Social Media Platforms: Instagram
Advertising on Instagram for NEO Targeting
1. Cost Structure and Flexibility
Ad Budget Options: Instagram allows advertisers to set daily budgets as low as (click here for more)
Cost Per Click (CPC) and Cost Per Thousand Impressions (CPM) rates on Instagram typically range between (click here for more)
2. Targeting Capabilities
NEO-Specific Targeting: With NEOs pre-loaded, NEO-hero members have a significant advantage. SMEs can focus their campaigns on reaching these high-value individuals by tailoring their targeting criteria, like interests, gender, age, and behaviours, linked to the NEO ‘segment’.
Lookalike Audiences: SMEs can create lookalike audiences based on existing NEO customer data, which expands reach to potential new customers with similar profiles.
3. Ad Types and Cost-Effectiveness
Stories Ads and Carousel Ads can be effective for SMEs as they generally cost less and generate high engagement. SMEs can use these formats creatively to highlight products, success stories, or promotions.
Boosted Posts: SMEs can start by boosting organic posts to extend their reach to a targeted audience at a lower cost. This offers a simple way to experiment without committing to full-scale campaigns.
4. ROI and Considerations
The key to success is understanding that a smaller budget can still be effective if:
The NEO audience is well-defined to reduce ad waste.
Creative assets are high-quality and relevant to NEOs.
Ads are tested and optimised based on performance.
5. Organic Strategies as a Supplement
SMEs can combine ads with strong organic engagement strategies to boost ROI. This includes leveraging user-generated content, collaborating with micro-influencers, and consistently posting engaging visuals and stories.