Instagram has been testing IGTV monetization tools for quite some time now and it has recently announced that it will invite selected users to take part in the testing of in-stream ads on IGTV videos.
According to a report by Bloomberg, the ones involved in the testing will get 55% share of the revenue from IGTV ads. From what we know so far, the company will begin the testing from Spring.
Given that creators are able to receive revenue from both YouTube and Facebook, earning from IGTV is an attractive option for them. If Instagram is able to give a new way of income through IGTV, then it would be able to lure in more influencers on the platform and of course their fans.
IGTV seems to face huge competition with Stories, TikTok, Snapchat's 'Snap Originals' and more which have gained momentum. While IGTV appears to mirror Snap Originals, there's a major difference in both and that's content duration. IGTV hosts about videos up to one hour while Snap Originals last for a few minutes per episode.
So what exactly will influence users to switch to view longer-form video content on Instagram instead of opting for YouTube or Facebook? It is likely to be reach, Instagram has a billion active users with a different audience compared to other platforms. This along with monetization will offer users a chance to reach more people as well as make money out of it.
Moreover, there are some limitations on who gets to avail this feature. A verified account with 10,000 followers could likely be the requirements according to one observer. This can help maintain content quality and have other perks as well.
As for now, we aren't sure what exactly we will be offered. We will have to wait for more updates to find out.
