Snap Taps WarnerMedia CMO To Lead U.S. Sales
August 30 2018 - 9:29AM
Dow Jones News
By Lara O'Reilly
Snap Inc. has appointed marketing and advertising veteran
Kristen O'Hara to lead its U.S. sales operations, as the
social-media company seeks to encourage marketers to shift more of
their ad dollars to its ephemeral photo-sharing app.
Ms. O'Hara joins Snap from WarnerMedia, where she was chief
marketing officer for global media. WarnerMedia, earlier known as
Time Warner Inc., was sold to AT&T Inc. this year. It houses
brands including TNT, CNN, HBO and Warner Bros.
Prior to her 16 years in rising marketing positions at Time
Warner, Ms. O'Hara held senior roles at WPP PLC advertising agency
Young & Rubicam, where she worked for clients including Sony,
Yum Brands and Dr Pepper.
Ms. O'Hara will be based in Snap's New York office and report to
Imran Khan, the company's chief strategy officer. She starts in her
role as Snap's vice president of U.S. global business solutions on
Sep. 4.
"Kristen knows what the top CMOs want because she was one of
them herself," said Mr. Khan in a statement.
Snap's entrance on the social-networking scene has had a mixed
response from advertisers, users and Wall Street. Snapchat is
largely seen by advertisers as a platform to reach younger
consumers, but a recent unpopular redesign of the app and the
success of competitor Instagram have contributed to a slowing of
daily audience growth.
Snap continues to grow its advertising business, but its share
of the global digital ad market--an estimated 0.5% in 2018
according to research firm eMarketer--is far behind that of
Facebook Inc. and Alphabet Inc's Google, which are expected to take
an 18% and 31% share of global digital ad dollars spent this year
respectively.
Mr. Khan said Ms. O'Hara's experience of working with Snap as a
client and sitting as a member of its partner council, where a
group of senior marketers meet regularly with the company to
provide feedback on the platform, will help it better serve its
advertisers.
Last year, Time Warner struck a wide-ranging $100 million deal
with Snap that included commitments to develop shows for the app
and place advertising on the platform from HBO, Warner Bros. and
its Turner cable networks.
"Snapchat is a platform that offers marketers an unmatched
combination of authenticity, creativity and scale," said Ms. O'Hara
in a statement.
This isn't the first time Snap has looked to a Madison Avenue
veteran to hone its pitch with advertisers. In 2016, the company
hired former Viacom Inc. ad sales chief Jeff Lucas to lead its
global sales. He left the company in February of this year and his
duties were split among regional sales directors in the U.S, while
Claire Valoti overtook responsibility for international ad
sales.
Mr. Lucas joined Verizon Communications Inc.'s Oath division as
its vice president of Americas sales two months later.
Snap has shifted its sales approach from focusing on trying to
land direct, upfront premium deals with large advertisers to
opening up its ad platform for companies of all sizes to use
self-service tools to purchase ads on the app.
Snap's programmatic advertising revenue in the second quarter
grew 485% year-on-year and 34% sequentially. This year, the company
renamed its sales division as "business solutions" to reflect the
more consultative role the team has taken on with advertisers.
Total revenue for Snap's most-recent quarter grew 44% to $262
million, ahead of analysts' expectations, although the company also
reported the first decline in daily active users in its operating
history, down 2% on the previous quarter to 188 million.
Georgia Wells contributed to this article
Write to Lara O'Reilly at lara.oreilly@wsj.com
(END) Dow Jones Newswires
August 30, 2018 09:14 ET (13:14 GMT)
Copyright (c) 2018 Dow Jones & Company, Inc.
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