Last week, Instagram introduced a new “Ads with Promo Codes”
option for ad campaigns and has just launched it to all brands worldwide. A similar
ad format is already available on Facebook.
The way this ad offer works is that it enables advertisers
on Instagram to mention promo codes in an ad’s caption. This would potentially encourage
more people to check the product / service out instantly, rather than move past the ad and decide to come back to it later.
The listed promo codes can also be applied in the checkout
process. Moreover, based on the promo code entered, brands can track their IG
sales directly in the app.
According to Meta’s experience with in-stream codes that are linked directly with purchases, advertisers were able to achieve “a 9.1% median reduction in cost per purchase in their campaigns and a 10.1% median increase in conversions.” This shows that the integration of promo codes in ads could serve as an efficient way to attract potential customers in relatively larger numbers.
