If you're thinking about launching your own Instagram account, you might be wondering: how much it's worth? In fact, Instagram is a hot topic in digital marketing.
Instagram was introduced in 2010 as a visual social media platform. The site's two founders, Kevin Systrom and Mike Krieger, became friends while studying at Stanford University, and raised $500,000 in seed funding to launch their product. Their first test post was a picture of the South Beach Harbor Pier 38. Later, Systrom posted a picture of his girlfriend's foot. The site has since been used for more than 500 million photos and videos.
Instagram revenue Q1 – 2023 Q1
Instagram revenue 2015 – 2021
If you haven't heard of Instagram, then you may be missing out on a lot of money. The visual social media platform has grown so much in popularity that its estimated value in 2023 could top $100 billion. Instagram is owned by Facebook, and has been since 2012. It has been a major contributor to Facebook's ad revenue – over five-quarters of which comes from Instagram. It is a powerful marketing tool that has become a part of the daily lives of users.
For marketers, Instagram's growth is driven by its growing tools. Already offering seven days of analytics, the platform has been adding new features that will help brands and marketers maximize their Instagram presence. Instagram will also start focusing on interpreting user data, including hashtag tracking, best performing posts, and competitor analysis. In addition to analyzing post performance, Instagram will also add features to help marketers discover potential brand ambassadors and target audiences.
In the fourth quarter of 2021, Instagram jumped four spots, topping TikTok. Instagram's user base is also growing rapidly. Almost half of its users worldwide are under the age of 34.
The biggest demographic, 18-34-year-olds, make up nearly 60% of the platform's overall user base. Despite the recent rise in popularity, teens still love Instagram, which is a big reason for its value.
Instagram is now a $102 billion (Net worth) enterprise, representing more than a sixth of Facebook's current market cap. It has grown from a simple photo-sharing app to a feature-rich social network that's also an advertising platform.
The social media site is currently used for daily stories, application of custom filters, and creating creative videos. It is a powerful marketing tool that allows businesses to reach a large audience with the click of a button. Instagram is used by a majority of women, as the average female user receives more likes on their posts than her male counterparts. Women also tend to get more comments, shares, and reposts than male users. As a result, Instagram is an ideal platform for clothing brands and retailers.
In the past 5 years, Instagram has added many features, including video posts, direct messages, and stories. Despite the differences between these features, they complement each other. In fact, a single story can span multiple platforms. For example, a user can start a poll, release an article containing the results, and then move onto a video on IGTV. This type of cross-platform content is growing in popularity, with over 500 million daily users.
Influencer marketing on Instagram
The influencer marketing industry is set to reach $15 billion in value by 2023. If you are interested in taking part in this trend, you need to be prepared to spend a lot of money. According to one survey, the value of influencer marketing on Instagram will be worth $150 million by 2023. The number of brands that use influencers is growing at an impressive pace, and this growth will only continue to increase.
Instagram has an extremely high user base – 1.2 billion as of January 2021 – and is popular with millennials. Instagram recently introduced new shopping features to help small businesses grow. Users can now buy products directly from the Instagram pages that feature them. Influencer marketing on Instagram will be just as valuable in 2023 as it is today. Make sure that you work with a reputable brand when using influencer marketing.
According to the study, marketers are willing to pay influencers to advertise their brands. However, this is not always the case – only 34.4% of brands use influencers to promote their products. However, this low number means that many firms work with micro and nano-influencers, and those influencers are more likely to be paid in cash or in kind. Large firms with extensive marketing budgets are likely to pay their influencers with money rather than in kind.
Instagram is a social media platform with over 500 million active users, and it has been rapidly growing in recent years. But its potential remains largely untapped. A recent change in its feed algorithm has led to more users sharing new content via Stories. More videos have been appearing on IGTV and one-minute teasers are increasingly showing up in feeds. Stories have also been appearing in the Explore grid. The app is currently testing ways to make content accessible and personalized.
The rise of video on IGTV has been a major development in recent years. The platform has become a go-to destination for video content, and IGTV is a new addition. It follows the same recipe as Stories, but asks users to post true-to-reality footage. This format also matches well with mobile screens. In addition, Instagram has been cultivating a strong community of influencers.
Instagram's COO has shared the company's plans for monetizing IGTV. The social media platform will share with content creators a 55% cut of video ad revenue. Interestingly, YouTube keeps a similar cut for video ads. While Instagram's monetization process is still in the testing phase, it should eventually be made more widespread. If the company plans to continue monetizing IGTV, it should increase its value and draw new content creators.
IGTV has a similar algorithm to Instagram feed, ensuring that the content is shown to users who interact with the account the most. In short, you should aim to post your Reels and IGTV preview in your feed first to increase your visibility and reach. Then, you can use the IGTV preview to create a series of stories and link to your evergreen IGTV videos.
As Instagram's user base continues to grow, monetization on the platform will become more important. By 2023, the number of monthly active Instagram users is projected to hit 989 million, with 90 percent of the users following businesses. As a result, Instagram wants to attract influencers from other platforms. To do this, it has introduced IGTV ads. By inserting ads into videos, content creators and influencers will be able to earn from their videos. In order to create an effective partnership, brands and influencers will need to find a mutually beneficial relationship and overcome the fear of low viewership.
Instagram's audience growth
In 2023, Instagram will focus on increasing its growing tools for businesses. It is already offering 7-day analytics, but in the coming year, it will add new tools for hashtag tracking and best-performing posts. The platform will also include brand ambassador discovery and competitor tracking. This is a great opportunity for any business looking to reach a new audience, but it's also important to keep an eye on changes to the platform.
While Instagram used to be considered a photo-sharing app for millennials, it has grown in size. Last year, its audience of 55-64-year-old men grew 63.6%. While it's a younger generation than many of its competitors, its users are more engaged with the platform. Its audience size is second only to Facebook, which has the largest audience and the most sophisticated targeting options for marketers.
According to a recent Morning Consult poll, 31% of US adults have “highly favorable” opinions of the app. That's about the same as the audience of Facebook, Google, and YouTube combined. Among the top mobile internet users, 24% access Instagram at least once a month. The average Instagram user spends 29 minutes daily. According to the study, Americans between 18 and 24 spend 5.5 hours per week on the platform, while children aged four to 15 spend nearly 40 minutes daily.