Snapchat has announced a new ad format called AI Sponsored Snaps, which brings ads into the Chat interface through AI-powered chat agents.
Instead of regular banner or feed ads, brands will be able to interact with users directly inside the chat box. Users can ask questions, explore products, and get recommendations without leaving the conversation.
Snap Inc. also shared that more than 500 million users have interacted with their AI assistant, My AI.
According to Snap Inc., the new format expands its existing Sponsored Snaps ads, which have shown improved conversion rates and lower costs compared to other ad types.
The company is now testing the feature with selected partners, including Experian, which will use it for credit and financial information services.
The Snapchat AI Chat Ads rollout is still in early testing, with wider availability expected later based on results.
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