The Instagram advertising space is growing at a fast pace and there are ample opportunities for brands to get ahead of the competition. However, it isn’t easy to get started with an Instagram advertising campaign. It involves setting aside a budget, identifying the target audience, coming up with the creative concept and measuring ROI.
But where do you begin? Instagram advertising can be a great way for brands to connect with their target audience in an authentic way. There are more than 1 billion monthly active users on Instagram, most of whom are between 18-34 years old. An effective Instagram advertising campaign can help you reach this key demographic and drive brand awareness, engagement and conversions at a relatively affordable cost per impression (CPR).
Read on to find out what you need to know about Instagram ads before diving in headfirst as well as best practices for getting the most out of your advertising spend.
How Much Does an Instagram Ad Cost?
Instagram ad costs vary depending on the targeting criteria, campaign objective and the audience segment you choose to engage. The average cost per 1,000 impressions (CPM) for an image ad is $2.81 and the average cost per click (CPC) is $0.73. For a video ad, the average CPM is $7.16 and the average CPC is $1.73. CPM refers to the cost per thousand impressions of your ad, whereas CPC refers to the cost per click of your ad. The average cost per click for Instagram ads is lower than the cost per click for ads on other social media platforms like Facebook and Twitter. This is because the ad inventory on Instagram is less than on the other platforms. So there are fewer ads competing for the attention of Instagram users and a lower ad frequency.
Why You Should Spend on Instagram Ads
There are plenty of reasons why you should spend your budget on Instagram ads. The most important of all being that Instagram is a visual platform that is best suited for visual ads. Since Instagram is a visual platform, visual ads are more appealing to the audience that what normal text ads are. This lets you engage with your customers in an effective way while helping them to make an informed buying decision. You can use Instagram ads to target the right audience for your business. Therefore, you can increase your visual reach and find new customers. You can also use Instagram ads to promote your products, increase your brand awareness and drive sales. In fact, 80% of businesses that advertise on Instagram reported that the platform helped them increase sales. Therefore, investing in Instagram ads can help you get more out of your ad budget.
Which Audience to Target for Your Instagram Campaign?
The targeting options for Instagram ads are relatively limited compared to other social media ad platforms. However, you can still target specific audiences depending on their interests, demographics and behaviours. You can also target your Instagram ads based on the type of Instagram account they follow. You can target audiences based on the following parameters
- Gender and Age: You can target your ads based on the gender and age of the audience. This is helpful when you want to focus on a particular segment.
- Relationship Status: You can target your ads based on the relationship status of the audience. This is helpful when you want to focus on a particular segment.
- Interests: You can target your ads based on the interests of the audience. This is helpful when you want to focus on a particular segment.
- Demographics: You can target your ads based on the demographics of the audience. This is helpful when you want to focus on a particular segment.
- Behaviors: You can target your ads based on the behaviors of the audience. This is helpful when you want to focus on a particular segment.
- Type of account followed: You can target your ads based on the type of account followed by the audience. This is helpful when you want to focus on a particular segment.
What is a Good ROI for an Instagram Ad?
This question can’t be answered in an absolute sense as it depends on many factors. These include the ad spend, campaign goals, the type of ad, and the type of audience engaging with the ad. However, the general rule of thumb is that you should expect to spend at least $1 per engaged user. Engaged users are those who take an action after interacting with your ad. These actions could include liking your post, following your account or clicking on your link. What this means is that you should set a target for the number of engaged users you want your ad to attract. After calculating the cost of your ad, divide it by the number of engaged users you want to attract. This will give you the average cost per user. If the average cost per user is lower than $1, your ad is profitable.
How to Run an Effective Instagram Advertising Campaign?
There are a few things you should keep in mind when running an Instagram ad campaign. These include your ad creative, targeting, ad copy and the nature of your business. First, you will want to come up with an enticing ad creative that resonates with your target audience. Make sure your ad creative includes your USP, product and brand name.
Next, you need to determine the best target audience for your Instagram ad campaign. You can do this by using Instagram’s targeting options and your customer insights. To further increase your ad’s relevance make it timely. You can do this by including a holiday-themed image or by referencing an upcoming event. Come up with an ad copy that succinctly communicates your value proposition. You should also make sure your ad copy is compliant with Instagram’s ad content guidelines.
Lastly, you need to understand the nature of your business so that you can tailor your Instagram ad campaign accordingly. This will help you better target your audience and increase engagement.
Bottom line
Instagram is the most visual platform, and by far the most effective when it comes to creating brand awareness. While marketing on Instagram is no walk in the park, it is a necessary part of any social media campaign. The main difference between Instagram ads and other social media platforms is the visual aspect of the ads. Instagram ads are almost always images.
If you’ve been putting off advertising on this platform, now is the time to get started. And don’t worry if you’re new to the game, we’ve got all the information you need right here. Now go make that money! But before you do, remember that Instagram is not a one-size-fits-all platform. Each social media platform has its own best practices, and Instagram is no different. If you want to maximize your Instagram advertising efforts and ROI, you’ll want to familiarize yourself with the unique features of Instagram ads.