Maximizing Snapchat Ad Formats in 2025: Tips and Tricks to Boost Engagement

2/5/2025

As digital marketing continues to evolve, choosing the right ad format is crucial to success, especially on platforms like Snapchat. According to the Social Shepherd, with over 106.7 million active users in the US, Snapchat has become a powerful tool for brands looking to engage with a younger audience, particularly Gen Z and Millennials. 90% of Snapchat users are under 34 years old, making it the go-to platform for targeting that demographic. According to the Business Dasher, people spend 147 minutes on average on social media daily compared to 30 minutes per day on the Snapchat.



Jump to Ad Formats: Snap Ads, Story Ads, AR Lenses, AR Filters, Collection Ads, Commercials

Why Ad Format Selection Matters on Snapchat

Snapchat continues to grow its advertising platform, with a strong focus on mobile-first formats and engagement. According to Social Pilot, Snapchat ads have a 5x higher engagement rate than other social platforms, with video ads driving the most engagement. At FanIQ, we believe that this is because Snap may be the only true social network left.



At a TikTok agency summit we attended in 2024, TikTok positioned themselves as a streaming company, and while Instagram still has a social foundation for many, all of social media has been influenced by TikTok. For now, Snapchat is the exception to that trend, although their recent announcement of TikTok-feed clone, Spotlight, may mean that’s going to change.



Additionally, Snapchat is also always announcing new Ad Products. On their recent Q4 earnings call, Snapchat executives discussed Promoted places, which will be more broadly available later this year. These geo-targeted ad formats are perfect for sports teams, music festivals, and event promoters.



Ad Formats

Snapchat offers a variety of creative ad formats, each designed to match specific campaign objectives like brand awareness, app installs, website traffic, lead generation, and conversions.

Snap Ads

Description: A full-screen vertical ad that appears between organic content, allowing users to swipe up for more details or purchase.

What Works: Engaging, quick storytelling with a clear call-to-action (CTA) to encourage purchases.

Ad Formats: Vertical Video, GIF, Image

Placements: Snapchat Stories, Discover

Common Campaign Objective: Awareness, Traffic, Lead, Conversion

Target Audiences: Past Buyers, Lower Funnel Prospects

Aspect Ratio: 9:16

Story Ads

Description: A series of branded tiles in Snapchat’s Discover feed, leading to a collection of full-screen Snaps that highlight products.

What Works: Immersive storytelling that showcases products in a narrative format, encouraging users to explore and engage.

Ad Formats: Image, Video (9:16)

Placements: Discover

Common Campaign Objective: Traffic, Lead, Conversion

Target Audiences: Past Buyers, Lower Funnel Prospects

Aspect Ratio: 9:16

AR Lenses

Description: Interactive, AR-powered lenses that allow users to try on products, engage with branded filters, or play with immersive experiences.

What Works: High engagement, brand recall, and viral potential when users share their experiences.

Ad Formats: Augmented Reality (AR)

Placements: Camera, Stories, Discover

Common Campaign Objective: Awareness, Engagement

Target Audiences: Mid-to-Upper Funnel Audiences, Interest-Based Targeting

Aspect Ratio: Dynamic (AR experiences adjust to user interaction)

AR Filters

Description: Custom-branded overlays available in specific locations, such as stores or events, to drive local awareness and foot traffic.

What Works: Localized engagement, brand awareness, and user-generated content.

Ad Formats: Static or Animated AR Overlays

Placements: Camera

Common Campaign Objective: Awareness, Foot Traffic

Target Audiences: Event Attendees, Local Shoppers, Geo-Fenced Audience

Aspect Ratio: N/A (Custom overlays for Snapchat Camera)

Collection Ads

Description: A shoppable ad format that features a tappable showcase of products, letting users browse and buy seamlessly.

What Works: Instant product exploration within the app, reducing friction in the buyer journey.

Ad Formats: Video with product tiles (4 product thumbnails)

Placements: Snapchat Stories, Discover

Common Campaign Objective: Traffic, Lead, Conversion

Target Audiences: Past Buyers, Lower Funnel Prospects

Aspect Ratio: 9:16

Snapchat Commercials

Description: Unskippable 6-second or extended ads placed within premium content on Discover.

What Works: High visibility in premium placements, ideal for brand awareness.

Ad Formats: Video

Placements: Premium Content (Discover, Shows)

Common Campaign Objective: Awareness

Target Audiences: Broad Audience, Interest-Based Targeting

Aspect Ratio: 9:16

What is Snapchat's Cost per Thousand (CPM)?

FanIQ’s clients had an average CPM of $9.75 in 2024. For the month of January 2025, FanIQ saw our clients CPM increase by over 25% above the average. FanIQ also saw an increase in CPM by as much as 75% during the holiday season.



An important thing to note is that the CPM can range for certain ad formats. We have seen that Snapchat AR Lenses, AR Filters, and Commercials tend to have higher CPM rates than Snap Ads, Story Ads, and Collection Ads.



Want to speak with a Snap Expert: Click Here



Summary and Additional Paid Social Resources

Understanding Snapchat’s unique ad formats is key to driving successful campaigns in 2025. Whether you're looking to raise brand awareness, drive conversions, or engage with younger audiences in creative ways, Snapchat’s diverse formats can help you achieve your marketing goals. By focusing on formats like Snap Ads, Sponsored Lenses, and Story Ads, you can craft compelling, immersive campaigns that resonate with Snapchat’s highly engaged user base.



FanIQ's Unified Reporting provides detailed performance at a creative, audience, and platform level. Click here to learn more about FanIQ Unified Reporting



Like this article? Check out our pieces on Meta, Reddit, and TikTok. Stay informed with FanIQ about platform updates and keep experimenting to maintain a competitive edge. Ready to elevate your Snapchat marketing strategy? Start planning your next campaign now!



Follow us on LinkedIn for regular posts on the shifting paid social marketplace.