Snapchat has introduced a suite of new features and updates designed to enhance brand engagement and connect more effectively with its audience. The updates, which include enhancements to Sponsored Snaps and a new music performance series, are part of Snapchat's ongoing strategy to focus on Gen Z, particularly in Australia and New Zealand.

Managing Director of Snapchat Australia and New Zealand, Ryan Ferguson, said: "Snapchat is the go-to platform for more than 90% of Aussies aged 13-24. We know the next generation of growth is going to come from Gen Z, and Snapchat is the best place to reach them. We're continuing to invest in new advertising products, from First Snap's direct engagement to the power of Sponsored Snaps in the auction and our AI-powered Smart Campaign Solutions, expanding opportunities for brands to connect with Snapchatters in innovative ways that drive real business results."

Among the new features, Snapchat has launched Sponsored Snaps from Creators, allowing advertisers to send a Sponsored Snap directly from a creator's handle to users in the Chat Feed. This feature is aimed at leveraging the influence of creators to enhance brand visibility. Additionally, Web & App Auction Ads will enable targeted advertising through the ads auction, utilising Goal-Based Bids for web and app actions.

The First Snap feature offers a single-day opportunity for advertisers to deliver a Snap in the Chat Feed, which opens to a full-screen video with a call-to-action from the advertiser. This is designed to maximise engagement through direct and immersive advertising experiences.

Snapchat has also introduced AI-powered Smart Campaign Solutions, including Smart Bidding and Smart Budget, to improve advertiser outcomes. These tools are expected to provide brands with more efficient and effective ways to reach their target audiences.

In addition to these advertising updates, Snapchat has launched 'Under the Ghost', a new music performance series hosted at its Santa Monica studio. This series presents unique sponsorship opportunities for brands, including full-funnel media packages.

The platform has reported a global increase in time spent watching content and a notable rise in Spotlight posts by Snap Stars in North America. Snapchat's user base has grown significantly, surpassing 900 million monthly active users globally in the first quarter of 2025, with daily active users reaching 460 million.

Financially, Snapchat's revenue in Q1 2025 increased by 14% year-over-year to $1.36 billion, driven primarily by direct response advertising solutions and Snapchat+ subscriptions. Direct Response advertising accounted for 75% of Snapchat's total advertising revenue during this period.

Snapchat+ subscribers have grown to nearly 15 million in Q1 2025, contributing to a 75% year-over-year growth in Other Revenue. The platform's unduplicated reach data indicates significant daily user engagement compared to other platforms such as TikTok, YouTube, Twitter, Facebook, and Pinterest.

The 'Say it in a Snap' brand campaign will also be rolled out, featuring location-specific creative on various out-of-home billboards in New York City, further extending Snapchat's advertising reach and brand presence.