Instagram, the most popular photo-sharing app on mobile is now going to be open it’s advertising platform to all businesses of all size and shape across the globe. The users of the Facebook owned app have started experiencing more advertisements in the feed, now on, there are going to be much more than just ads with pictures. There will be a mix of longer video ads too.
The app now taps over 300 active million users, who use Instagram atleast once a month. To push its business more and to make the most out of the large number of users, the ads, which used to be 15 seconds long, are going to now be made into 30. The research firm eMarketer projects that Instagram can generate 14 percent of mobile ad revenue for Facebook by 2017, and generate some $2.81 billion (roughly Rs. 18,591 crores) for the group.
Instagram, on its business blog announced some new addition to the app:
- Landscape photo and video to unlock new creative opportunities and give ads a more cinematic feel
- Video ads of up to 30 seconds in length, so brands can engage in richer storytelling
- Marquee, a new premium product that helps drive mass awareness and expanded reach in a short time-frame—perfect for events like movie premieres and new product launches
- Delivery and optimization tools to manage and drive the best performance of campaigns across Facebook and Instagram.
Now large and small advertisers will be able to run campaigns on Instagram starting this month, and ads are now available in more than 30 new countries, including India, South Korea and Mexico. More than 70 per cent of Instagram’s users are outside of the U.S, stated Instagram in its blog post.
Instagram is an established marketing tool for small businesses like restaurants, bakeries and hair salons that sell items that photograph well. The power of the picture is what the app is thriving upon. Its parent company Facebook is now focusing more into ad revenues, and hence probably this change, as there are more users on smartphones and other hand-held devices like tablets. It drew 76 per cent of its total advertising revenue in the second quarter from mobile advertising, up from 62 per cent a year earlier.
The company is for sure seeing more significant demand in travel and entertainment sections, as there are more ads from those e-commerce streams. The app, which was founded in 2010, had bling on its fortunes when it was taken over by Facebook two years ago. This turn that its taking will just add more wealth in its ad revenue booty, but do you think the users will welcome it?
