Snap, Try, Buy: How Champs Sports and Nike Used AR to Drive Sales

Earlier this year, Champs Sports and Nike teamed up for a game-changing campaign, using Snapchat's AR try-on technology. Not only did this collaboration capture consumer attention, but it also drove significant sales, showcasing the immense power of innovative marketing in today’s digital world. 

The Power of AR in Marketing 

Augmented Reality (AR) is no longer just a futuristic concept; it’s here, and it’s revolutionizing digital marketing. AR provides interactive and immersive experiences that keep users engaged like never before. Snapchat has become a leader in this space, especially with its AR lenses and try-on tech, which resonate particularly well with millennials and Gen Z. 

Think about it—Snapchat has over 414 million daily active users who open the app about 30 times a day. That’s a lot of opportunities for brands to connect with their audience. The platform’s impressive ROAS of 6.93 significantly outperforms the average Paid Social ROAS of 4.7, despite ad spend going through the roof. 

Champs Sports and Nike Team Up 

So, what did Champs Sports and Nike do? They launched the "Refresh Your Game" campaign to promote new Nike shoes for the Back-to-School season and boost online sales. They used Snapchat’s AR capabilities to let users virtually try on two new pairs of Nike shoes.  

Pretty cool, right? Users spent an average of 15 seconds playing with the AR lens—a big deal for Snapchat, where interactions are usually much quicker. This longer engagement showed that these new forms of social media can be core marketing channels for brands with large online audiences. 

How They Used Multiple Products and What Happened 

Champs Sports didn’t just rely on AR; they went all out with a multi-product approach. They combined AR lenses with Snap Ads and Dynamic Ads. This strategy was a hit, achieving a 3.69% lens share rate, a 32% increase in ROAS, and a 44% incremental reach. The most impressive part? Users who saw both the product ads and the AR lens had a 53% higher conversion rate compared to past campaigns. 

To get the best ROAS, brands should definitely check out Snapchat’s commerce products, especially Dynamic Ads. These ads are super effective during shopping seasons. Snap Inc. also suggests using 7/0 bidding to boost Last Click performance. 

What Other Brands Can Learn 

The success of Champs Sports and Nike’s campaign has some great lessons for other athleisure and sports brands. Here’s what you can take away: 

1. Embrace innovative technologies: AR try-on features can seriously boost user engagement and drive conversions. 

2. Focus on user experience: Interactive and personalized experiences lead to higher engagement and conversion rates. 

3. Leverage platform-specific features: Using Snapchat’s commerce products, like Dynamic Ads, can improve ROAS. 

4. Optimize for peak seasons: Brands that crush it during peak seasons like Back-to-School or Black Friday/Cyber Monday often see success throughout the year. 

5. Invest in upper-funnel marketing: Research shows that brands investing in upper-funnel marketing for over ten months see a 35% drop in Customer Acquisition Cost (CAC) and a 42% improvement in ROAS. 

The Importance of Upper Funnel Marketing 

The success of Champs Sports and Nike’s campaign isn’t just about flashy AR tech and interactive ads. It’s also a testament to the power of upper-funnel marketing. For platforms like Snapchat, which aim to drive attention rather than direct conversions, upper-funnel strategies are crucial. These strategies help build brand awareness and engage users early in the purchasing journey. 

By focusing on the upper funnel, brands can create memorable experiences that capture user interest and plant the seeds for future conversions. This approach is particularly effective on platforms like Snapchat, where users are looking for engaging and entertaining content rather than just product pitches. 

AR in Marketing: What's Next? 

As consumer behavior keeps evolving in the digital age, Direct-to-Consumer (DTC) brands must stay ahead by embracing new marketing channels and tools. Platforms like Snapchat, with their engaged user base and advanced AR capabilities, offer unique opportunities for brands to create immersive, interactive experiences that can significantly boost engagement, conversion rates, and ROI. By investing in these technologies, DTC brands can not only enhance their marketing effectiveness but also build stronger connections with their target audience, especially younger demographics. 

In summary, upper-funnel marketing isn't just a nice-to-have; it's a must for ad platforms like Snapchat that prioritize attention over immediate conversion. By focusing on creating engaging and memorable experiences, brands can drive long-term success and build a loyal customer base.