- Smart Bidding and Smart Budgeting are key AI-powered tools that allow advertisers to automate optimization, improving both efficiency and performance.
- Sponsored Snaps are evolving, with Inbox Advertising and First Snap offering more direct ways to engage users, and creator-based Sponsored Snaps adding a personal touch that resonates with Snapchat's audience.
- Under the Ghost offers a unique music-focused campaign opportunity, combining live events with brand integration, allowing brands to tap into Gen Z’s love for music, culture, and community.
At the 2025 NewFronts, Snapchat made waves with a series of exciting updates aimed at enhancing how brands connect with audiences on the platform.
The social media giant unveiled a suite of new tools designed to optimize campaign performance, increase engagement, and deepen user connections. From AI-powered bidding and smart budgeting to expanded Sponsored Snaps and a music-driven brand opportunity, Snapchat is positioning itself as a powerful tool for digital marketers looking to leverage the platform's highly engaged user base.
AI-Powered Tools: Smart Bidding & Smart Budgeting
Snapchat’s new Smart Bidding and Smart Budgeting tools are designed to take the guesswork out of campaign management. Smart Bidding enables advertisers to set specific cost-per-action (CPA) targets, allowing Snapchat's AI to automatically adjust bids in real time to meet those goals.
This makes it easier for brands to optimize their spending and improve ROI without constantly monitoring the campaign’s performance.
Alongside Smart Bidding, the Smart Budget feature allows Snapchat to allocate budgets automatically to the best-performing ad sets. These tools work together to maximize the efficiency of an ad campaign, ensuring that brands spend their budgets on the most effective strategies while saving time on manual adjustments.
Early alpha tests have shown promising results, indicating that these features could play a significant role in helping advertisers scale campaigns with greater precision.
Expanded Sponsored Snaps: Inbox Advertising & First Snap
One of the standout updates from Snapchat is the expansion of Sponsored Snaps, the platform’s ad product that delivers promotional content directly into users' inboxes. Initially met with some skepticism, Sponsored Snaps have now shown positive results, and the new features announced at NewFronts only enhance their potential.
The introduction of First Snap offers brands the ability to send a single-day, first-impression ad that appears in a user’s inbox. These promotions can open to full-screen video content, followed by a call-to-action (CTA), allowing brands to deliver a clear, immediate message in a space where users are highly engaged.
Additionally, Sponsored Snaps from creators are now available, allowing brands to send promotions directly from a creator’s handle. This adds a personal, authentic touch to the ads, helping brands connect with users in a way that feels less like traditional advertising and more like a conversation between a creator and their followers.
The “Under the Ghost” Initiative: Music Integration for Brand Partnerships
Snapchat is also tapping into the growing influence of music on its platform with the launch of Under the Ghost, a new music-driven brand initiative.
The series, which will host live performances from emerging artists at Snapchat’s Santa Monica studio, offers unique sponsorship opportunities for brands. Through this initiative, advertisers can access a premium content series that connects music, culture, and community—three elements that resonate deeply with Snapchat’s Gen Z audience.
Brands can sponsor these events through a full-funnel media package, which includes Sponsored Snaps, creator content, and Total Takeover placements. By aligning with music events, brands can tap into the cultural zeitgeist and engage audiences who are passionate about the artists, performances, and conversations that drive the platform.
Snapchat's Evolving Ad Platform: The Focus on Gen Z & Millennial Audiences
These new features are part of Snapchat’s broader strategy to strengthen its appeal among Gen Z and Millennial users. With 79% of US Snapchatters expressing a passion for music and the app’s growing role as a space for real-time connection and authentic content, Snapchat continues to evolve as a platform that prioritizes the experiences and interests of its young audience.
For marketers, this shift means that Snapchat is no longer just a platform for fleeting content—it’s becoming a hub for meaningful engagement, real-time conversation, and cultural moments. The new ad products and tools provide more opportunities than ever to connect with Snapchat’s vibrant, engaged community.
Snapchat's Bold Moves in 2025
Snapchat’s recent ad innovations mark an exciting new chapter in how brands can engage with their audiences on the platform. The combination of AI-powered tools, personalized inbox ads, and music-driven campaigns positions Snapchat as a key player in the social media advertising space, particularly for brands looking to connect with younger audiences in creative and impactful ways.
With these updates, Snapchat continues to strengthen its reputation as a platform that blends entertainment, culture, and advertising, giving marketers the tools they need to drive real results. As the platform evolves, these new features are set to become a cornerstone of successful Snapchat campaigns.
