Influencer marketing spending soars: Instagram to surpass $2B in 2024

In the ever-evolving landscape of digital advertising, influencer marketing is emerging as a powerhouse. Insider Intelligence’s latest forecast reveals that in 2024, influencer marketing spending in the United States is set to reach remarkable heights, with Instagram leading the charge at over $2 billion. Notably, TikTok, YouTube, and Facebook are also set to cross the billion-dollar mark in influencer marketing spending.

Instagram Takes the Lead

Instagram, the photo-sharing giant, is expected to outshine other platforms by almost doubling the influencer marketing investment compared to TikTok. This staggering figure underscores Instagram’s enduring popularity among advertisers and its status as a go-to platform for influencer collaborations. Moreover, Instagram remains the top choice for content creators due to its wide reach and diverse user base, offering them an ideal stage to engage with their audiences.

Diversification of Ad Budgets

While Instagram remains the frontrunner, advertisers are diversifying their budgets across various social media platforms. The meteoric rise of influencer marketing spending is outpacing traditional paid social advertising, signifying a significant shift in the industry. Despite users scaling back on their own content creation, they continue to be avid consumers of creator-generated content.

Creators Fueling Social Ad Investments

Creators are poised to play a pivotal role in driving social ad investments. An astounding 90% of influencer marketing campaigns now include paid media. Furthermore, approximately 65% of US marketers have allocated at least half of their influencer marketing budgets to paid media in the current year.

In a landscape where digital advertising constantly evolves, influencer marketing stands as a dynamic force, reshaping how brands connect with their audiences. As we move into 2024, the symbiotic relationship between creators and advertisers is expected to flourish, further reshaping the digital marketing landscape.

Earlier this year, a survey with 150 brand marketing giants indicated that 64% of them were expecting a rise in their influencer marketing budgets in 2023.