Meta To Introduce Facebook & Instagram No-Ad Subscriptions
With the prevailing data collection and privacy issues in Europe, Meta is now implementing a No-Ad subscription starting at €9.9. This move is seen as a major development towards providing meta users maximum convenience when surfing on Facebook and Instagram. It is however notable that the introduction of the subscription comes with a direct impact on digital marketing. In essence, subscribing to the plan means that users will no longer experience any advert interruptions when viewing social media posts. Arguably, a significant population of social media users are out to enjoy fun as they interact with others. Therefore, ad popups are largely seen as an inconvenience and a limiting factor to the social media experience. Even as Meta depicts its intention to offer better Experience, it is a requirement that users must ‘buy’ their freedom by paying for subscriptions.
The Subscription’s Direct Impact On Digital Marketing
The interesting thing about this development is that digital marketing is bound to encounter a significant impact. However, the impact in this case is dependent on some factors. Notably, Meta social platforms- Facebook and Instagram- largely depend on adverts in generating revenues. The move to introduce No-Ad subscription therefore means a significant reduction in conversions from sponsored adverts. Considering that there is a potentially big audience bound to subscribe to the plan, Meta faces the risk of dwindling its revenue and income. It is however seen as strategic for Meta to charge €9.9 for each subscription since the amount raised in this case accounts for what the platforms could have generated through displayed ads on timelines.
On the other hand, advertisers face a major effect on their exposure in places where the subscriptions apply, including the European countries. With social media users opting for Ad-free subscriptions, it means that the overall exposure will be limited to a certain extent. For example, a social media user inclined to watching videos is likely to access various ads pursuant to the Meta algorithms. In the wake of the No-Ad subscription, it would mean that users who opt in will no longer get ads as they watch their favorite videos. The current policy is ‘Pay Up or Agree to Ads and Tracking’. The question is if the plan is affordable and how many social media users will subscribe. The more the subscriptions, the lesser the digital marketing impact particularly for businesspersons seeking brand and business exposure.
Who is The Biggest Beneficiary In The Wake of No-Ad Subscriptions on Facebook and Instagram? Who Losses?
Amidst what is viewed as a user-experience enhancement for Facebook and Instagram users, there are some rising concerns on who stands to win or lose the most as far as digital marketing is concerned. Notably, digital marketers rely largely on paid/sponsored adverts to reach their prospects. Now that there are people already paying a subscription to avoid ads on Facebook and Instagram, there is a high likelihood that individuals who rely on sponsored ads may generate lesser leads than before. It is also notable that a majority of brands and companies that rely on sponsored ads operate pages or profiles that do not attract organic traffic. It therefore means that a flawed sponsoring strategy may render the entire marketing campaign futile. Therefore it can be confirmed that individuals, companies, or brands with low organic traffic stand to lose in the wake of No-Ad subscriptions on Facebook and Instagram.
On the other hand, individuals and companies that operate profiles with high organic traffic are the greatest winners in this case. The focus on digital marketing may significantly shift from sponsored ads to organic-based avenues. For example, influencers and celebrities on Facebook and Instagram create a perfect opportunity for brands to advertise their products and services. Such individuals command a huge population of followers, which means using their profiles to market products makes it an open opportunity to generate leads. As Meta continues to implement Ad-free Facebook and Instagram subscriptions, digital influencers and celebrities are on the gaining end.
The Bottom Line
Meta, for the past years, has exhibited the commitment to make changes to enhance user experience. The latest implementation of No-ad Facebook and Instagram subscription is seen as partially beneficial and detrimental. The idea here is for digital marketers to keep replenishing their marketing strategies to fit in with the prevailing changes. More trends on social media usage are bound to emerge and may affect digital marketing negatively if not countered with effective contemporary strategies. However, user response to such development is the core determinant of the effects felt in digital marketing.
