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Instagram still has a lot more room to monetize, with a keen interest from marketers. Data marketing technology company 4C saw 204% growth in advertising spend on Instagram in the second quarter.
"By implementing campaigns on both properties, advertisers can benefit from accurate targeting," said Aaron Goldman, 4C Marketing Manager. "In addition, the time spent between the two platforms is important and experienced advertisers who advertise in real time can choose the best times of the day to deliver their messages. If Facebook starts to pool WhatsApp users and Messenger even the types of ads and targeting, the potential is really uncapped. "
Facebook also talked about adding ads to the WhatsApp and Messenger experience. The chief operating officer, Sheryl Sandberg, said that more than 3 million people were using WhatsApp Business, which just launched in January, and that the service is being tested in India.
Messenger has also developed tools for businesses and encouraged users to migrate to its platform as the default messaging platform. There are still new places to place ads, such as direct user inboxes, and click-to-send ads, which can link news feeds to Messenger. The company is also making "big strides" by transforming its Stories feature – which deploys through WhatsApp, Instagram, Facebook and Messenger – into a publicity spot, says Zuckerberg.
But it's not going to be easy for Facebook. The company acknowledged that the latest earnings report only included the month following the promulgation of the GDPR, which means that its numbers could continue to decline in the future. And with California's GDPR rules coming into effect in January 2020, it is possible for many states and countries to apply similar rules.
"California regulation strikes jugular of Facebook's active users with thermonuclear impact on losses" Eric Schiffer CEO of Patriarch Organization, "Instagram has immense power to offset losses, but Facebook must unlock the treasure chest of revenue potential without overwhelming the magnetic user experience. "
Instagram is a" major tailwind "for Facebook, head of GBH Insights strategy and head of technology research Daniel Ives has However, it is more cautious that other challenges on Facebook may be difficult to compensate for.
"The combination of the Feed News review, business model changes, content issues and GDPR have created significant difficulties in the short term. neutralize, "Ives said." The looser guidelines create a blank articulation period for Facebook (and its investors) to prove that long-term history is well intact. "
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