Snap partners with Snowflake to build PETs with Snowflake’s Marketing Data Cloud

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Snap has announced a strategic partnership with Snowflake to build privacy-enhancing technologies with Snowflake’s Marketing Data Cloud. The integration promises advertisers the ability to securely share invaluable targeting and conversion data without compromising on security or signaling protocols. 

Despite the integration’s forthcoming rollout slated for months ahead, both Snap and Snowflake remain tight-lipped about the identities of participating companies in early pilot tests. Nonetheless, the anecdotal evidence suggests a trajectory of enhanced advertising efficacy on the horizon.

Moreover, Snap has augmented its arsenal of advertiser tools by cementing a new partnership with AppsFlyer. The collaboration aims to provide advertisers with deeper insights into mobile measurement performance, a move underscored by impressive early test results, including a staggering 158% surge in iOS conversions and a 41% decrease in cost-per-app-install.

Snap’s commitment to data privacy is evident in its utilization of Privacy Enhancing Technologies (PETs) such as Data Clean Rooms and advanced encryption. By implementing such robust privacy measures, Snap distinguishes itself as the pioneering AppsFlyer partner in adopting this level of privacy encryption, ensuring the sanctity of user data remains paramount.

In tandem with these developments, Snap is refining its Event Quality Score (EQS) to furnish ad partners with a more nuanced understanding of signal health. The revamped EQS promises personalized recommendations tailored to each advertiser, facilitating informed decision-making and driving impactful outcomes for businesses.

Amidst the backdrop of Apple’s iOS 14 changes, which have disrupted the digital advertising landscape, Snap has confronted headwinds in its ad business. The platform’s staunch commitment to user privacy has led to a significant portion of Snap users opting out of data tracking, compelling Snap to recalibrate its ad platform strategies to deliver enhanced results.

The recalibration has not been without its challenges, as evidenced by Snap’s decision to downsize its workforce by over 1,500 employees as part of broader restructuring efforts. Despite facing revenue stagnation over six consecutive quarters, Snap remains undeterred in its pursuit of bolstering ad analytics capabilities and empowering ad partners with actionable insights.

As Snap endeavors to navigate the evolving digital advertising terrain, the symbiotic partnership with Snowflake heralds a new era of data-driven advertising. With lower margins and improved analytics poised to drive better results, Snap’s strategic pivot towards ad analytics proficiency holds the promise of revitalizing its ad business and charting a path toward sustained growth.

Written by Sophie Blake


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