Snapchat will involve more brands into its location-based advertising campaigns.
The social-media service is already available to advertisers to provide branded geofilters - a type of graphical overlay people can use to decorate photos or videos they're sharing - to show up in the app in specific locations. To run these campaigns, companies have had to manually provide Snapchat with the exact geographical details of where they want the filters to appear and the dimensions of each space.
Yext, whose software helps businesses manage digital location data, has been working with Snapchat to facilitate that process. The New York-based startup is unveiling a new feature that lets clients give Snapchat all that information with a few taps.
"Some people are saying Snapchat is the new TV - that's how much time people are spending in it," said Yext Chief Executive Officer Howard Lerman, adding that customers had generated a huge buzz for the company to integrate its location services with Snapchat's software. "They were saying, 'we're interested in running geofilter campaigns - can you help us do that?"'
Many companies ranging from fast food chains to hotels, who wish to connect with a younger audience, started to use Snapchat on a regular basis, as the app is mostly popular with teens and young adults. As of June, 150 million individuals used Snapchat every day.
Last year, Snapchat started offering geofilters to brands as an advertising platform. In the U.S., a national geofilter campaign reaches 40% to 60% of daily users, according to Snapchat's website. The company also unveiled a cheaper option for smaller businesses and individuals this year: on-demand geofilters.
Concerning mobile advertising, location data is key to targeting the right audience with the most attractive content, Mr. Lerman said. While Snapchat has information about its users' locations, Yext would provide the information on brands. The startup’s representative agreed with Snapchat to limit what it can do with the data and ensures that only pertinent location information is shared, Mr. Lerman said.
Yext integrates its services with more than 250 online location-based tools, such as Google and Apple Maps, Facebook and Yelp. If a client enters new information about, eg. hours of operation into Yext's software, that data is automatically updated on all these services. Adding features like this, increases the value of Yext's products and could help the company sell more software or add new business, added Mr. Lerman.