Summary
- Instagram has had some huge years when it comes to ad revenue generated.
- But according to a research firm, 2025 could be the app’s biggest year yet.
- Estimates state that revenue could grow to $32 billion, up to 50% of Meta’s ad revenue for 2025.
Phones are an integral part of life for most people, with the device being used for more than just communication. With that said, you don’t always need to pick up the phone or send a text in order to get an idea of what someone’s up to anymore. Over time, social media apps have made it easier to check in on people we care about or barely know, without ever having to say “hello.”
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One of the top apps that provides access to this is Instagram. The app used to just be about sharing photos, and now it has evolved into so much more, providing new ways for people to keep in touch. The app offers impressive versatility, giving users the ability to message, make and take calls, or catch up using video. It even has a social media experience like X (formerly Twitter) called Threads and short form videos like TikTok.
Knowing all of this, it’s easy to understand why Meta takes so much effort to keep this app updated with new features. Not only is it important to maintain traffic on the app, but it’s also important from a monetary perspective as well. Most people don’t pay a dime to use Instagram, yet the app manages to pull in billions of dollars each year.
And while you might be oblivious to how it accomplishes this, simply put, like many businesses that make money on the internet — it’s all about the ads. Google, along with other big brands, like Meta, depend on this money in order to generate tons of revenue each year. Instagram revenue has been steadily grown each year, and it looks like things could get more intense in 2025.
Bloomberg reports that things could balloon to as high as $32 billion for the coming year. This data comes from market research company Emarketer, with the firm sharing that this coming year could be one of Instagram’s largest, earning a sizable sum that could make up to 50% of Meta’s ad revenue for 2025. For the most part, it’s hard not to see this result.
And things can only grow bigger if Meta plays its cards right. Of course, we’ve seen this kind of story before, and it’s very easy to have an app be a fan favorite one day and be completely abandoned the next. But we don’t think this will happen any time soon with Instagram.