$META Has A Instagram Problem
After global black lash to its newest update, Instagram will temporarily abandon its controversial full-screen feed rollout and recommend fewer posts from profiles that users don’t follow. Its being critised for making its app too much like Tik-Tok. For context, Kylie Jenner (3rd) and Kim Kardashian (7th) who are both in the top 10 most followed Instagram accounts have both posted to "Make Instagram, Instagram again" (I can not believe, I just mentioned them in this)

It seems like a lose-lose for Meta, as its losing advertising revenue to Tik-Tok and trying to push Reels at the same time when users criticising the fact that they are seeing less content from their friends, and more third-party videos and posts injected into their feeds by Instagram’s algorithm.

What does $META do from here?
Conor Mac's avatar
Will likely go ahead with it later. People hate change. But the K’s are the ultimate power users, and this change is pretty substantial, it’s taking away from the reason why people use IG.

I agree, feels like a lose-lose right now.
Cameron McFarlane's avatar
@investmenttalk Meta seems like its in a real tough spot on all fronts at the moment... Ad spending, Instagram VS Tik-Tok and Metaverse spending... My concern what happens if their big bet on the Metaverse doesn't pay off?
Conor Mac's avatar
@moneyshark I am undecided as to whether or not it really matters all that much. People lay too much emphasis on the FRL division when it only collects ~$2B in revenue thus far. It's potentially a large part of their future, but its not the only version of their future.
AS's avatar
Either hold their ground and force feed videos, 3rd party content, and try to make reels dominate, or less likely, try to recapitalize on image sharing and further differentiate themselves from other social platforms.

I think they're going to ultimately take the bait of competing with TikTok. They'll successfully get everyone to both post and consume more video content even as it upsets users. A lot of metrics are inherently better for videos (how long does it take to watch a 30 second video vs read a New Yorker cartoon), but it'll degrade the quality of the platform. In the long run content volume is destined to decrease with an aging user demographic and given that the minimum quality for a video post is much higher than photo
joseph's avatar
lol crazy how kim K is this important to the platform. Do you think META should try to keep up with new platforms like tik tok? You don't want to stay stuck in the past and end up like a blockbuster or something.
Cameron McFarlane's avatar
@jdub Obviously they needed to have something similar to Tik-Tok, with Reels but forcing it on users so they can’t see content from the people they follow is too much.
joseph's avatar
@moneyshark is they did confirm they have changed the algorithm to try to push reels? That has been the correct standing for a lot of users. What do you think they should do to approach this problem?
Cameron McFarlane's avatar
@jdub yes they said it was ~15% but we’re going to try and get it to ~30%. Not sure if that is the case now they’ve rolled back the latest change
Young Money Capital's avatar
Meta stated in their earnings call that currently, ~15% of posts you see are from those you don't follow. They estimated it will be ~30% next year.
Cameron McFarlane's avatar
@youngmoneycapital I’m not sure it will be ~30% anymore when they’ve already rolled back the latest update.
ThomasFJE's avatar
I use Instagram for it being Instagram, not a worse version of TikTok. They should improve on their own strengths, not copy others imo.

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