As Snap Inc. woos Wall Street ahead of its initial public offering, the parent of the popular messaging app is also spending plenty of time courting another constituency: advertisers on Madison Avenue. The Venice, Calif. company is in talks with the media-buying arms of several big advertising companies, including WPP PLC, Omnicom Group Inc., Publicis Groupe SA, and Interpublic Group of Cos., and is seeking ad-spending commitments of $100 million to $200 million for 2017 from each firm, according to people familiar with the...
Snapchat parent company Snap is in discussions with the media arms of large advertising companies such as WPP, Omnicom, Interpublic Group and Calif. before it launches its initial public offering. The company is hoping to secure ad spend commitments of $100m to $200m for this year from each advertising firm, about double or triple the amount the firms have spent in the past year. The agreements are unlikely to be binding contracts, but will secure Snap’s immediate future as it pitches to public investors with a valuation that could reach $25bn. Advertising researchers eMarketer puts Snapchat’s 2016 ad revenue at $367m.