29th May 2020

POV: Instagram Updates


Instagram has announced plans for the next stage of monetisation for IGTV and the introduction of more dynamic AR filters.

Details and Implications:

Instagram will soon start sharing revenue with creators through ads in IGTV and via badges that viewers can purchase on Instagram Live.

Ads will start appearing on IGTV from next week for a small group of creators including Adam Waheed and Lele Pons and the first advertisers include Ikea, Puma and Sephora in the US. The ads will initially appear when people click to watch IGTV videos from the previews in their feed and will be vertical videos up to 15 seconds long. The company will test various experiences within IGTV Ads, such as being able to skip ads, to ensure the best experience for people, creators and advertisers.

Instagram will share 55% of revenue from the ads with creators, the same rate that YouTube offers. To ensure that ads are only shown with brand-friendly content, creators must adhere to an Instagram monetisation policy, which differs from the usual content policies on the platform.

In addition to IGTV monetisation, Instagram is also adding the ability for live-stream viewers to donate to their favourite broadcasters during Instagram Live videos in the form of ‘badges’ - a feature available on other platforms such as Twitch. Once purchased, the badges will appear next to the viewer’s name throughout the live video as they comment, helping them to stand out and helping creators to see more easily which fans are supporting their efforts.

The badges will start to roll out in the U.S. in June with a small group of creators and businesses but there are plans to expand the badges feature to other markets including Brazil, UK, Germany, France, Italy, Turkey, Spain and Mexico.

Instagram AR filters:
Instagram is enabling creators to build effects that react to music through Spark AR, its AR-creation tool. Creators can use tunes they upload directly (as long as they have rights) or they can select from Instagram’s music library. Instagram is also allowing “media library” effects that means people can apply new AR effects to existing photos or videos from their phone’s library.

Matt Roberts, Spark AR product manager said: ‘The company wants to give creators as much opportunity as possible to be creative with their effects and then let them find an audience’. For now, there are no monetisation options for AR effects makers.


Instagram says that it saw a 70% increase in live-stream viewership from February to March, so it is clearly looking to capitalise on this growth. The monetisation of IGTV could give top creators more reason to post more content, more regularly and attract much larger audiences. The new more complex AR effects available to creators is yet another way to entice users to the platform. All of these updates will help Instagram to build its offering.

Further Reading:

The Verge | Business Insider | Mindshare POV IGTV Ads | TechCrunch | Instagram Blog | The Verge (AR)

Mindshare Global
Mindshare Global