According to announcements made by Instagram’s parent company Meta, advertisements will now appear in places such as the explore page and user profile
Meta has been going through a tough phase lately. The company for the first time in its history has experienced a dip in revenue and valuations are constantly spiraling down. An immense pressure has built up for the company to increase its revenue in order to keep investors happy.
Amidst this pressure, Meta is trying to find newer ways to make money out of Instagram. To do this, the company has planned on introducing ad placements on new areas of Instagram. These new areas include the Instagram Explorer grid and the user profile page. Further details reveal that a percentage cut of the advertisements shown on user profiles will go to creators.
Instagram just a few months ago was heavily criticized by both users and celebrities. This is why the company should now be hesitant about releasing any features that upset users. More advertisements in the application might put off users but the user profile advertisements are sure to earn creators a whole lot of money.
Advertisements on the explore page are open and anyone can place their ads on the explore grid. The user profile advertisements however are still in the testing phase.
Apart from all of this, the company is also looking forward to trying augmented reality in its advertisements. The company will soon test augmented reality in both feed and story advertisements.
Augmented reality advertisements will allow users to have a more immersive experience of any product that they are being shown. For example, an augmented reality advertisement of a furniture company will help you determine how a sofa looks in a particular part of your house. Now, these advertisements will surely prove to be a game changer for the company since they will boost both e-commerce and advertisements on Instagram.
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