Instagram ads deliver clickthrough rates comparable to Facebook ads according to a recent study from Instagram and Facebook partner Nanigans.
Have you tested the Instagram ad waters yet? What are your thoughts? Discuss.
Nanigans is a good source for this data as it is both a Facebook Marketing Partner and a member of the Instagram Partner Program. It analyzed data from its clients for three months and came up with the following numbers for clickthrough rate, cost per thousand, and cost per click(via AdWeek):
Here’s what the numbers looked like for mobile app install ad performance:
“In-house marketing teams leveraging Nanigans advertising automation have been quick to adopt the company’s Instagram advertising solution, and are seeing promising early results,” says Nanigans. “While Instagram’s advertising ecosystem launched in 2014 with a focus on brand awareness, direct response advertisers are now benefiting significantly from recent innovations on one of the world’s largest mobile advertising platforms.”
“Nanigans finds that Instagram is driving click- through rates very close to those of Facebook, with ad costs that vary across industries,” it adds, saying that powering real revenue growth with direct response advertising on Instagram has just begun. “However, Nanigans has already observed advertisers testing creative and targeting strategies to achieve strong positive return on their investment,” it says.
You can get their whole report here.
Instagram itself is also sharing some stats.
“Across more than 700 campaigns that have run on Instagram between September and November, 98% have generated significant lift in ad recall – with an average ad recall of 18 points (2.8 times higher than Nielsen norms for online advertising),” a spokesperson for Instagram tells WebProNews.
“We currently offer objectives and tools to help advertisers drive brand results through Instagram’s self-serve interface,” the company says in a post on its business blog. “With the brand awareness objective, advertisers can deliver their ads to people who are more likely to remember seeing their ads. And with the video views objective, advertisers can optimize to reach people most likely to view videos on Instagram. Across both of these objectives, advertisers can predictably reach a significant number of people and control the frequency of the message through our reach and frequency buying tool. And, with our best-in-class targeting capabilities, brand advertisers can also drive greater personal relevance on the platform.”
The post looks at how Sony and BlackBerry saw success with the platform. The former used it to drive awareness and intent to see The Perfect Guy.
The company says with Instagram’s self-serve buying, “We were able to invest and see incremental people reached. Being an early adopter on Instagram was important, as The Perfect Guy was launching prior to key fall premieres. Now that Facebook has Reach & Frequency buying on Instagram, we plan to control the frequency, so that each dollar invested can reach more people on both Facebook and Instagram.”
BlackBerry used it to market the launch of its PRIV Android phone.
“The BlackBerry community is essential to our brand, and Instagram allows us the privilege to create an experience just for them,” said David Wiseman, Head of Product Marketing at BlackBerry. “We utilize the platform to showcase our products and bring value to our users lives. Instagram’s medium for expressing creativity is unrivaled, and we’ve found it to be one of the most influential channels for reaching and engaging with our target audience.”
Before Instagram opened the platform up to businesses of all sizes, Salesforce shared some early performance data finding an overall clickthrough rate of 1.50%, compared to a CTR of 0.84% in Q1 2015 on Facebook. More from those findings here.
Facebook recently said that 63% of Instagrammers say they use Instagram to document their lives (so they’re always on it) and that 74% of Millennials on Instagram take action based on posts.
Do you expect to make Instagram a significant part of your marketing mix in 2016? Is it already? Let us know in the comments.
Image via Instagram