{"id":4020,"date":"2018-12-06T16:01:55","date_gmt":"2018-12-06T10:31:55","guid":{"rendered":"https:\/\/www.ncrypted.net\/blog\/?p=4020"},"modified":"2025-07-28T13:19:12","modified_gmt":"2025-07-28T07:49:12","slug":"how-does-snapchat-make-money","status":"publish","type":"post","link":"https:\/\/www.ncrypted.net\/blog\/how-does-snapchat-make-money\/","title":{"rendered":"An Inside Look: How does Snapchat Make Money?"},"content":{"rendered":"<p><img loading=\"lazy\" decoding=\"async\" class=\"aligncenter wp-image-3981 size-full\" title=\"An Inside Look: How does Snapchat Make Money?\" src=\"https:\/\/www.ncrypted.net\/blog\/wp-content\/uploads\/2018\/12\/snapchat-business-model-blog-img.jpg\" alt=\"An Inside Look: How does Snapchat Make Money?\" width=\"780\" height=\"400\" srcset=\"https:\/\/www.ncrypted.net\/blog\/wp-content\/uploads\/2018\/12\/snapchat-business-model-blog-img.jpg 780w, https:\/\/www.ncrypted.net\/blog\/wp-content\/uploads\/2018\/12\/snapchat-business-model-blog-img-300x154.jpg 300w, https:\/\/www.ncrypted.net\/blog\/wp-content\/uploads\/2018\/12\/snapchat-business-model-blog-img-768x394.jpg 768w, https:\/\/www.ncrypted.net\/blog\/wp-content\/uploads\/2018\/12\/snapchat-business-model-blog-img-644x330.jpg 644w, https:\/\/www.ncrypted.net\/blog\/wp-content\/uploads\/2018\/12\/snapchat-business-model-blog-img-778x400.jpg 778w\" sizes=\"auto, (max-width: 780px) 100vw, 780px\" \/>Snapchat was launched in September 2011, Snapchat is the application for communication and tells the stories through pictures &amp; videos which is having a unique business model and a revenue model that has made to measure features for every partner, promoter, and users. Snapchat\u2019s operating model is so straightforward yet special that the queries of &#8221; How does Snapchat make money? &#8221; and &#8221; Snapchat business model &#8221; are in trend on search engines.<\/p>\n<div id=\"ez-toc-container\" class=\"ez-toc-v2_0_80 ez-toc-wrap-left counter-hierarchy ez-toc-counter ez-toc-custom ez-toc-container-direction\">\n<div class=\"ez-toc-title-container\">\n<p class=\"ez-toc-title ez-toc-toggle\" style=\"cursor:pointer\">What you\u2019ll learn in this article:<\/p>\n<span class=\"ez-toc-title-toggle\"><a href=\"#\" class=\"ez-toc-pull-right ez-toc-btn ez-toc-btn-xs ez-toc-btn-default ez-toc-toggle\" aria-label=\"Toggle Table of Content\"><span class=\"ez-toc-js-icon-con\"><span class=\"\"><span class=\"eztoc-hide\" style=\"display:none;\">Toggle<\/span><span class=\"ez-toc-icon-toggle-span\"><svg style=\"fill: #999;color:#999\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" class=\"list-377408\" width=\"20px\" height=\"20px\" viewBox=\"0 0 24 24\" fill=\"none\"><path d=\"M6 6H4v2h2V6zm14 0H8v2h12V6zM4 11h2v2H4v-2zm16 0H8v2h12v-2zM4 16h2v2H4v-2zm16 0H8v2h12v-2z\" fill=\"currentColor\"><\/path><\/svg><svg style=\"fill: #999;color:#999\" class=\"arrow-unsorted-368013\" xmlns=\"http:\/\/www.w3.org\/2000\/svg\" width=\"10px\" height=\"10px\" viewBox=\"0 0 24 24\" version=\"1.2\" baseProfile=\"tiny\"><path d=\"M18.2 9.3l-6.2-6.3-6.2 6.3c-.2.2-.3.4-.3.7s.1.5.3.7c.2.2.4.3.7.3h11c.3 0 .5-.1.7-.3.2-.2.3-.5.3-.7s-.1-.5-.3-.7zM5.8 14.7l6.2 6.3 6.2-6.3c.2-.2.3-.5.3-.7s-.1-.5-.3-.7c-.2-.2-.4-.3-.7-.3h-11c-.3 0-.5.1-.7.3-.2.2-.3.5-.3.7s.1.5.3.7z\"\/><\/svg><\/span><\/span><\/span><\/a><\/span><\/div>\n<nav><ul class='ez-toc-list ez-toc-list-level-1 ' ><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-1\" href=\"https:\/\/www.ncrypted.net\/blog\/how-does-snapchat-make-money\/#how-does-snapchat-make-money\" >How does Snapchat Make Money?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-2\" href=\"https:\/\/www.ncrypted.net\/blog\/how-does-snapchat-make-money\/#what-is-snapchat\" >What is Snapchat?<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-3\" href=\"https:\/\/www.ncrypted.net\/blog\/how-does-snapchat-make-money\/#valuation-of-snapchat\" >Valuation of Snapchat<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-4\" href=\"https:\/\/www.ncrypted.net\/blog\/how-does-snapchat-make-money\/#so-how-does-snapchat-make-money\" >So, How does Snapchat Make Money?<\/a><ul class='ez-toc-list-level-3' ><li class='ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-5\" href=\"https:\/\/www.ncrypted.net\/blog\/how-does-snapchat-make-money\/#1-%e2%80%93-snap-ads\" >1 &#8211; Snap Ads<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-6\" href=\"https:\/\/www.ncrypted.net\/blog\/how-does-snapchat-make-money\/#2-%e2%80%93-sports-partnership\" >2 &#8211; Sports Partnership<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-7\" href=\"https:\/\/www.ncrypted.net\/blog\/how-does-snapchat-make-money\/#3-%e2%80%93-geofilters\" >3 &#8211; Geofilters<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-8\" href=\"https:\/\/www.ncrypted.net\/blog\/how-does-snapchat-make-money\/#4-%e2%80%93-discover\" >4 &#8211; Discover<\/a><\/li><li class='ez-toc-page-1 ez-toc-heading-level-3'><a class=\"ez-toc-link ez-toc-heading-9\" href=\"https:\/\/www.ncrypted.net\/blog\/how-does-snapchat-make-money\/#5-%e2%80%93-sponsored-lens-filter\" >5 &#8211; Sponsored Lens Filter<\/a><\/li><\/ul><\/li><li class='ez-toc-page-1 ez-toc-heading-level-2'><a class=\"ez-toc-link ez-toc-heading-10\" href=\"https:\/\/www.ncrypted.net\/blog\/how-does-snapchat-make-money\/#how-to-launch-an-app-similar-to-snapchat\" >How to Launch an App Similar to Snapchat?<\/a><\/li><\/ul><\/nav><\/div>\n<h2><span class=\"ez-toc-section\" id=\"how-does-snapchat-make-money\"><\/span>How does Snapchat Make Money?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Quick answers to &#8221; How does Snapchat make money? &#8221; are described as below.\u00a0<\/span><\/p>\n<ol>\n<li><span style=\"font-weight: 400;\"> Snap Ads<\/span><\/li>\n<li><span style=\"font-weight: 400;\"> Sports Partnerships<\/span><\/li>\n<li><span style=\"font-weight: 400;\"> Geofilters<\/span><\/li>\n<li><span style=\"font-weight: 400;\"> Discover<\/span><\/li>\n<li><span style=\"font-weight: 400;\"> Sponsored Lens Filters<\/span><\/li>\n<\/ol>\n<p><span style=\"font-weight: 400;\">Before we start, we should know more about Snapchat.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"what-is-snapchat\"><\/span>What is Snapchat?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">To understand the achievement of Snapchat, we must go through what the app does and How does Snapchat Work.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Users can send \u201csnaps\u201d or text, videos, and photos. Private messages are automatically deleted once they are seen by the other party. A public post, on the other hand, has a 24-hour termination time.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">If you think those limitations are silly, you should know that user can post the videos up to <\/span><i><span style=\"font-weight: 400;\">ten seconds in length. <\/span><\/i><span style=\"font-weight: 400;\">Some people feel that Snapchat is either a poorly-designed messaging app or something else<\/span> <span style=\"font-weight: 400;\">entirely.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"valuation-of-snapchat\"><\/span>Valuation of Snapchat<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">With <\/span><a href=\"http:\/\/expandedramblings.com\/index.php\/snapchat-statistics\/\" rel=\"nofollow noopener\" target=\"_blank\"><span style=\"font-weight: 400;\">150 million daily active users<\/span><\/a><span style=\"font-weight: 400;\"> and is valued at a price of <\/span><span style=\"font-weight: 400;\">$20 Billion<\/span><span style=\"font-weight: 400;\">. Snapchat has promised to boost its revenue from $59 million, in 2015, to $1 Billion in 2017.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Snapchat is the latest rage among the people of age group 13-34. According to the numbers, Snapchat reaches 41% of 18-34-year-olds in the USA as compared to Television which has around 6% reach.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">But this pioneer of \u2018communicate through pictures &amp; videos application\u2019 has a giant competitor and that is\u00a0Facebook.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Facebook which has bought <a href=\"https:\/\/www.ncrypted.net\/blog\/how-does-instagram-work-insights-into-instagram-business-model-and-revenue-model-of-instagram\/\">Instagram<\/a> &amp; <a href=\"https:\/\/www.ncrypted.net\/blog\/whatsapp-business-model-how-does-whatsapp-work-make-money\/\">WhatsApp<\/a> has been seen introducing Snapchat\u2019s features in these applications.<\/span><\/p>\n<p>But it can be seen that Snapchat business model has an edge over <a href=\"https:\/\/www.ncrypted.net\/blog\/facebook-business-model-how-does-facebook-work-make-money\/\">Facebook business model<\/a>.<\/p>\n<h2><span class=\"ez-toc-section\" id=\"so-how-does-snapchat-make-money\"><\/span>So, How does Snapchat Make Money?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p><span style=\"font-weight: 400;\">Just like other social media like Facebook, Instagram and <a href=\"https:\/\/www.ncrypted.net\/blog\/twitter-business-model-how-does-twitter-make-money-how-does-twitter-work\/\">Twitter<\/a>, Snapchat is profiting off of <\/span><span style=\"font-weight: 400;\">advertisements. When it comes to the point of How does Snapchat Make Money, thanks to<\/span><span style=\"font-weight: 400;\"> its unique features<\/span><span style=\"font-weight: 400;\">.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"1-%e2%80%93-snap-ads\"><\/span>1 &#8211; Snap Ads<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Snap Ads are the main course of Snapchat advertising. They work by showing 10-second, full-screen video ads that are most related to other snaps. These ads are also interactive. When presented, users have the choice to swipe up to admittance more content \u2013 be it a longer video, blog post, or app install.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">To improve transactions, the company launched Snapchat Partners with firms such as SocialCode, TubeMogul, 4C and Adaptly. Data suggests that Snapchat\u2019s ad revenue will hit nearly $1 billion next year. According to <\/span><span style=\"font-weight: 400;\">eMarketer<\/span><span style=\"font-weight: 400;\">, one of the reasons behind this quick-tempered growth is the app\u2019s enormous popularity \u2013 particularly among millennials and members of Generation Z.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"2-%e2%80%93-sports-partnership\"><\/span>2 &#8211; Sports Partnership<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">In recent years, Snapchat has partnered with sports organizations such as the NFL, NHL, and the MLB. These organizations supposedly leverage Live Stories when any sports event occurs to reach more people in the social space.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Still, it is unclear that how much money Snapchat makes with sports partnerships. But since the app offers a direct line to the youthful and passionate viewers, major leagues are investing in deals that put up weekly Discover channels such as \u201cMLB Wednesdays.\u201d<\/span><\/p>\n<p><span style=\"font-weight: 400;\">One point to note here is that the MLB began using Snapchat back in 2014. At that time, users must follow their account to view the stories they posted. But with a partnership, live stories are promoted to all the users of Snapchat.<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"3-%e2%80%93-geofilters\"><\/span>3 &#8211; Geofilters<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Geofilters are filters (frames) specially developed for certain regions or occasions. Many of the big companies\/event organizers partner with Snapchat to get a specialized Geofilter which can be used by visitors to such regions\/events.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Snapchat also avails the facility of \u2018On Demand Geofilters\u2019 which has been used by many movies and businesses to promote themselves and create brand equity in the niche market, among the millions of teens users of Snapchat. \u00a0<\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"4-%e2%80%93-discover\"><\/span>4 &#8211; Discover<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Discover avails content created by the news, celebrities, and entertainment outlets, and other users. You can subscribe to specific Discover sources to get their feeds. While Discover offers some genuine news from publishers including the New York Times and Vice Media, the offerings can be promotional and are frequently mature. But if any immature kid signup with his\/her correct date of birth, they&#8217;ll miss the alcohol ads and all the adult content that Snapchat filters out for underage users. <\/span><\/p>\n<p><span style=\"font-weight: 400;\">Discover stories often feature promos prompting kids to \u201cswipe up\u201d to learn more (this usually leads to ads) or take a quiz (that is also a marketing tool). This portion runs the extent from harmless to shocking, so it&#8217;s good to watch around and get a sense of what your kids are seeing. <\/span><\/p>\n<h3><span class=\"ez-toc-section\" id=\"5-%e2%80%93-sponsored-lens-filter\"><\/span>5 &#8211; Sponsored Lens Filter<span class=\"ez-toc-section-end\"><\/span><\/h3>\n<p><span style=\"font-weight: 400;\">Realizing the appeal of lens filters toward Snapchat users, giant organisations went to the lead and launched their sponsored lens filters. The lens filters are almost similar to Geofilters as they may also only appear in specific locations. Though, lens filters are more interactive and vibrant than stationary Geofilters. To increase the user\u2019s interest, lens filters also play a sound clip when on the go.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">For example, having a meal or snacks at KFC also enables the Colonel Sanders lens filter, which turns users into the white-maned colonel himself. A special animation involving a fried chicken leg also takes place \u2013 prompting the user to enjoy the food.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Take note that Geofilters and sponsored lens filters do more than just giving the good experience to customers.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">Think about it \u2013 if you\u2019re eating at Taco Bell and your head suddenly turns into a giant taco shell, the first thing you\u2019ll wish to do is to share it with your friends and followers. As a result, brands who advertise on Snapchat gets to influence user-generated content (UGP) as well as the social media reach of their customers to reach a niche market.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">By the way, here I need to mention that Taco Bell\u2019s noble attempt at turning people\u2019s heads into tacos did pay off big.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">A sum of 224 million individuals interacted with the taco head Snapchat filter. To be fair, brands who wish to advertise using sponsored filters had to shell out as much as $750,000. In comparison, the average cost of a 30-second ad on Super Bowl costs a whopping $5 million. That\u2019s without any guarantees that the audience is even paying attention during the advertisement.<\/span><\/p>\n<p><span style=\"font-weight: 400;\">So, these are the necessary tools to know how does Snapchat make money.<\/span><\/p>\n<h2><span class=\"ez-toc-section\" id=\"how-to-launch-an-app-similar-to-snapchat\"><\/span>How to Launch an App Similar to Snapchat?<span class=\"ez-toc-section-end\"><\/span><\/h2>\n<p>If you\u2019re willing to start your own social media business \u2013 you should go with\u00a0<a href=\"https:\/\/www.ncrypted.net\/snapchat-clone\">Snapchat Clone<\/a>\u00a0which has customized features to let you roll with your own social sharing business.<\/p>\n<p><span style=\"font-weight: 400;\">You are welcome to discuss openly in the comment box on &#8211; &#8221; Snapchat Business Model &#8220;. Come and share your views for the article &#8211; &#8221; How does Snapchat Make Money? &#8220;. \u00a0\u00a0<\/span><\/p>\n<p>Here are some other informative articles articulated by NCrypted Websites:<\/p>\n<ul>\n<li><a href=\"https:\/\/www.ncrypted.net\/blog\/how-does-spotify-work\/\">How does Spotify Work?<\/a><\/li>\n<li><a href=\"https:\/\/www.ncrypted.net\/blog\/how-does-ebay-work\/\">How does eBay Work?<\/a><\/li>\n<li><a href=\"https:\/\/www.ncrypted.net\/blog\/how-does-discord-work\/\">How does Discord Work?<\/a><\/li>\n<li><a href=\"https:\/\/www.ncrypted.net\/blog\/explained-how-does-groupon-work\/\">How does Groupon Work?<\/a><\/li>\n<li><a href=\"https:\/\/www.ncrypted.net\/blog\/how-does-snapchat-work\/\">How does Snapchat Work?<\/a><\/li>\n<li><a href=\"https:\/\/www.ncrypted.net\/blog\/how-does-shopify-work\/\">How does Spotify Work?<\/a><\/li>\n<\/ul>\n","protected":false},"excerpt":{"rendered":"<p>Snapchat was launched in September 2011, Snapchat is the application for communication and tells the stories through pictures &amp; videos which is having a unique business model and a revenue model that has made to measure features for every partner, promoter, and users. Snapchat\u2019s operating model is so straightforward yet special that the queries of [&hellip;]<\/p>\n","protected":false},"author":427,"featured_media":3981,"comment_status":"open","ping_status":"closed","sticky":false,"template":"","format":"standard","meta":{"footnotes":""},"categories":[496],"tags":[900,899,559],"class_list":{"0":"post-4020","1":"post","2":"type-post","3":"status-publish","4":"format-standard","5":"has-post-thumbnail","7":"category-business-models","8":"tag-how-does-x-make-money","9":"tag-snaphat","10":"tag-social-media"},"_links":{"self":[{"href":"https:\/\/www.ncrypted.net\/blog\/wp-json\/wp\/v2\/posts\/4020","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.ncrypted.net\/blog\/wp-json\/wp\/v2\/posts"}],"about":[{"href":"https:\/\/www.ncrypted.net\/blog\/wp-json\/wp\/v2\/types\/post"}],"author":[{"embeddable":true,"href":"https:\/\/www.ncrypted.net\/blog\/wp-json\/wp\/v2\/users\/427"}],"replies":[{"embeddable":true,"href":"https:\/\/www.ncrypted.net\/blog\/wp-json\/wp\/v2\/comments?post=4020"}],"version-history":[{"count":0,"href":"https:\/\/www.ncrypted.net\/blog\/wp-json\/wp\/v2\/posts\/4020\/revisions"}],"wp:featuredmedia":[{"embeddable":true,"href":"https:\/\/www.ncrypted.net\/blog\/wp-json\/wp\/v2\/media\/3981"}],"wp:attachment":[{"href":"https:\/\/www.ncrypted.net\/blog\/wp-json\/wp\/v2\/media?parent=4020"}],"wp:term":[{"taxonomy":"category","embeddable":true,"href":"https:\/\/www.ncrypted.net\/blog\/wp-json\/wp\/v2\/categories?post=4020"},{"taxonomy":"post_tag","embeddable":true,"href":"https:\/\/www.ncrypted.net\/blog\/wp-json\/wp\/v2\/tags?post=4020"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}