Target, L'Oréal, Ralph Lauren test Snapchat's new brand profile pages

Brief:

Target, L'Oréal and Ralph Lauren are among the brands to create profile pages that Snapchat started testing this week. The pages give brands a "permanent home" to build a following and directly engage with app users, according to an announcement shared with Mobile Marketer.
Ben & Jerry's, Activision Blizzard's "Candy Crush," Dior, Estee Lauder's Too Faced, Gucci, Headspace, Kylie Cosmetics, Louis Vuitton, Prada, Universal, VSCO and Tim Horton's also are participating in the test of brand profile pages. The pages let companies host content such as augmented reality (AR) lenses after they appear in campaigns for easy reference.
The profile pages also can include a native store that lets brands sell products directly to Snapchat users. A highlights feature in profile pages showcases collections of photos, videos, Public Snaps and Stories, while Public Stories let brands post content such as behind the scenes views and other daily activities, per Snap.

Insight:

Snap's test of brand profile pages is significant for mobile marketers that haven't had a presence on Snapchat, except through the sponsorship of features like AR lenses and other kinds of ad placements. Assuming the test eventually results in a broader global rollout, marketers will have a chance to establish a stronger foothold on the app that lets them interact with their most loyal customers, as they do on other social media apps like Facebook, Instagram and Twitter. Brands also may see a longer-term benefit from their investments in interactive content created for campaigns, like AR lenses that are popular among Snapchat users, if they live on through a permanent page.

Adding a native store to the brand profile page gives more brands a direct sales channel on the app. Snapchat recently rolled out its dynamic product ads around the globe, a strong indication that the format is providing returns for marketers looking to drive mobile commerce. Adidas boosted its return on advertising spending (ROAS) 52% in a test of the format.

Profile pages are Snapchat's latest effort to expand its appeal among advertisers. A study last year found 76% of advertising professionals said they hadn't advertised on the app, giving parent company Snap a chance to significantly expand its customer base. Snapchat has reported steady user growth in the past year and a half, reversing a loss that started when Snap redesigned the photo-messaging app in early 2018. Snap management has acknowledged the need to educate advertising professionals, including older executives who may not use the app.

At its Snap Partner Summit last month, the company introduced dozens of features including several that expand the app's functionality for marketers. Features included a Camera Kit to let companies incorporate Snapchat's AR content into their apps, and the introduction of miniature software programs called Snap Minis that let marketers offer services inside Snapchat.