Management / Instagram leverages Facebook data for targeted advertising

Instagram leverages Facebook data for targeted advertising

Instagram is looking to make targeted advertising available for businesses through its Ads API and Facebook ad buying interfaces.

The social network’s 300 million daily users may expect to see fewer cocktails by the beach and more advertisements tailored to their interests.

The company is evolving into a more business-friendly format to help it compete with other online advertising platforms.

Using data from Facebook, adverts on Instagram will no longer be generalised assumptions based on of gender, age and location, but rather a targeted, personalised offering.

The organisation will help advertisers reach their target audiences by merging their own customer data with demographics and interests via Facebook.

Users of the platform will have a degree of control in the adverts they receive.

Improved feedback mechanisms mean that people can tailor the adverts they see depending on their relevance to what they want.

In a blog post announcing the change, Instagram said the new move will make it easier for businesses “large and small” to buy ads on the platform.

The platform’s current advertising format will evolve to support business strategies, “from awareness and message association to website visits and offline sales”.

The aim of the company is to incorporate businesses of all sizes.

More than two million companies use Facebook to market their business and advertise to their audience. Instagram stated on its blog that it wants to “leverage the best of Facebook’s infrastructure for buying, managing and measuring the success of ads on Instagram”.

Instagram, currently worth $35 billion, makes up around 16 per cent of Facebook’s $221 billion market value. The company will capitalise on Facebook’s wealth of customer data for targeted marketing by using it in conjunction with third parties.


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