Answer
Jul 30, 2018 - 06:25 PM
All of these ad products work in an auction environment, so they will always be valued off competition. The lower Facebook revenue per user could mean a few things:
1) That the product itself is not effective. Companies could be finding that they are not seeing a positive or substantial ROI from advertising on Instagram Stories, and are not deciding to enter the auction.
2) The more likely scenario, that the market hasn't caught up to the value of the product yet, so the impressions are much cheaper than their actual value. If not enough companies are on IG Stories, there will be less competition, and lower bids will win each auction. There may simply be a surplus of inventory, which was the case on Facebook as a whole for years before the market caught up and large companies saw the value
Instagram stories most definitely have value, especially since the ads are interruptive, yet native, so you have the user's full attention. for a few seconds. If you are worried about the value of stories ads, you can simply select IG Stories along with Facebook Newsfeed and Instagram Feed when creating your ad sets, and add a creative variation for Stories. Facebook will then show the ad on whatever platform/placement makes the most sense for auction cost vs. your objective.
If your objective is DR, expect your ads to serve in those places less often, but if you are trying to increase brand awareness or get video views, IG Stories is a great place for cheap but valuable impressions.
1) That the product itself is not effective. Companies could be finding that they are not seeing a positive or substantial ROI from advertising on Instagram Stories, and are not deciding to enter the auction.
2) The more likely scenario, that the market hasn't caught up to the value of the product yet, so the impressions are much cheaper than their actual value. If not enough companies are on IG Stories, there will be less competition, and lower bids will win each auction. There may simply be a surplus of inventory, which was the case on Facebook as a whole for years before the market caught up and large companies saw the value
Instagram stories most definitely have value, especially since the ads are interruptive, yet native, so you have the user's full attention. for a few seconds. If you are worried about the value of stories ads, you can simply select IG Stories along with Facebook Newsfeed and Instagram Feed when creating your ad sets, and add a creative variation for Stories. Facebook will then show the ad on whatever platform/placement makes the most sense for auction cost vs. your objective.
If your objective is DR, expect your ads to serve in those places less often, but if you are trying to increase brand awareness or get video views, IG Stories is a great place for cheap but valuable impressions.
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