Instagram Carefully, Respectfully, Selectively, Bows Native Advertising Offering

Rebecca Lieb's picture

As the company recently strongly hinted it would, Instagram today announced it will debut advertising on the platform early next month – native advertising, that is.  Aligned with the definition of the term in the research I recently published, the ad creative will be photos from the advertisers’ own Instagram accounts that appear in the feed, differentiated by a “Sponsored” notice in the upper right corner which users can tap on for deeper disclosure.

Just prior to today’s announcement, I discussed the launch with Instagram’s Emily White, director of business operations and Jeff Kanter, product manager. Their approach to monetizing the platform is so careful you could almost characterize it as curatorial. Ten brands were hand picked as launch advertisers based on the “great things” they’re already doing on Instagram: Adidas, Ben & Jerry’s, Burberry, GE, Lexus, Macy’s, Michael Kors, PayPal, and Starwood Hotels.

White says Instagrams’ users come to “be inspired,” and these brands maintain a level of quality that’s inspirational. Which is why the initial metrics for the campaigns will be heavily brand centric: recall, brand lift and awareness. “There’s a lot of value in impressions and views that may not be captured in likes or comments. Instagram will guarantee a certain number of impressions initially, which will vary by campaign. This is a premium brand advertising product. Success is brand lift over a longer period of time.”

The ads will initially appear in the feeds of U.S. users who are 18 and older with very minimal targeting by segment. No social data will be used in targeting, instead broader segments (e.g. male vs. female), “Somewhat like a magazine experience,” says White.

“We’re really focused on maintaining a high bar and will publish quality guidelines,” added Kanter, who explained that users can opt out of ads, Facebook style, on a case by case basis (but not opt out of the entire Instagram advertising experience).

While not having seen this in the wild (the ads don’t launch for another week or so), I’m impressed. We’ve mapped eight critical element for success, and Instagram is apparently conforming to each of them right out of the gate, from disclosure and transparency (that “Sponsored” link) to education (published quality guidelines for advertisers).

Next? Let’s hope we hear from the advertisers by the end of the year with a progress report, as well as lessons learned. This is new terrain not just for Instagram, but for the industry as a whole.

Comments

Instagram to debut ads next week | Da SkeeT Blog's picture

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AxiomMusicUSA's picture

I understand the need to monetize the platform and this is certainly a good way to do it. Unless and until the ads become an impediment to my acquisition of the content, I will continue to visit the site.

Businesses Happy With Initial Instagram Advertising Results 's picture

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What Do Instagram Advertisers Actually Get for Their Money? 's picture

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What Do Instagram Advertisers Actually Get for Their Money?'s picture

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Rebecca Lieb

Rebecca Lieb is a strategic advisor, consultant, research analyst, keynote speaker, author, and columnist.

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