Mar 08

Instagram and advertising giant Omnicom reached $ 100 million transaction


Mobile photo and video sharing software Instagram by Facebook to spend $ 700 million after the acquisition , the outside world that , Facebook will implement Facebook revenue plan sooner or later , as soon as possible , ” pay back ” $ 700 million acquisition of funds . Recently , Instagram reached once the largest in the history of the company advertising deal , amounting to one hundred million U.S. dollars .
Instagram Facebook ads are not handed over to the parent company to sell . According to the authority of the U.S. advertising industry media, ” Advertising Age ” reported , Instagram and global advertising giant Omnicom Group (Omnicom) signed a one-year advertising agreement , Omnicom will pay one hundred million U.S. dollars .
Omnicom owns three advertising companies with global operations BBDO, DDB, TBWA. This collaboration means that Instagram users, the future will see the Omnicom agency ‘s brand image ads on your phone.
Omnicom and Facebook, have been confirmed on the outside of this advertising partnership , but not more comment.
Instagram had already announced that the world ‘s more than 150 million active users, people , 60% of users outside the United States , the daily number of mobile phone users to upload photos of 55 million . Instagram original function is cell phone camera , filters , and later learn Twitter ‘s Vine, launched a 15 -second short video sharing feature.
For this advertising deal , Instagram is responsible for market operations director Jim-Squires said that this cooperation does not change Instagram strategy on advertising that the user will see the appearance from a particular brand , high-quality image and video ads , have long-term cooperation and Instagram before these brands .
According to ” Advertising Age ” reported that user’s photo stream in which the photographs or video ads will be strictly controlled , each display a specific time ( according to a senior said, longer than a day ) .
Instagram forms of advertising , including pictures and video , and the quality of the photos and videos Instagram maintained at the same level. In other words , Instagram does not allow advertisers to a lot of pictures and video ads on Instagram a ” bombing “, but will be carefully selected for publication of advertisements through labor.
Instagram said that in the advertising business will , will remain concise, and only a handful of partner companies , long-term cooperation.
An informed source said that another one advertising group Publicis ‘s Starcom-MediaVest companies, and Instagram is also currently negotiating a long-term business partners want to be advertising .
It is worth mentioning that the Omnicom Group and Publicis, plans to merge into one entity in the coming months .
Beginning late last year , Instagram has begun small-scale test the water in the advertising field . Appeared in front of the user ‘s brands include General Electric, Lexus , Levi jeans and so on. But Instagram audience for advertisers to provide more limited choice of indicators , mainly from the parent company Facebook data , these indicators include the user’s age and gender.
Allegedly, advance into some advertisers, thousands of points won praise , while also bring a lot of fans to the brand .
Omnicom Group CEODaryl-Simm , said the company will precisely locate your audience , as well as the measurement of advertising effectiveness and Facebook to cooperate This includes hands -specific or specific advertisers, monitoring advertising effectiveness .
It should be noted that, since Instagram has been born with a clean, simple interface , said late last year announced the launch of advertising campaign , had been part of the old users opposition. As the advertising industry and expand cooperation , Instagram ads will appear more and more , whether there will be a large-scale users to flee , remains to be seen .
In addition , Instagram was once the largest acquisition in the mobile Facebook application software . But recently , Facebook spent $ 19 billion , has 450 million acquisition of the world’s mobile phone users in the chat tool WhatsApp, which means Instagram stardom Facebook mobile products in the array is no longer .