Meta Expands Ads on Reels Monetization Program to More Creators & Updates Payout Model

Meta is expanding its Ads on Reels monetization program for Facebook to include more creators, including those who were part of the paused Reels Play Bonus Programs.

With Ads on Reels, creators can earn money based on the performance of their public Reels through Overlay Ads or Post-loop Ads. Currently, performance is based on the number of plays on a Reel, but Meta plans to incorporate additional signals into payouts.

This new payout model is a shift from the previous model of paying creators based on the performance of ads on their Reels. Meta recognized that the previous model resulted in creators' payouts being determined by external factors, such as how many ads have already been shown to a viewer or whether a relevant ad is available. With this change, creators will receive more consistent payouts, advertisers will have access to more ad inventory, and viewers will have a more consistent ad-viewing experience.

Meta will also soon test Ads on Reels on Instagram with a similar performance-based payout model and bring performance-based payout models to In-Stream Ads, providing creators with more opportunities to monetize their creations across Meta properties.

Meta's investment in sharing more of its ad revenue with creators aligns with other social media platforms that split revenue with creators, such as YouTube, TikTok, and Snapchat, which have implemented similar revenue-sharing models with their short-form video creators.