If you’ve logged into Instagram lately I’m sure you’ve noticed a slew of new ads in your feed from a variety of different advertisers.
Instagram expanded their advertising program and launched direct response ads this summer, to the delight of advertisers everywhere.
After testing direct response ads in July, they officially released direct response ad buying through select API partners in early August.
Background on Instagram’s New Direct Response Advertisements
Prior to the launch of Instagram’s direct response ads, marketers and advertisers were challenged with finding new ways to make Instagram shoppable.
Since you couldn’t add clickable links to a post, the challenge was to find a low friction path for conversions. Enter the clunky solution of updating the link in your profile bio. Marketers would regularly update the link to feature their latest promotion and Instagram users became used to seeing the phrase ‘link in bio’ added to the end of brand posts.
Instagram’s new direct response ads are designed to solve this major headache for advertisers. Now advertisers have a direct way to send consumers from the Instagram feed to a landing page. The new direct response Instagram ads feature call-to-action buttons (like ‘Shop Now’ and ‘Learn More’), which are clickable and send users to a landing page.
How Much Does It Cost to Advertise on Instagram
Direct response ads have only been in rotation on Instagram for a about a month so it’s too early to say how much it costs to advertise on Instagram.
Social.com, an Instagram ads api launch partner, did share some early benchmark metrics their clients are seeing.
Although the data is limited, it’s interesting to see metrics are fairly reasonable. Social.com reports an average CPC of $0.42, average CTR of 1.50%, and an average CPM of $6.29.
10 Examples of Instagram Direct Response Advertisements
Instagram direct response ads can take on two formats.
One version is a carousel that features up to 4 images in an ad unit. A set of dots below the image is the only indication that there are more images to the ad. Once a user swipes to the next image, a call-to-action button will appear on the bottom right. If the user clicks here the user will be taken to the landing page you specified.
The second format is a single image with a call to action button featured on the bottom right.
Instagram offers a unique platform to engage younger audiences, flex creative storytelling abilities, and drive brand affinity with clever ad executions. Here’s a look at 10 brands who’ve run Instagram direct response ads.
1. Banana Republic
Take a focus on a specific product (Banana Republic’s new denim), clever use of emoji and hashtags mixed in the copy, and high gloss photos of their denim in action, and you get a great example of an ad designed for Instagram.
To die for hair, photos of the product, excellent use of direct response ad copy (Dull hair? Change it.), and a soft call to action (Learn More).
Slurpee gets incredibly creative with their use of the carousel ad. They take one long photo, slice it up and draw the user’s attention to the fact that there’s more to see. Great way to encourage swiping through the ad.
Another creative example of the carousel ad in action. T-Mobile uses a similar concept looking to encourage users to swipe.
5. Trunk Club
Not sure what to wear to your next big event? Trunk Club’s got you covered. Nice mental prompts to get you thinking about an event you’ve got coming up and a soft call to action to learn more about their subscription service.
Great visual and excellent copy. The copy is short, to the point, and encourages action with the mention of their sale plus free shipping.
7. Red Dress Boutique
Must-have fashion stylishly displayed with clever, cute copy.
Today’s must have jewelry propped up against a Rockbox, with copy encouraging sign ups for their monthly subscription service.
Drool worthy photo that’s sure to attract the health conscious eater. Copy is short, to the point, and great use of hashtags.
10. Kate Spade NY
Excellent photo that will draw in fashionistas. Copy promotes the arrival of Kate Spade’s new fall line and includes brand specific hashtags.