Instagram Debunks the Myth That It Penalizes Sponsored Content
In a recent video, Instagram head Adam Mosseri confirmed that Instagram doesn’t downrank sponsored content—posts tagged with the Paid Partnership label. He explained that the label helps the platform identify sponsored content and enables creators to comply with local advertising regulations.
The Persistent Myth of Penalized Sponsored Content
The belief that social media platforms penalize users for posting sponsored content using native disclosure tools has been a recurring topic of debate. Many creators and brands suspect platforms downrank this content to push users toward ad products. I’ve heard this sentiment firsthand from clients I’ve worked with on influencer marketing campaigns.
In response, platforms have started addressing these concerns:
TikTok dispelled the myth that using the Branded Content Toggle affects video performance.
YouTube clarified that marking videos as Paid Promotions doesn’t impact their algorithmic ranking.
Now, Instagram has joined in to reassure creators and brands.
Why Penalizing Sponsored Content Doesn’t Make Sense
Despite reassurances, the myth persists. But a closer look reveals why penalizing sponsored content isn’t logical:
Brands Rely on Organic Performance: Brands increasingly use creator content for ads because it consistently outperforms traditional brand creative. Strong organic performance signals that the content resonates with audiences, giving brands confidence to amplify it with ad spend. Penalizing sponsored posts would reduce the pool of viable content for ads, directly impacting platforms’ ad revenue.
Creator-Led Ad Solutions Are Thriving: Platforms like Meta and TikTok have invested in tools like Partnership Ads and Spark Ads, which enable brands to amplify creators’ organic posts as paid ads. These solutions are build off organic creator content.
Sponsored Content Often Outperforms Organic Posts: Countless examples show sponsored content with disclosure tools going viral, especially on TikTok and Instagram Reels. In some cases, creators’ sponsored posts even outperform their organic content. If platforms were suppressing this type of content, such results wouldn’t be possible.
What’s Really Behind Poor Performance?
If sponsored content underperforms, the root causes are often:
The Content: Overly prescriptive campaign briefs can lead to content that feels off-brand for the creator, alienating their audience. Sometimes, the execution is simply poor.
The Audience: Feeds are increasingly saturated with sponsored posts, which can lead to fatigue and lower engagement.
Improving Sponsored Content Performance
If your sponsored content isn’t hitting the mark, consider these strategies:
Reevaluate the Campaign Brief: Does your brief encourage creators to stay true to their authentic style, or does it force them to deviate? Strike a balance between your messaging and their voice.
Analyze Creator Performance Holistically: Look beyond organic content performance when selecting creators. Review their past sponsored content for a more accurate benchmark.
Regularly Update Your Benchmarks: Keep benchmarks current by factoring in algorithm changes and shifting trends across platforms. This ensures you’re evaluating performance accurately.