What: Snapchat is changing it’ ad sales revenue model with media agencies. Why it matters: Snapchat wants to pay content partners a flat license fee up front and keep the ad money for itself, instead of sharing ad revenue.
The messaging app Snapchat, now known as Snap, is planning to make some adjustments to the way it works with media companies by changing its revenue model.
Since its launch in 2015, publishers were able to sell ads in their own channels and then split revenues with the app.Whereas, Snapchat sold ads against the same content using its own sales team. Now, splits have varied depending on the deal and who sell the ads, Re-code has reported.
Snapchat wants to pay content partners a flat license fee up front and keep the ad money for itself, instead of sharing ad revenue. This resembles TV networks model to buy programming.
Snapchat Discover is only open to around 20 publishers, including BuzzFeed, Cosmopolitan, The Wall Street Journal, Food Network, and the NFL. Around 100 million of Snapchat users visit the Discover section every month, with the top-performing channels averaging view time of between 4 to 6 minutes.
Sources told Business Insider that those top-performing channels average around 10 million monthly users a month — far fewer than the amount of visitors they get to their sites — so an upfront payment may be seen as preferential to a risky advertising revenue share that requires time investment for their sales teams.
Media outlets have been selling “packages” to marketers that include Snapchat inventory, as well as ads on their other platforms like television or their websites, according to Business Insider. But now that terms have changed, it is uncertain whether media outlets would continue offering such deals or adjust to Snapchat’s new sales model while they accept money from it.
The move of the company may seemed to be aimed at having full control over its ad inventory to be ready for a public offering that could value the firm at US$25 billion or more.
Other digital platforms like Facebook and Apple, have offered similar programs to publishers that provide them content.
What: Twitter has announced that now users can create 140 seconds videos and tweaked its Vine app. What’s more, the company has launched its own version of Facebook’s Mentions app, called Engage, which allows creators to better manage interactions with their followers. Why it matters: With video Tweets increasing by over 50 percent since the beginning of 2016, Video is becoming increasingly central to the real-time conversations happening on Twitter.
Twitter has announced that starting today, everyone can create and share videos up to 140-seconds on Twitter, and a select group of Vine creators will be able to add longer videos to their Vines. Vine is also exploring monetization opportunities with Twitter’s Amplify Open program to help creators make money on Vine.
With video Tweets increasing by over 50 percent since the beginning of 2016, Twitter’s new video products will make it easier, and soon more profitable, for creators to make videos and for fans to discover and share them.
“Video is becoming increasingly central to the real-time conversations happening on Twitter,” said Jack Dorsey, Twitter CEO and co-founder. “We’re investing heavily in videos and creators. We want to be the best place for creators and influencers to build an audience and make it easier for creators to make money on Twitter, and soon Vine.”
“Creators are the heart of our entertainment community,” said Hannah Donovan, Vine GM. “They make us laugh, they inspire us and most importantly, they create culture. That is special. That deserves recognition and fuel. Today’s announcements are a key step towards that.”
Here’s how it will work: tapping on a video Tweet or Vine on your timeline will take you to a new, full-screen viewing experience, where more great video and Vine Tweets will be suggested below.This will be rolling out soon on Twitter for iOS and for Android.
Twitter has Video support since January 2015, with a limit of 30 seconds of footage. Today’s increase in length gives Twitter an advantage over rival app Instagram — in March, its’ service changed from 15-second to 60-second videos, according to Venture Beat.
Explore more videos and Vines that are lighting up Twitter. Our new viewing mode will let you watch more with a tap. pic.twitter.com/XyBaes37T7
Twitter Engage: Twitter Engage is a new, standalone app for influential creators that helps them interact with their fans and grow and retain an audience. The app will provide creators with an easy way to monitor engagement and offer new, down-to-the-second analytics on how their Tweets are performing. Other tools for creators in the app include curated recommendations to help identify high-profile engagement opportunities and a refined view of influential @mentions and follows.
Longer Videos on Twitter and Vine: Everybody will be able share longer videos on Twitter, and people will begin to see longer videos on Vine. Where previously consumer video uploads were limited to 30 seconds, today anyone can create and share videos up to 140 seconds on Twitter. And, starting with a small group, creators will be able to add a longer video to their Vine, turning the six-second Vine into a trailer for a bigger story.
Improved browsing: Twitter also announced a new video viewing experience that will make it easy to discover videos and Vines on Twitter. By simply tapping on a video Tweet or Vine in the Home timeline, people can now launch a new, full-screen interface with more suggested video Tweets below.
Twitter Engage is available today to download on the Apple App Store in the U.S. People can now start uploading longer videos on Twitter, and may begin seeing longer Vine videos. The new video discovery experience will be available on iOS and Android soon.
Over the past year, we have witnessed a tremendous growth in the digital world. Social networks audiences have increased significantly in recent months, in line with digital growth in general. As part of a recent Webinar, Alejandro Fosk, Senior Vice President, Latin America for comScore, Inc., highlights the major shifts in digital consumer behavior over the past year across various online sectors including social media, news/information, government, sports, online video and mobile.
Internet global audience
The Internet’s global audience has reached 1.8 million users.. The regions of Asia and Europe lead the audience with 43.9% and 23.9% respectively. With a 2 digits increase, LatAm accounts for 10% of the global audience. North America, which used to control at least 50% of the total audience 10 years ago, today only has a 12.6% share.
With a 17% annual growth rate , LatAm has 176.3 million Internet users, a lot more than the 151.0 it had in 2013. The Middle East – Africa region experienced the highest average annual growth (27%). Yet, with 170 million users it failed to overcome LatAm.
Internet population in Latin America
Mexico ranks second, after Brazil (70.9 m), in terms of online audience size in Latin America with 25.4 m total unique visitor. Argentina ranks third with 18.5 m unique visitors.
Total Unique Visitors (mm) . Latin America: 176.3, Brazil:70.9, Mexico: 25.4, Argentina: 18.5, Colombia: 13.3, Venezuela: 9.9, Chile: 6.4, Peru: 5.9, Puerto Rico: 1.6 and Uruguay 1.4
Regarding the age of the audience, LatAm has the “youngest audience ” globally. 60% of the audience in the region has an age of less than 35. Visitors under 25 are considered “digital natives” directly. Mexicans spent 14.8 hours online on average and 61.3% of time spent is by young people (under 35 years old).
With an average annual growth of 15%, the number of unique users of social networks in LatAm has increased from 145.97 mn to 167.43.million.
Mexicans spent the highest amount of their time online on social networks (4.7 average hours per visitor per month).Corporate presence takes over 4.0 average hours per visitor per month and services 3.7 hours on average.
Main categories of time online in Mexico: Social Media (4.7), Corporate Presence (4.0), Services (3.7), Portals (2.9), entertainment (2.4)
Facebook leads as the most visited social network in Mexico with 22, 043 unique visitors.Youtube ranks second with 18, 369 visitors and Taringa third with a much lower number of unique visitors (6,364).
Although it has a lower percentage in the region comparing to other categories such as Desktop, this category has significantly grown year over year. Mexico and Chile are the two Latin American countries with the highest penetration of Mobile (18.2 m and 11.2 m respectively). In Mexico it has risen from 13% to 23% . In Chile, it doubled. Mexico has the highest penetration in mobile compared to the rest of the Latin America countries.Android is the leading smartphone operating system in Mexico with 74.8% market share.
With an imminent growth, the mobile category is setting the standard in terms of platform growth . Access to web sites from other platforms different from Desktop is 14.9% . Out of this total, 12.0% occurs from mobile devices.
The audiencie shift from TV to digital media has begun with online video category. Mexico leads the region in minutes with 83.7 minutes per unique visitor and a total reach of 18.2%.
Throughout this year, there have been significant developments in the digital landscape, including Social Networks. Both mobility and connectivity have shown higher growth rates, especially in Latin America, where internet users spend at least 8, 67 hours per month, according to a research carried out by comScore Inc., making it the region with greatest engagement in social networks. Below, some highlights from the report:
Engagement of Social networks per region
During the month of April 2014, Latin America has proved to be the region with highest engament on social networks with a total average of 8.67 hours per visitor per month. Europe ranks second with a total of 8.07 hours per visitor monthly while North America, with a considerable difference of almost two hours vs. LatAm, ranks third with 6.08 hours per visitor per month.
Social networks’ engagement per region/Average hours per visitor per month/ Latin America: 8.67 , Europe: 8.07 , North America:6.08 , Middle East and Africa: 5.39 , Asia: 2.47
In Latin America, women are more social
Globally, women have proven to be more “social” than men when it comes to the amount of hours spend each month on social networks, according to Comscore. The female audience spends at least 5.88 hours per month on social networks, while male audience devotes a total of 4.75, according to April 2014 figures.
In Latin America, women spend at least 9.08 hours per month on social networking and men a total 8.27 hours.
In Europe, there’s a broader gap. Women reach a total of 8.99 hours a month while men spend only 7.14 hours per month.
North American women spend about 6.82 hours per month per visitor and men 5.28 hours.
Average hours per visitor / Women and Men / Latin America: women 9.08 and men 8.27, Europe: women 8.99 and men 7.14, North America: women 6.82 and men 5.28, Global: Women 5.88 and men 4.75, Asia: women 2.62 and men 2.34.
Minutes on average per visit on Social Media sites
In Latin America, audiences spend on average more minutes per visit on social networking sites than the average in other regions. So far this year, the results suggest there is a 6 minutes difference between April 2014 and April 2013, reaching a total of 17 minutes per month per visit on social networks in LatAm in 2017.
Minutes on average per visit on Social Media sites:LatAm,Middle East and Africa, Europe, Gloabl, North America, Asia
LatAm: young people show greater engagement and affinity to Social Networks
In Latin America, people between 15-24 years old show greater engagement and affinity to social networks with 120.6 and 101.8 percentages respectively. People between 25-34 years old rank second with 92.5 percentage engagement and 99.4 percentage affinity. Unexpectedly, the group of people between 45 and 55 years of age show a higher level of affinity over the latter with a total of 99.5.
Affinity rate: 15-24:101.8 , 25-34: 99.4, 35-44: 99.0, 45-54: 99.5, more than 55: 98.0 ; Engagement rate: 15-24: 120.6, 25-34: 92.5, 35-44: 88.7, 45-54: 89.4, more than 55: 84.4
How do Latin American audiences spend their time on PC / Laptops?
The results indicate that Social Media is the category that is longer time on PCs / Laptops with a total of 86.636 minutes monthly. The Social Media Category is followed by Corporate Presence with a total of 54.688 minutes and the Services category with 39,112.
Total minutes per month: Social Media: 86.636 , Corporate Presence: 54.688 , Services: 39.112, Portals: 30.502, Entertainment: 27.951
Michael Cohn is the founder and Chief Technology Officer (CTO) of CompuKol Communications.
Social media has been around for a while now and you are working it effectively for your business. You may be tweaking and adjusting as you go but your basic structure and your basic approach to social media is solid and unaffected.
Adjusting as you go
The reason (and it may be obvious to you and to many other people) that you need to adjust as you go is because the needs of your clients as well as the needs of your business don’t always stay the same. They change over time and you have no choice but to change as those needs develop. One of the first (and most important) questions that you need to ask is what you are trying to achieve through your social media efforts. Your ultimate goal (whether for your clients or for your own business) is to develop a solid, effective online reputation that will carry you far or carry your clients far. As you go along that path, you will grow and learn and develop and mature.
Pretty much everything that you do online will alter your online reputation just a little bit. Of course, the big picture will be quite different than what you started out with and you will not necessarily see a dramatic change with each small change that you make. However, in the end, there will be significant and extremely positive changes to your online reputation or to the reputation of your clients. Influence and influencers are critically important to your professional success. When you are working with social media, you undoubtedly understand that your success through those tools are extremely dependent on networking, interacting regularly with your social communities, and identifying and forging relationships with influencers. Each piece is vitally important to your success.
Choosing your influencers
The first thing that you need to do is to identify exactly who your most significant influencers are. Once you have been able to do that, you can figure out where to place them in your structure of influence. If you consider the structure, you would place your influencers at the top of the structure. All other aspects of your social media structure would cascade downward (blogs, forums, eBooks, etc). As you are on the road to identifying your influencers, there are ways in which you can establish connections and get to know them quite easily.
Identifying a new structure
In your social media structure, you not only need to identify and choose your influencers but you also need to connect your influencers with your target audience. That may take more doing than you realized it would take. The reason that it may be challenging is because there is a chance that your target audience is intimidated by your influencers. It is your responsibility to bring them out and make them feel as comfortable as possible. It will definitely pay off.
The next thing that needs to happen is that you need to get your target audience to be willing to step out of their comfort zone. It may take some convincing and it may be frustrating but if you can manage to succeed at this, the rewards will be much greater than the effort that you have put in first.
The synergy between your influencers and your target audience
Once you have aligned everyone, your structure will start to sing. Your influencers are undoubtedly important and your target audience members are equally important to you. Once you have gotten to this point, you won’t have to do that much. Your influencers and your target audience will be sharing a meaningful relationship that will take care of itself and it will be significant for everyone involved. Your influencers have the power to give a great deal to your target audience and your target audience members will take what your influencers are giving, absorb the information like sponges, and run with it. It truly will be poetry in motion.
With the coupling of your influencers and your target audience, they have the potential to really take your business to the next level and to make sure that it keeps on growing and developing. Between you and your business, your target audience, and your influencers, you are a very powerful and exciting combination of people and organizations. However, it is important to remember that you are dealing with people and each person is different. It is up to you to figure out which combinations of people go best together. Your structure of influence and the activity that the people within your structure produce are all important and will all contribute to your success.
Michael Cohn is the founder and Chief Technology Officer (CTO) of CompuKol Communications. He has over 25 years of experience in IT and web technologies. His expertise includes business analysis; project management; management of global cross-matrix teams; systems engineering and analysis, architecture, prototyping and integration; technology evaluation and assessment; systems development; performance evaluation; and management of off-shore development. Mr. Cohn earned a Master’s degree in project management from George Washington University in Washington, DC; and a Master’s degree in computer science and a Bachelor of Science degree in electrical engineering from Fairleigh Dickinson University in Teaneck, NJ.