Social networks need ad money to meet costs and/or turn a profit and it is inevitable to escape these ads. Instagram is one of the most popular social networks and after Facebook bought it in 2012, they started making plans of monetizing the platform which as of now has over 400 million active users. This has gone well where currently it has over 200,000 advertisers which is more than Twitter’s count.
The best way for a social network to ensure that the ads posted on their platform translates into actual returns for the advertisers is by tracking the user base. Google does that, Facebook and Twitter too and now Instagram has joined the club.
According to their blog post, they are now introducing dynamic ads. “Dynamic ads on Instagram let you promote the right products to the right person at the right time,” they explained on the post. The company will track your activity on websites or on apps as they described it in the post:
Today, a given shopper can browse on a website or in a mobile app, see and click on ads and eventually make a purchase entirely on mobile or a combination of devices.
Instagram says that 60% of users learn about products on their platform and 75% would actually go ahead to be convinced to take action on them. They also revealed that 50% of retail traffic in the past holiday season was made on mobile and that is where Instagram is positioning itself. So, get ready for more personalized ads on your feeds in the future.