Snapchat’s trying out a unique way to increase Snapchat+ subscriptions, by enabling people to exchange McDonald’s points that they’ve accrued in the McDonald’s app for Snapchat+ membership.
As you can see in these example screens, now, users of the McDonald’s app will be able to convert their points, accrued based on purchases over time, for a Snapchat+ subscription, providing another way for Snap fans to get access to various add-on elements.
As explained by Snap:
“McDonald’s and Snapchat are launching a first-of-its-kind collaboration where MyMcDonald’s Rewards users can exchange points for a one-month subscription to Snapchat+. This is the first time for McDonald’s to offer a digital subscription service as a redeemable reward.”
Snapchat says that the McDonald’s app is used by over 150 million people worldwide, giving it access to a heap more potential subscribers to its Snapchat+ offering.
Which has already proven popular. Snapchat+ now has over 15 million active subscribers, which is significantly more than X Premium, and both were launched at around the same time.
The popularity of Snapchat+ reflects Snap’s nous for features and content that resonate with its user base, which has also seen it continually lead the way on AR activations and trends.
And given the crossover of Snapchat’s young user base with McDonald’s customers, this seems like a clever match for expanded marketing of its subscription program.
Though it is also worth noting that, despite the popularity of Snapchat+, it remains a minor contributor to Snap Inc.’s bottom line. Snapchat+ subscriptions contribute less than 10% of the company’s overall revenue, with the vast majority still coming from ads. That still equates to around $150 million in additional income, so it’s definitely significant, but the concept of subscriptions becoming a key driver of app revenue, and freeing platforms from the demands of advertisers, remains far-fetched.
But Snapchat is growing its program in clever ways, and appealing to subscribers with alternate offerings.
“To redeem the Snapchat+ subscription, MyMcDonald’s users can head to their ‘Rewards & Deals’ and click on the Snapchat+ icon under "MoreRewards." Users can then exchange 1500 MyMcDonald’s points to receive a unique code, which they can enter to become a Snapchat+ subscriber.”
Snapchat says that this is a limited-time offer, from June 10th - July 7th, and only for new Snapchat+ subscribers in the U.S.
