Instagram Builds on Stories Success with Full-Screen Ads

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Just five months after the launch of Instagram Stories in August, over 150 million Instagrammers are using the live stories feature each day. Users can upload photos and videos to their daily stories, where content lasts for just 24 hours before disappearing. The ease and ephemerality of Instagram Stories has led to an increase in user-generated content and follower engagement, with one in five stories resulting in a direct message from a viewer. Everyday Instagram users and businesses alike are seeing the benefits of Stories: one third of the most-viewed stories come from businesses.

To help businesses capitalize on the popularity of Stories (100 million users adopted the feature within the first two months), Instagram is unveiling insights on stories and in-story ad placements for business profiles. Businesses will be able to see the reach, impressions, replies, and exits for each of their stories, and gain useful feedback on their content strategies.

On the paid side of things, brands will soon be able to run full-screen ads between users’ Instagram Stories. Skippable – and for now, unclickable – five-second photo and 15-second video ads will be available to brands in the coming months. The same Facebook-powered targeting, reach, and measurement capabilities advertisers currently enjoy on Instagram will be available, allowing brands to reach relevant audiences at the right time. Instagram will test the feature with 30+ clients worldwide, including Capital One, Nike, and Netflix.

“Building ad capabilities into Instagram Stories is a logical next step for Facebook to further monetize Instagram,” says Kyle Benedetti, Adaptly’s VP of Partnerships. “More and more people and businesses are generating content through Stories and engagement is through the roof, so ad opportunities there is a no-brainer. I’m excited to see the success an immersive ad format on Instagram will bring to our advertisers.”

In the future, Instagram will look into including links and features catered to direct response objectives like mobile app installs and website conversions. In the meantime, advertisers will be able to get their feet wet building awareness and engagement. With 70% of Instagram Stories viewed with sound on, the story feed is an ideal placement for branded video content. Airbnb and ASOS have already begun utilizing the immersive new storytelling format, and are seeing early success reaching their target audiences. We at Adaptly look forward to learning more about ads in Instagram Stories as the exciting new format becomes more widely available.