Is the Instagram Feed Dead? Exploring the Rise of Vertical Videos

Staying abreast of trends and adjusting strategies accordingly is essential for maintaining relevance and achieving success. Within this context, Reels advertising has emerged as a potent tool surpassing Instagram feed advertising on multiple fronts. Reels ads boast greater reach, higher engagement, and the potential for a higher return on investment (ROI), making them a more effective option for brands aiming to meet their marketing goals compared to Feed ads. Let’s explore the advantages of Reels advertising in detail, with examples and strategies for creating compelling ads that resonate with audiences and drive results.

What's Happening with Instagram?

In 2023, Instagram's role in the digital domain has not only grown but evolved, marking a year where its global user base expanded by an impressive 23.5%, reaching 1.628 billion. This growth, documented by Kepios, has elevated Instagram to the fourth rank among global social media platforms, emphasizing its broad appeal and significant advertising potential. Notably, the platform experienced a 12% increase in advertising audience over the past year, surpassing Facebook's growth and signifying a shift towards Instagram for more effective campaign launches.

At the heart of Instagram's advertising success are Reels, which have emerged as a revolutionary tool for marketers, characterized by a 57% surge in usage in 2023. Socialinsider underscores Reels' unparalleled average engagement rate of 1%, the highest across all Instagram content formats. This remarkable engagement, coupled with their ability to double the reach and impressions relative to other posts, solidifies Reels as a superior method for fostering deep connections and loyalty among viewers.

The ascent of Reels is reflective of a larger shift towards video content on social platforms, driven by the vertical video trend championed by TikTok. This shift is supported by the widespread use of smartphones, advancements in app technology, and the availability of affordable high-speed data, transforming how content is consumed and opening new creative avenues for advertisers.

In comparison to TikTok's average watch rate of 9%, Instagram Reels boast a higher average watch rate of 13%, according to Socialinsider, highlighting Instagram's competitive edge in user engagement. Furthermore, Kepios reveals that users spend an average of 14 hours and 50 minutes per month on Instagram, making it a vital platform for brands to engage with their audience, foster community, and drive sales. These statistics not only reinforce Instagram's enduring relevance but also its evolving role as a cornerstone for digital marketing strategies, where Reels play a pivotal role in maximizing visibility and impact in the ever-competitive social media landscape.

Data collected from April to June 2023, based on Kepios analysis.

Still skeptical?

Our thorough analysis of data from tincre.com and b00st.com reveals that Instagram Reels present a cost-effective advertising solution, boasting a CPM (Cost Per Thousand Impressions) of $3.00, a CPC (Cost Per Click) of $0.30, and a CTR (Click-Through Rate) of over 1%. This data indicates that advertising through Reels provides an efficient and economical way for advertisers to reach and engage their target audience, achieving their marketing goals effectively.

In contrast, the Instagram Feed demonstrates a higher average CPM of $4 a CPC of $0.40, and a diminished CTR of 0.95%. This suggests that Instagram Feed has been 17% more costly in generating clicks, yielded 74% fewer impressions for every dollar spent, and experienced a 5% lower click-through rate. These findings highlight the substantial advantages of advertising through Reels over the Feed format, particularly in terms of return on investment (ROI), underscoring the need for advertisers to adapt their strategies to capitalize on the superior performance of Reels ads.

Building on these insights, we're witnessing a similar pattern among artists on b00st.com, exemplified by individuals like Domani and Hunter Daily, whose Instagram Reels ads are significantly outperforming those in the Feed, with a 2:1 advantage.

This trend further supports the notion that Reels ads are not only more cost-effective but also more impactful, underscoring their value as a strategic choice for artists and advertisers aiming to maximize their reach and engagement on the platform.

A lot of numbers, what does it mean?

This analysis underscores the critical importance of advertisers adjusting their strategies to maximize the effectiveness of their campaigns on Instagram. By leveraging Reels' lower CPM, higher impressions, and increased click-through rate compared to the Feed format contents, advertisers can optimize their spending to achieve better results and ultimately drive a higher return of investment (ROI).

In summary, the growing significance of platforms like Instagram and the emergence of vertical video formats such as Reels in the digital advertising landscape are becoming increasingly evident. Advertisers must adapt their strategies to effectively capitalize on these current trends, particularly on Instagram. Datareportal's findings indicate significant growth in the ad reach on Instagram, with over a quarter billion new users within a year. Despite the small decline in 2022, ad reach has rebounded 17.5% in 2023, highlighting the enduring relevance and opportunities offered by the platform for advertisers to connect with their audience.

…but what do we have to do with this?

tincre.com ads offer creators and advertisers an unparalleled opportunity to capitalize on the growing popularity of vertical content. Additionally, Reels advertising presents distinctive advantages, providing advertisers with a more cost-effective means to reach their target audience and fulfill all their marketing objectives.

As for our advice to clients, it's quite straightforward: when submitting a campaign via Tincre or one of our affiliated brands, including a vertical video asset is imperative. By aligning with the preferences of today's digital audience and harnessing the potential of platforms like Instagram Reels, advertisers can seamlessly connect with their target audience, driving engagement, and ultimately achieve their marketing goals. Embracing vertical video on Tincre ensures that campaigns remain relevant and compelling in a rapidly evolving digital landscape, thereby enhancing visibility and maximizing impact.