Instagram expands influencer marketing ecosystem with new Testimonials feature

The news: Instagram rolled out Testimonials, a new addition to Partnership Ads that allows creators to get paid for sponsored comments on brands’ posts and ads, including Feed posts and Reels.

• 40% of consumers use creator recommendations while shopping on Instagram, per Meta, meaning Testimonials could present a viable way to drive interest and sales in an influencer marketing ecosystem that is already booming.
• Instagram maintains the second-largest share of influencer marketing spending, per our forecast, only outperformed by YouTube.

How it works: Testimonials will let creators craft messages under 125 characters relevant to the brand’s ad campaign or specific product. Brands will negotiate directly with creators.

Creators provide written endorsements, and brands will attach the testimonial to the correct ad. Testimonials will be pinned at the top of the post’s comment section to provide greater visibility.

Yes, but: While Testimonials present a new way for brands on Instagram to attract target audiences, they aren’t guaranteed to be successful.

• Brands might end up falling back on old methods like incentivizing consumers to leave positive reviews.
• Influencers must also remain selective about which brands they endorse to avoid losing follower trust.

Influencers do hold some leverage: Instagram will allow creators to track endorsements under their Creator Settings to see how their comments are being used and pull content if warranted.

Our take: Testimonials shows Instagram’s ongoing attempt to lead influencer marketing and provide more compelling options for brands compared to competitors.

• If successful, this feature could help Instagram win over influencers who are leaving platforms like TikTok because of uncertainties over the app’s future.
• Still, brands should remain cautious and avoid over-investing in Testimonials before results show whether the method is effective.
• Taking advantage of the opportunity while maintaining investments in other influencer marketing strategies, like sponsored posts, will likely provide the best results.