch videos, access websites, or view articles. The new application programming interface of ads will allow advertisers to buy campaigns, which will make it easier to post ads on the platform.
While revenue maximisations in an important issue for the team, they will review the quality of each ad. Snapchat has estimated that the new ad platform will increase click-through rate by five times in contrast to other similar apps.
The company has reported revenue of $59 million last year, and is working very hard to attain its target revenue of $250 to $350 million this year.
By 2017, the company has set a target of $1 billion. While the revenue generated by the in-story ads will be a boost, the company’s far-fetched targets need much more than that.
