This week, Instagram shared for the first time images of Instagram ads. Moving forward, Sponsored Photos and Sponsored Videos will begin appearing in users' feeds, from brands that they don't follow. Instagram has also announced that only a handful of brands will initially be able to advertise to users. Additionally, users will have the option of hiding ads from their feeds.
Given the format, this is potentially a less intrusive form of advertising than what Google and Facebook have recently proposed. Additionally, given the format of Instagram, this could also present a great opportunity for companies to engage their brands through stories of the products / services they offer, and the people behind them (for instance in the W Hotel ad that was provided).
http://techcrunch.com/2013/10/24/first-look-at-instagram-ads/
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