Instagram is responsible for a quarter of parent Facebook’s ad revenues

Instagram generated around $20 billion in ad revenues in 2019, according to estimates by sources close to the matter. That’s about a quarter of parent Facebook’s reported ad revenues.

The result trumps that by Google YouTube which recently reported $15.1 billion in advertising revenues.

Facebook acquired Instagram back in 2012 for $75 million.

Instagram has quickly grown into one of the favourite platforms for influencer marketing and advertisers because of its visual nature and strong user engagement.

It’s also a platform that’s faced fewer privacy issues compared to Facebook over the last few years.

Facebook doesn’t typically disclose ad revenues for Instagram separately.

However, research by eMarketer earlier this year estimates that user growth on Instagram will continue to slow down until 2023 to 6.7% from 10.1% in 2018.

Yet, despite competition from TikTok and Snapchat its growth remains strong as it attracts a larger share of older users.

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