Last week, social media Snapchat announced the launch of its Dynamic Product Ads initiative, which allows a business to automatically generate ads based on the product categories it sells within.
These ads can be generated based on a brand’s products, pushed over multiple international markets, and showcase these products in a number of formats – saving advertisers time and effort.
Snap general manager of ANZ Kathryn Carter told Inside Retail this new initiative is just one part of the platform’s efforts toward creating a scalable e-commerce offering.
“The arrival of DPAs, which is free to access, means that advertisers will save time – not only on the creative process, but also on the admin front, allowing them to easily run measurable ‘always on’ campaigns that will drive e-commerce sales,” Carter said.
“And while DPAs is new to Australia, we are seeing strong results from advertisers who have been testing the product locally.”
JD Sports APAC head of multichannel Deborah Papazoglu said the sportswear retailer is excited to be one of Snap’s launch partners for the initiative, and that through DPAs they are able to reach a new audience with ease, and scale effectively, “especially during these times as e-commerce becomes a more prominent aspect in our daily lives”.
“We have seen some positive results during the beta testing phase and are pleased to partner together to continue to drive innovation within the JD Australia business.”
And while retailers have seen a huge impact on their business due to COVID-19, social media can open up new avenues of generating an audience. With more customers spending a greater proportion of their time online, it allows a greater reach through digital advertising – something Snap is very aware of.
“We believe that this will accelerate the digital transformation across many businesses, and that the heightened levels of activity we are seeing today will lead to a sustained uplift in the digital economy over time,” Carter said.
“[Our audience] are the consumers of the future – they hold significant lifetime value for our advertising partners, and are in the process of building brand loyalties, which makes our audience extremely attractive to local marketers.”
And, according to Carter, unlocking new audiences could be key to some brands recovery, as they seek to regain the ground last during the COVID-19 lockdown.
“We believe [Snapchat’s 229 million daily active users] will be an important player as the economy adjusts and positions itself for growth in the post-COVID world.”
Snapchat’s audience – which includes 90 per cent of 18 to 24 year olds in Australia – uses the app for an average of 30 minutes a day, checks the app an average of 30 times per day.