About the platform
Instagram is a social media platform that focuses on visual storytelling including videography and photography. Founded in 2010, Instagram has become a powerhouse for visual creators boasting over a billion active users. Instagram first added its ad platform in November of 2013 after Facebook purchased the company in early 2012 for a whopping 1 billion dollars. Since Instagram is owned by Facebook, creating Instagram ads will be extremely common to Facebook’s system. So common that it’s the same dashboard as Facebook allows advertisers the ability to hit two birds with one stone. The Instagram ad platform is perfect for B2C business owners who want to grow brand recognition and eCommerce brands that want to sell their products.
Instagram’s recommended minimum ad budget
At least $500 a month:
Our team recommends that companies have a minimum ad budget of a few dollars a day. Our ad experts recommend allotting a minimum of $500 a month for your Instagram ads to get started, but many businesses scale that to between $2,500 to $5,000 to truly start seeing results (this does vary by industry). To get the most bang out of your buck our team does recommend working with a team of professionals if you are not knowledgeable in ad campaigns as they can save you thousands (and make you even more than that) in the long term. With proper ad planning our team has grown clients from $500 in ad spend a month to over $25,000 a month growing their online business substantially over the course of a year.
Ease of Use
Relatively easy – Again Instagram ads are extremely similar to Facebook’s ad platform. Like Facebook, a business owner can create an ad without much training. Facebook also has great tutorials and YouTube is a savior for many businesses allowing you to be able to create something and get it out to the people of Facebook. Again, for best results, we do recommend working with an expert as they can save you thousands.
What does it cost to work with an expert?
So, we keep bringing up how you should start working with an expert and you may be asking yourself “well I don’t have the budget to work with someone who’s going to charge me an arm and a leg”. Luckily many agencies offer extremely workable pricing for their ad management. Marketing agencies usually offer two pricing models for businesses. The first is a flat monthly fee, and the second is a percentage of the budget. The flat monthly fee varies by marketing agency, but this entails charging a flat price for everything no matter how much a company spends. This is great for companies that see high growth since the cost to manage stays the same.
On the other spectrum is when a marketing agency charges a percentage of the budget. This system is what Finden uses. We use this system because we believe that it’s the best way to promote the best product possible. The only way we grow is if your company grows. This system ranges between 5-25% depending on industry and budget and takes from only the amount you are spending on ads. So for example, if you spend $2,000 a month on ads our management fee would be 20% and we would take $400 leaving our team of experts with $1,600 to spend.
The type of business we recommend using this ad platform
Products / B2C / eCommerce – Instagram is a visual-heavy platform that is perfect for anyone trying to sell a product (especially eCommerce). With new integrations, Instagram has become even more friendly to sellers and allows them to sell straight from the app rather than having customers make the journey to their website.
Pro’s
- Instagram ads can drive traffic to your website
- Ability to pinpoint your audience
- Visual products shine in this ad platform
- It’s relatively easy to get started
- Low startup costs to get started
- Consumers are actively buying on Instagram
- Young consumers are buying most things online
Con’s
- Instagram links to websites are less effective than other platforms
- Many of their users are younger (18-35)
- You must sell yourself visually
- You have to create a decent following on the platform before seeing real results
- A lot of businesses use this ad space
Conclusion:
Instagram is a great place to showcase products and should be a top option for said businesses. With budgets as low as a few dollars a day it really allows any business big to small the ability to get their name out there. With an expert’s help, many businesses have continued to double their business through effective advertising. Want to learn more about other ad platforms that you could use? Make sure to click here to read one of our past blogs to learn all about the pros and cons of every major ad platform.
Want to learn more about how you can stand out using ads? Finden Marketing is Duluth, Minnesota’s leading Gen Z & Millennial marketing agency. With years of experience, hundreds of thousands of dollars managed, and a dedicated team we can help grow your business to its true potential. Our team offers a wide range of services, including PR, Branding, Content Creation, Paid Media, Graphic Design, and Web Development. With over 50 projects in the bag, Finden Marketing is becoming a staple marketing agency in Duluth, Minnesota. With awards including the Duluth News Tribune Best of the Best, Upcity’s top digital marketing agencies, Goodfirms top 10 ad agencies in Minnesota, and Designrush’s top SEO agency in Minnesota.
To learn more about Finden Marketing, check us out here, or visit us at our office in Duluth, Minnesota.
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