Understanding The Role of Snapchat in Promoting National & International Trade
Understanding The Role of Snapchat in Promoting National & International Trade
Understanding The Role of Snapchat in Promoting National & International Trade
ABSTRACT
Technology today has revolutionized interpersonal communication. People are more into virtual social networking than face to
face social interactions. Virtual interactions take place in the form of voice calling, video calling, texting, sharing photographs,
opinions etc. The wave of social networking which started with the WhatsApp, Instagram and Facebook have simply heralded
the interactions between family and friends. Apart from the existing applications, Snapchat is an upcoming platform that is one
of the latest and most popular forms of communication enabling people to share their daily stories across the globe. A clear
sign of its popularity and extraordinary achievement in a span of only four years, is evident from the fact that there are now
over 150 million Snapchat users, who access the app. Snapchat is being used for increased engagement and creative directions.
Through this paper, the authors have made an attempt to understand the role of Snapchat in promoting national and
international trade. Primary information was collected through a questionnaire survey of 400 individuals from India (Pune,
Hyderabad, Delhi, Gwalior andOdisha) and Dubai. The secondary information was drawn from journals and business websites.
1. INTRODUCTION
The fast development and adoption of online digital technologies had profound impact over the social relationships
through evolution of different social networking sites like Orkut, Facebook, Instagram and now Snapchat, alongside
many others. Snapchat has rightly given meaning to the famous Englishidiom, A picture is worth a thousand words
by offering a platform to share visual stories through pictures and videos, making it a more real-time form of
communication. While it is a mostly personal platform, it also favours mass communication through options like Snap
Stories, Live Stories, Our Story, Story Explorer, Snap Map etc. These in turn enables the users to get an idea of what's
happening all around the world.
It has also been observed that marketing through Snapchat has not only proven to be beneficial to marketers but also to
the consumers. Its unique features enable it to create a more authentic, truthful, honest line of communication beating
the competitors (with their provision of an illusion of perfection). As a result, it was noted that this has inculcated a
sense of brand loyalty amongst the consumers.
All of this has led to a more mobile focused marketing that ensures that the users are engaged, creative, with their
unique features and fun filters, which in turn has achieved significant growth over a period of time counting more than
100 million daily active users.
2. REVIEW OF LITERATURE
According to E.GlynnMangolda and David K. Faulsb, 2009 [2] with the advent of internet based online networking, it
is now possible for an individual to speak with a large number of other individuals about anything they wish, be it items
or organizations. This in turn has led to a multifold increase of buyer to shopper correspondence in the commercial
center.
Jen Sanfillipos, 2016 [3]observed that the features of Snapchatlike emojis, filters, etc. helpintensify face to face
communication, alongside guiding its users and encouraging them to interact in a different manner. They have also
revolutionized the concept of communication since its launch, from a shift of intimate communication to day to day
happenings around the world.
Jason Abbruzzese, 2016 [4]inferred that the Facebook and Snapchatseem to have elder-younger sibling dynamic. Both
of them have a strong base, fast evolution and almost same demography. Facebook had a seven-year head start and in
any case, has officially experienced the vast majority of ups and downs. He also emphasizes on the evident rivalry
between the two with Snapchat going on to become their biggest competitor.
According toKurt Wagner, 2015[5]roughly 44% (of the 1117 U.S. based Snapchat users) of the millennialc
usingSnapchat to share stories with friends in the age group of 13-24 years use the Live Stories and/or Discover options
on daily basis.
According to Christina Newberry, 2016 [6] over 38% of smartphone users in the age group of 25-34 years and 14% of
the smartphone users above 35 years of age use Snapchat. Gradually the application is becoming more popular in the
age group of 18-24 years. Its rate of penetrationfor this age group is approximately 69%. Amanda Lenhart, 2015
[7]found that according to Snapchats own figures, on an average 41% of people belonging to the age group 18-34
years seems to use the app. According to Douglas Macmillan, 2013[8] approximately 70% of Snapchat users are
women.
Kurt Wagners 2014[9] found that the majority of college students having Snapchat accounts would prefer to open a
snap from a brand that theyve never heard of and 73% believed that they would open a Snap from a brand they would
know. This is positive news for the brands which are already users of Snapchat to engage with customers and hit shows
like HBOs Girls use the series to interact with fans.
According to Paresh Dave and David Pearson, 2015 [10], Snapchatholds a reputable position today in the marketing&
promoting of business in the international platform. The social world clearly believes that Snapchat has a very bright
future ahead. What puts the app above the rest is the fact that it has an estimated 200 million monthly active users and
100 million daily active users.
3.OBJECTIVES
The primary objectives behind the research were:
1. To understand different modes of communication.
2. To understand the concept of Snapchat.
3. To find the current status of advertisements on Snapchat and their viability.
4. To find out the impact and role of Snapchat over national and international marketing.
4. RESEARCH METHODOLOGY
The research in hand is based on both primary as well as secondary sources of information. Primary data was collected
through online questionnaire survey of 400 individuals from India (Pune, Hyderabad, Delhi, GwaliorandOdisha) and
Dubai. The sample comprised of people from urban India and Dubai hailing mainly from 15 years to 25 years of age as
the literature review and pilot survey inferred that these age groups represent the most active user group of Snapchat.
But the author has also collected data from other age groups i.e., 25 to 40 years and 40 years and above for comparing
and verifying the results. Secondary information was collected from research papers, articles, journals and reference
books.
5.2.1 Platform to share: Snapchat renders a platform to share users daily experiences in the form of pictures, videos,
music and stickers. It was noted that 63.9% of the sample used the app to share videos, pictures or music and 53.2%
also used it to share their daily experiences.
5.2.2 People look for little pleasures of life and this is something that the Snapchat filters are fulfilling through its
playful dog filters and serious Marie Curie filters on International Womens Day and is substantiated with attracting
44% of the sample group to use Snapchat and 58.3% of the same group considering these filters to be the best feature
available.
5.2.3 Snapchat offers a blend of effective communication with fun. Survey revealed that 43.7% of the sample uses it
to stay in touch with friends and family members. 7.5% of the population preferred it because of its speed and user-
friendly features. 19.8% of the sample uses it to find information, both personal and professional. Information available
through Snapchat stories and Discover feature helps users stay updated or assists them in other activities. The
Discover feature being the most unique feature allows users to view content compiled by publishers, brands, etc.,
which means better quality content and better user experience.37.3% of the sample liked this feature the most.14.3% of
them use Snapchat like any other social media account, to get opinions on particular things.
5.2.4 12.7% of Snapchatters use it to make new friends like any other social networking site. 9.9% of the sample use it
for getting updates of others lives. 56.3% found the temporary nature of Snapchat very attractive as this helps in
keeping the privacy of an individual, making it a low stake sharing platform. Furthermore, people prefer the concept of
sharing mundane daily events that wouldnt otherwise make it to other platforms in fear of misappropriation, not
enough likes etc.
Figure 1
71% of the sample group agreed to Snapchat being an effective mode of communication, while 9.4% of them disagreed,
and the rest 19.8% took a neutral stand (Figure 1).
This can be substantiated by taking into account that it has a good network to be used to share experiences, photos,
videos with friends and family, being inexpensive, modern and fast in terms of communication, providing a chance to
be up to date with the happenings around the world and being creative with their communication. It does not replace
any other application, and is unique, which adds to its benefit.
From the sample group, 71.7% considered that social-life communication was strongly affected by Snapchat, whereas
9.2% did not agree with the same. The remaining 19.1% chose to remain neutral.
Figure 2
Figure 3
multiple needs.
Figure 4
Figure 5
6. CONCLUSION
Snapchats main market difference is from two features: passion and promotion. When people are passionate about a
brand that people are already drawn to, it creates a great platform to be on because people are eager to get messages
from such brands. Its unique features - sponsored filters, stories, and Snapchat Discover appeals to the users and
provides value to marketers who wish to advertise their brands due to the relative ease and accessibility of the platform
to the general public making them feel like they are connected to the entire world with a simple click of a button.
Brands have to face various challenges while promoting through Snapchat. One of its biggest weaknesses is its inability
to stand on its own. Having grown up with dynamic changes throughout their lives, the youth tend to expect such
changes which then forces brands to keep up with the user's changing wants, needs and constantly keeping in track
of what is popular. this leaves brands with more challenges in order to measure the success of their campaign. The
benefit that would be gained from using Snapchat as a marketing resource would speak volumes over the minute
struggle that would have to be overcome, in order to build community and loyalty. It is especially beneficial for fashion
brands looking to reach a young, visually-oriented audience (whose attention span is of less than 10 seconds) as well as
for the brands seeking to portray a more authentic and honest line of communication with their consumers.
The largest group of Snapchat users belong to Generation Z, and marketers can use this knowledge to appeal the
younger demographic by connecting with their interests as well as taking advantage of technology to reach them
quickly and effectively. Many businesses use Snapchat to generate a wide consumer base by appealing to the different
demographics of users and cultivating new markets from previously untapped age brackets. By using Snapchat to its
full potential, marketers are looking at a powerhouse of advertising possibilities that is easily accessible and readily
embraced by the entire world.
7. RECOMMENDATIONS
Partner with Influencers- The benefit of partnering with influencers is the rapid spread of awareness to a
demographic that may otherwise be hard to reach through traditional media. Many companies have already
harnessed this source via Instagram and other social channels.
Feature Your Followers- In order to ensure companies do not lose followers and become too self-involved, they
have to involve the public to create a sense of belongingness. This could be via featuring their followers, offering
them value, etc.
To illustrate, take the example of GrubHub, an online mobile food ordering brand which launched its first
Snapchat campaign in 2013. They featured their own weekly content, gathered stories from user-generated content
and sponsored giveaways and promotions.
This in turn lead to a 20% increase in their followers and was contributed to being one of the factors that
contributed to its Wall Street public offering debut.
Finding interns- Being a little tricky, this recommendation would only apply for those companies, which
encourage casual communication through the use of photos and videos.
Revisiting the example of GrubHub, the company utilized Snapchat Stories and a photo slideshow of six images, with
which they explained how interested candidates could apply for an internship with a snap of their best doodle with
SnapchatSkillz.
References
[1]. Power, Don, Snapchat: Can Disappearing Content Really Work for Brands? SproutSocial, 2013.
[2]. E.GlynnMangolda and David K. Faulsb, Social Media: The New Hybrid Element of The Promotion Mix. Science
Direct, ScienceDirect, 2009.
[3]. Jen Sanfillipo, Snapping Through Life: How Snapchat Changes Communication, Medium, 2016.
[4]. Jason Abbrussezze, Can Snapchat Escape Facebooks Long Shadow?,Mashable, 2016.
[5]. Amanda Lenhart, Teens, Social Media, and Technology Overview, Pew Research Center, 2015.
[6]. Kurt Wagner, Snapchat is making some pretty serious money from live stories, Recode, 2015.
[7]. Christina Newberry, Top Snapchat Demographics That Matter to Social Marketers, Hootsuite, 2016.
[8]. Kurt Wagner, Study finds 77% of students use Snapchat daily, Mashable, 2014.
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Angeles Times, 2015.
[10]. Abdulla Barakji, Social Media Marketing in the Digital Age, Entrepreneur Middle East, 2015.
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Channel), 2016
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Times Brand Equity, 2015.
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Connor Blakley, How to Build a Marketing Campaign that Appeals to Generation Z, Fortune, 2016.
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Author
Dr. Surya Rashmi Rawat, MBA (International Business), UGC (NET), LLB, the corresponding
author is a Professor at Symbiosis Law School, Pune. The professor teaches management subjects to
students of BBALLB Hons. and holds a teaching experience of more than 14 years. The professor has
a rich research experience with many research papers published in different indexed and peer reviewed
journals.
J. KhyaatiShri, Miriam Solomon, Sree Tirumalapeddinti, Ishmeet Kaur, Shreyashreeta Ray are
BBALLB Hons.students from Symbiosis Law School, Pune. All of them have excellent research
acumen and have good drafting and academic skills.