Don’t Miss Out On 12 Benefits Of Advertising On Instagram In 2025

If you are not advertising on Instagram, you are losing a ton of potential clients to 200 million competitors who use it for their businesses. Here are the benefits of advertising on Instagram and how to make it work for your business in 2025. Don’t miss out! 

What Is Instagram Advertising? 

Instagram advertising is promoting businesses or their products/services by paying for sponsored content (ads and boosted posts) on the Instagram platform. 

Instagram advertising content can appear in users’ feeds, stories, Explore pages, and reels. 

Instagram ads look almost like organic posts but with a Sponsored label and a CTA linked to a landing page or direct messages.

So, are Instagram ads effective?

I would say yes! Data from Instagram showed that 50% of people said to be more interested in a brand after viewing an ad on Instagram. Let’s take the Bombas sock brand as a real-life example: Using Instagram ads, the company doubled its conversion rate and achieved a 45% increase in ROAS (Return on Ad Spend).

Benefits Of Advertising On Instagram In 2025

So, what are the real benefits of advertising on Instagram? Let’s explore! 

Massive reach

With over 2 billion monthly active users worldwide, Instagram is a powerful channel to promote your products and services. 

India, the US, and Brazil are the leading countries for the highest number of Instagram users as of January 2024.

If you are growing your business in these markets, don’t miss out on Instagram!

Connect with GenZ

Instagram is a powerful house to connect with GenZ, a valuable generation for brands to target. Their current spending power is already significant and subject to grow very quickly soon. With 65% of GenZ using Instagram, it’s indispensable for businesses targeting the younger demographic. 

Precise targeting

Of all the benefits of advertising on Instagram, precise targeting is the thing you should not miss.

With detailed targeting options such as demographic, interest-based, behavioral targeting, and custom audience targeting features offered in Meta Ads Manager, Instagram advertisers can reach the right people who are most likely to convert. 

Also, Instagram uses advanced machine learning algorithms to predict who will find a specific ad interesting and relevant. So even when you just go for broad targeting and let Instagram do the rest, you can still reach the appropriate audience for your content. 

Visual appealing

As the world’s largest photo and video-sharing social media platform, Instagram is effectively designed to grab attention for visual content.

People generally prefer visual to text content, and short-form videos are now the king of marketing.

So if you are trying to connect with your audience through compelling images and videos, Instagram advertising is a must-have. 

High engagement

Engagement such as likes, comments, shares, and saved posts can enhance the organic reach, increase brand presence, drive word-of-mouth marketing, and reduce advertising costs. 

Instagram ranks as one of the social media platforms with the highest engagement rate, so it’s a treasure trove for businesses. Make sure to craft relevant ads that align with your target audiences to leverage this high level of engagement. 

Brand building

According to a Facebook survey, 200 million Instagram users actively check out at least one brand each day, and 81% of them use Instagram to look for products and services. How impressive!

So don’t miss out on the opportunities to build your business presence, increase brand awareness, and cultivate loyal customers on Instagram.

Combine free organic posts with paid ads to attract new followers and make a lasting impression through engaging videos and captivating stories so that more people will remember, trust, and choose your brand over competitors.

Cost-effectiveness

One of the biggest benefits of Instagram ads for business is their cost-effectiveness. 

Instagram advertising CPC typically falls between $0.20-$2.00 on average, so it can incredibly outperform other social platforms if businesses craft truly effective ad creatives that resonate with their audiences.

Drive traffic & conversions

Instagram ads offer direct links to websites and landing pages with customizable and clickable CTA buttons. 

Interestingly, when users hover over an Instagram ad for several seconds, it will automatically highlight the CTA button in blue, encouraging more clicks, driving website traffic, and boosting conversions.

Measurable results

Instagram ads provide detailed analytics through Ads Manager, allowing businesses to track key metrics of each campaign and overall advertising performance effectively without the need for a third-party tool.

With these insights, businesses can make informed decisions to optimize or pause poor-performing ads to save budgets, and scale winning campaigns for maximum ROI.

User-friendliness

Instagram advertising is user-friendly in many ways. 

If you have run ads on Facebook, then it’s easy to start Instagram ads because they are both created from the Meta Ads Manager dashboard. 

Moreover, you can easily boost existing posts on Instagram directly through the app with simple actions. 

To run ads on Instagram, simply switch your Instagram personal profile to a business account.

Diverse ad formats

Today, Instagram advertising is no longer just static images. There are various formats to choose from, including image ads, video ads, carousel ads, collection ads, stories ads, reel ads, and explore ads. 

Each format caters to various business requirements, advertising content, and target audiences, allowing you to engage with customers in various ways, keeping your ads fresh and interesting.

Mobile-friendliness

Mobile users are taking the majority of Internet traffic, and Instagram is primarily designed and optimized for mobile devices. So it’s a big mistake if you don’t leverage its interface to engage with mobile users. 

Make sure to design mobile-optimized image and video ads when advertising on Instagram to make the most of this benefit.

Disadvantages Of Instagram Advertising In 2025

Yes, Instagram offers many benefits for advertisers, but here are some drawbacks businesses should consider before jumping into Instagram advertising in 2025.

Restrictions on links

Instagram has restrictions on links. While it still offers direct links through CTAs, you can not include clickable links in captions, comment sections, and organic posts.

Demographic limitations

Instagram ads are ideal for targeting younger people aged 18-34, but they might not work effectively for older audiences. So identify your right prospects to decide if Instagram ads fit your business. If not, you can opt for Facebook ads instead. 

>>> You may also want to read: How To Remove An Instagram Account From Ads Manager In 2025 (Quick And Simple)

Not ideal for text-heavy content

If your ads are more focused on written content, Instagram won’t be the best choice. It’s a visual-focused platform, so make sure your ad creatives are not heavy in text. You can make a short video to captivate more eyeballs and direct them to a landing page for long content.

With these disadvantages and benefits of advertising on Instagram, who should run Instagram ads in 2025? Keep scrolling for our expert’s perspective.

So, Which Businesses Should Advertise on Instagram In 2025?

From my experience, Instagram ads are especially helpful for those who:

• Target a younger demographic: Instagram’s young user makes it powerful for businesses focusing on Millennials and Gen Z.
• Rely on visual content: Businesses offering visually appealing products or services (like fashion, food, tech gadgets, beauty and cosmetics, tourism and outdoor activities, etc.) can leverage Instagram ads to showcase their offerings.
• Operate in e-commerce: Instagram Shopping is a great feature to drive online traffic and sales. 

Expert Tips To Make Instagram Ads Work For Your Business In 2025

Utilize all the benefits of advertising on Instagram by applying our expert tips for 2025 campaigns.

Define your objective 

It’s crucial to define your business objective before starting an Instagram advertising campaign, whether it’s awareness, website traffic, leads, or sales.

Know your audience

Research the target market and learn from your business customers’ data to understand your audience and create a detailed customer profile.

Combine detailed targeting and Advantage+ audience 

While traditional detailed targeting options can be effective, try to combine Advantage+ audiences to take your campaign to a new level. You can conduct A/B tests to find the most suitable targeting options for your ads. 

Create high-quality images/videos

Invest in stunning and high-quality images/videos for your ads to capture people on Instagram effectively. Consider hiring a professional photographer or editor for better creatives. Remember to optimize your images and videos for mobile views.

Craft concise and compelling ad copy

Only 1-2 lines of ad copy will be shown to audiences until they click on see more. Thus, grab attention instantly with important keywords and compelling information put ahead. Keep your ad copy as concise as possible.

Experiment with different formats

Use A/B tests with different ad formats to find your audience’s favorite and create ads that they love to see.

Track performance and optimize campaigns

Regularly monitor your Instagram ad performance and analyze key metrics such as CPC, CPM, CTR, CPLPV, CPA, ROAS, etc. 

Based on the data, you can optimize or pause inefficient ads and scale up effective ads.

Protip: Get a Facebook agency ad account for rent to optimize CPA when advertising on Meta’s advertising platforms like Instagram and Facebook. 

Conclusion

In this article, we’ve discussed 12 benefits of advertising on Instagram that should not be overlooked. From massive reach to cost-effectiveness, Instagram can help businesses reach their marketing goals. However, it’s also crucial to consider your business types, products/services, and possible disadvantages before starting Instagram ads. 

By following expert tips from GDT Agency, you can harness the full potential of Instagram advertising to maximize ROAS and grow your business effectively in 2025. And don’t hesitate to contact us if you have more queries on Instagram and Facebook ads. Happy advertising!

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