London, April 7, 2024 (Peniaze24) – Court documents have revealed a surprising new development in the world of online advertising: Instagram generated more ad revenue than YouTube in 2021! This shows how quickly Instagram is growing and how popular it is among young people, making it an attractive platform for advertisers.
Instagram Earned More!
According to court documents from Meta, the company that owns Instagram, the platform generated $32.4 billion in ad revenue last year. This surpassed YouTube’s $28.8 billion. For Instagram, this represents 27% of its parent company Meta’s total revenue, showing how important it is to its growth.
Why is Instagram so successful?
Young people aged 18-24, who are very attractive to advertisers, love Instagram. They spend an average of 53 minutes per day on the platform, compared to just 21 minutes on YouTube. This gives advertisers on Instagram more opportunities to show ads and influence purchasing decisions.
Instagram Keeps More Money
Unlike YouTube, which shares 55% of ad revenue with content creators, Instagram keeps almost all of it. This means that while creators on YouTube have to rely on “viral” videos and revenue sharing, influencers on Instagram rely on sponsorship deals and affiliate commissions.
The Clash of the Titans Continues
Even though Instagram has reached a milestone in advertising, YouTube is still the leader in terms of number of users and total time spent on the platform. However, this shows that the battle for user attention and advertiser wallets is just beginning. Both platforms will have to adapt to new trends to maintain their dominant position.
Is the Future of Online Advertising on Instagram?
Only time will tell. YouTube will not give up without a fight. This rivalry between the titans will undoubtedly have a major impact on online marketing strategies and the development of the entire industry.
Instagram vs. YouTube: Key Statistics
Users:
- Instagram: 2 billion monthly active users (as of December 2023)
- YouTube: 2.6 billion monthly active users (as of December 2023)
Time Spent on Platform:
- Instagram: Average user spends 53 minutes per day on the platform (2023 data) – https://www.youtube.com/watch?v=lOeQUwdAjE0
- YouTube: Average user spends 21 minutes per day on the platform (2023 data) – https://www.youtube.com/watch?v=lOeQUwdAjE0
Ad Revenue (2021):
- Instagram: $32.4 billion (according to Meta’s court documents)
- YouTube: $28.8 billion (data from Google)
Ad Revenue Sharing:
- YouTube: Shares 55% of ad revenue with content creators.
- Instagram: Keeps almost all ad revenue, influencers rely on sponsorships and affiliate marketing.
Disclaimer: These statistics come from various sources and may not be completely up-to-date. For the most current information, it is best to visit the official websites of Meta and Google.
