Stories At Close to A Third of Instagram Ad Spend

November 17, 2020

This article is included in these additional categories:

Advertising Trends | Digital | Social Media | Spending & Spenders

Merkle Stories Share Instagram Ad Spend Impressions Nov2020Stories’ share of Instagram ad spend showed a marked increase in the third quarter of this year, per the latest quarterly digital marketing report [download page] from Merkle. The study reveals that, among Merkle’s clients, 29% of total ad spend on Instagram was invested in Stories, up from 22% in the first two quarters of 2020.

It’s not just share of ad spend that has seen an increase when it comes to Instagram Stories. Stories accounted for more than one-third (35%) of the total ad impressions on Instagram in Q3. This is up from 30% in Q2 and 28% in Q1. Merkle notes that due to lower than average CPMs, Stories remains a “cost-effective tool for driving brand engagement.”

Instagram itself saw a lift in ad spend in Q3, increasing 34% year-over-year (y-o-y). And, while that’s not as high as the growth in ad spend seen in Q1, it’s a slight uptick from the 30% y-o-y growth experienced in Q2.

For the quarter, Instagram accounted for one-third of total ad spend on Facebook for brands that advertise on both platforms. It also accounted for 36% of impressions across both platforms during the quarter.

For its part, Facebook has had more of a bumpy ride so far in 2020. Facebook ad spend (excluding Instagram) among Merkle’s clients grew by 12% y-o-y in Q3, up from 4% in Q2 but less than the 19% growth in Q1. Even though Q3’s growth did not reach the Q1 high, it did come amid a July boycott brought on by Facebook’s failure to monitor hate speech that saw many top brands, including Disney and Procter & Gamble, pull their advertising from the platform for at least that month.

Impressions on Facebook, which dropped more than 10% in Q1, saw growth of 25% y-o-y in Q3. Meanwhile, CPM fell 10% in Q3, up from the 17% y-o-y drop in Q2.

The full report can be downloaded here.

Explore More Articles.

Marketing Charts Logo

Stay on the cutting edge of marketing.

Sign up for our free newsletter.

You have Successfully Subscribed!

Pin It on Pinterest

Share This