Facebook may have less to fear than previously thought, following the Cambridge Analytica scandal as advertising revenues across the platform jumped 19% during the last quarter. Ad spend on both Facebook and Instagram soared 48% year-on-year, according to new data from marketing tech company 4C Insights (4C).
The company tracked six leading publishers and found that ad spend had increased 15% in Q2 and 49% year-over-year. The rise may be driven by advertisers seeing a strong return on their investment on Facebook – strong enough to keep them coming back.
Facebook stands to attract additional revenues with its augmented reality ‘Story Ads’. Meanwhile, Instagram is benefitting from shoppable items ads. The company also recently added brand stickers to Stories to boost the ad experience.
4C analysed representative samples of over $250 million in media spending from more than 1,000 individual brands through its platform to determine digital ad growth.
“The push to bring highly visual aspects from Instagram into Facebook ad placements is resonating with brands looking to draw in their audiences using visual cues,” explained Aaron Goldman, CMO at 4C Insights.
The data also revealed that rival Snapchat increased its ad spend 45% year-on-year via 4C following the launch of its Shoppable AR lenses. Snap also launched a Visual Search engine that lets users scan, find and purchase items via Amazon by using their smartphone camera.