We all know that new technological companies will face challenges how to monetize it´s users some day. Instagram is thinking some time about ads or in generall how to monetize users.
The ads will be shown to american users first but it is not sure when. Guys from Instagram said that they don´t want to piss of their users and for that reason they will test ads and make it happen slowly.
Instagram said that this ad or picture that you can see below will be shown to all american users in their feed
The goal of this is they want users to have hand-on approach to ads and then measure how they will react. Instagram said that the new ads will be different then organic content. New ads will have sponsored statement there.
In my opinion Instagram does well by integrating advertisements in phases. The biggest risk of Instagram by posting advertisements is that users become irritate and delete their account. Therefore is it important not to shock users with advertisements but let users slowly get used to this new development. Thereby they will get the best out of it for everyone.
It seems like a good plan from the guys from Instagram I think. The business model in earning some revenue for free apps and sites without advertisements is always a dark hole for me. So let them also gain revenue. We as users get lots of fun and other purposes out of Instagram and it’s completely free! So why would we care if there are some ads in Instagram? With the money they can maybe keep improving their platform. For the people who will get angry about these ads there maybe can come a possibility to pay a fee to Instagram and the ads will disappear? This can maybe be the perfect solution!
Hmm this looks a bit like my post two days earlier… Never mind. Very good original blog post! I like it!