Snapchat is poised for explosive growth in ad revenues in the coming years, according to eMarketer’s first forecast of ad revenues for the social platform. Worldwide, it generated $367 million in ad revenues last year, with that figure jumping to $935 million in 2017.
In the US, Snapchat’s Discover feature generates the largest share (43%) of the company’s ad revenues. That balance will shift next year, as Stories overtakes Discover as the dominant ad revenue source, generating 38% of the company’s US ad business.
“Advertisers are attracted to Snapchat for its broad reach among young millennials and those in Generation Z, which are valuable demographic groups for many businesses,” said eMarketer principal analyst Cathy Boyle.
Jay & Julia Taylor own and operate Caney Creek Studio. Caney Creek Studio is a video production, digital marketing, and social media management agency.