After a month of testing the tools, Instagram has announced it is reaching out to some selected creators to invite them to partake in the IGTV Monetization.
According to Bloomberg, Instagram started inviting the selected creators last Friday. Those that agree to partake will earn 55% share of ads placed on their IGTV videos.
“Instagram started reaching out to its top video creators last Friday, asking them to partner on ad tests. Those in the program will receive a 55% share of all advertising in IGTV, the same rate as YouTube, according to people familiar with the matter. The company will start testing the ads this spring,” Bloomberg reported.
As the monetization program begins, more content creators will likely be lured into the program.
The absence of monetization on IGTV has been a bane on the growth of the longer version of Instagram. This has been discouraging content creators from throwing their weight behind it.
Instagram, however, has to face the challenge of shifting people’s attention from Snapchat and Tiktok to IGTV. While most users are used to sharing photos and stories, not so many are turning to IGTV.
Another bane of IGTV is the option to upload videos as long as one hour. While longer videos is a trend on Youtube and users are used to it, Instagram will need to woo users to watch longer videos. This perhaps is the first challenge the platform need to overcome.
Regular Instagram ads already generate about $20 billion annual revenue, which is more than a quarter of sales at Facebook Inc.
With the introduction of IGTV monetization, the company can look forward to getting more revenue from Instagram.
Creators who are yet to be contacted to participate in IGTV monetization will need to wait for the next phase.