22% Snapping Squares on Instagram
"Instagram has hit 400 million monthly active users, making it far larger than rival Twitter, as the social networking site looks to boost advertising revenues from the service. It took nine months for the photo-sharing app to rack up its latest 100 million users," according to Arjun Kharpal. The past 100 million include celebrities, such as soccer star David Beckham and former athlete Caitlyn Jenner, Instagram said in a blog post.
"Among the last 100 million to join, more than half live in Europe and Asia with Brazil, Japan and Indonesia adding the most Instagrammers. The app said 75% of its users live outside of the U.S.," NBC News reported in "Facebook's Instagram Hits 400m Users, Beats Twitter."
"The latest numbers will be a big boost for Facebook as it looks to monetize Instagram. It has recently introduced a number of features such as sponsored posts and is planning to introduce targeted ads too," Arjun Kharpal wrote.
Advertising revenue generated by Instagram will hit $600 million this year, and jump over 146% to reach $1.48 billion in 2016, eMarketer estimates. Instagram ad revenue will account for 14% of Facebook's total mobile ad revenue in 2017, eMarketer predicts, highlighting how key the standalone app will become for the social networking site.
"Instagram reaches a different audience so that has an appeal to advertisers and they are selling it as a separate product as a branding tool," Ian Maude, head of digital media at Enders Analysis, told CNBC by phone. "The feedback I've had from media buyers on Instagram has been pretty good. I think we are going to see revenues on Instagram rise very quickly."
According to AudienceSCAN, 21.8% of U.S. adults have participated in (viewed, commented, posted to)åÊInstagram in the past 30 days. 44% of Instagrammers are renters, so try prospecting advertisers that cater to apartment dwellers. 14.5% drive Toyotas, and 42.4% took action after seeing commercials on television (over-the-air, online, mobile or tablet) in the past month. Hit those social networkers with a double whammy by selling TV or cable spots along with Instagram ads because they are 92% more likely than average consumers to take action after seeing ads on a social network!
AudienceSCAN data is available as part of a subscription to AdMall for Agencies. Media companies can access AudienceSCAN data through the Audience Intelligence Reports inåÊAdMall.