Saturday, August 05, 2017

Instagram Stories has emerged as a clear favorite for marketers over Snapchat

It’s been a year since Instagram launched Instagram Stories to rival Snapchat, and the consensus among marketers is now that Instagram Stories have a wider reach and better marketing opportunities. Snapchat is widely regarded as a niche platform for younger, digital saavy users, which will certainly gain importance over the next several years as Gen Z enters the workforce and better influence consumption. For now, over half of businesses on Instagram used stories last month to advertise. Instagram also boasts almost 100 million more daily users than Snapchat. Meanwhile, Snapchat’s monthly active user growth rate plummeted from 17.2% to 5% per quarter. Instagram also has the benefit of Facebook’s infrastructure to gain a competitive edge.

The main takeaway is that Instagram currently has the ability to scale quicker than Snapchat. However, both platforms are constantly innovating and it’s tough to predict how Snapchat will benefit marketers as they form new partnerships (i.e. Oracle Data Cloud partnership for ad relevance) or how their audience ad targeting will evolve over that of Instagram. Snapchat also offers cheaper real estate and more detailed targeting opportunities.

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