Instagram Pips Facebook In Some Manners Consuming The Market Share
The loss of Facebook has been a gain to Instagram. Until 2 weeks back, the buzz surrounding the video and photo-sharing site was that in spite of being the smallest arm of the biggest social media network of the world, Instagram was slowly consuming into the market pie of Facebook.
Percentage contribution of Instagram to worldwide mobile ad income of Facebook almost increased 2x to 8.4% from 4.8% from 2015 to 2016. Market researcher firms expect this number to increase to 18% by the end of 2018.
The application, invented by Mike Krieger and Kevin Systrom in 2010, was obtained by Facebook just after 2 Years for $1 Billion in stock and cash. At an expected capitalization of more than $100 Billion currently, Instagram had a monthly consumer expansion rate of 167% from January 2015 to January 2018. This is the highest among all FB (Facebook) firms, comprising Messenger and WhatsApp.
The reach of Instagram in India is only almost 1/5th of that of FB. On the other hand, for some age-groups and in some sectors, Instagram can provide 2x to 5x higher consumer-engagement and an equal rate of conversion for publishers, advertisers, and small businesses.
Although Facebook is in vanguard in numbers, the relative cost-advantage relation works in favor of Instagram. “For the similar amount of followers (more than 100k) and the similar budget all over the 2 platforms, we get 10x extra inquiries on Instagram in comparison to FB,” claims cofounder of Alicia Souza’s Studio, Saurabh Sharma, to the media in an interview. Alicia Souza’s Studio trades merchandise with the eponymous illustrator’s signature artwork.
Young urban people of India, have slowly shifted to the photo-sharing website, claiming it far cooler in comparison to FB. But the recent data scandal between Facebook and Cambridge Analytica has changed the picture inclining the situation towards Instagram.