It’s been a long and difficult dark year for publishers, but there has been at least one bright spot: Snapchat. Digiday reports that publishers are netting higher revenue for their Discover content within Snapchat, both year over year as well as quarter over quarter.
Some of that boost is coming from an increase in CPMs, up between 10% and 20% YoY for Q4. Publishers are also reaping the benefits of changes Snapchat made this spring, including plugging non-skippable Snap Ads into slots when it wasn’t able to sell pricier Snap Commercials, thereby improving fill rate – an issue that Snapchat Discover publishers have complained about in the past.
Despite, or perhaps due to, the pandemic, Snap has been having a pretty decent year itself. The platform had 249 million DAUs in Q3, up 18% over last year, and the average number of daily snaps on the platform rose by 25%. “That [engagement] bell curve hasn’t flattened out yet the way some people thought it would,” Paul Greenberg, CEO of video strategy firm Butter Works, told Digiday.
Over the past quarter and change, revenue per thousand impressions (RPMs) are up for publishers’ Discover content, both year over year as well as quarter over quarter, as the video-focused platform continues to grow audience and advertisers continue to feel comfortable spending to reach them, according to sources at four different media companies that distribute content there.