• Instagram ads

How Instagram Ads Compare to YouTube and TikTok

  • Felix Rose-Collins
  • 3 min read

Intro

As brands and creators look to maximize their advertising impact and monetization, Instagram, YouTube, and TikTok stand out as the top platforms for short-form and video ad content. But how do Instagram ads stack up against YouTube and TikTok in terms of reach, performance, costs, and creator earnings? Here’s what every marketer and creator needs to know.

1. Ad Formats and Placement

Instagram:

  • Offers in-feed photo and video ads, Stories ads, Explore tab ads, and, crucially, Reels ads (short-form vertical video).

  • Ads can appear in between user-generated Reels, in Stories, or as native-looking posts in the main feed.

YouTube:

  • Ad options include skippable and non-skippable pre-roll, mid-roll, and post-roll ads for long-form videos, as well as Shorts ads (for YouTube Shorts).

  • YouTube is ideal for both long-form and short-form ad strategies, with established options for targeting and measurement.

TikTok:

  • Specializes in short-form vertical video ads (In-Feed, TopView, Branded Hashtag Challenges, Branded Effects).

  • TikTok’s ad formats blend natively with organic content, prioritizing trends, challenges, and viral creativity.

2. Audience and Reach

  • Instagram reaches over 2 billion monthly users, with high engagement in the 18–34 age group. Reels and Stories allow brands to tap into viral trends while leveraging Instagram’s reputation for aspirational, polished content.

  • YouTube boasts 2.5+ billion users globally and is the king of long-form video—essential for educational, how-to, and review content. Shorts is closing the gap with TikTok in short-form reach.

  • TikTok has 1.5+ billion users, skewing younger (teens and 20-somethings), and is recognized for fast viral growth and trend-setting content.

3. CPM (Cost Per 1,000 Impressions) and Ad Costs

  • Instagram: CPMs generally range from $3 to $8 for Stories and Reels ads, but can be higher for premium placements or peak seasons. Brand recall and engagement rates are strong, especially in visual and lifestyle niches.

  • YouTube: CPMs for long-form content average $2 to $12, depending on targeting, ad format, and niche. For Shorts, CPMs are still evolving but typically lower than traditional YouTube videos.

  • TikTok: CPMs typically fall between $1 and $4, but can rise for premium audiences or high-demand trends. TikTok’s viral potential can deliver outsized organic reach for successful ads.

4. Creator Earnings from Ads

  • Instagram: Creators can earn via Reels Play Bonus, ad revenue sharing, and sponsored content. CPMs for ad revenue typically mirror what advertisers pay, but payout eligibility and rates can vary.

  • YouTube: The most transparent platform—creators receive 55% of ad revenue. Long-form videos often yield the highest CPMs and most reliable income; Shorts payouts are growing but still lag behind Reels for many.

  • TikTok: Creator Fund and Creativity Program payouts are lower per view ($0.02–$1 per 1,000 views). Most TikTok earnings come from brand deals, not platform ads.

5. Brand ROI and Ad Performance

  • Instagram is ideal for aspirational brands, lifestyle products, and visually rich campaigns. Reels and Stories excel at engagement and brand recall.

  • YouTube delivers the best ROI for education, reviews, product demos, and long-form storytelling. Ad targeting and analytics are highly advanced.

  • TikTok offers unmatched viral potential and cultural cachet, making it perfect for mass awareness and trend-driven brands.

6. Shopping and Direct Response

  • Instagram is highly shoppable, with native shopping features in ads and organic posts. One of the best platforms for driving immediate purchases.

  • YouTube offers shopping integrations and clickable product cards, but is still catching up to Instagram for in-app shopping ease.

  • TikTok is expanding rapidly into social commerce with TikTok Shop, affiliate integrations, and live shopping events.

Conclusion

  • Instagram ads excel in visual storytelling, shopping, and influencer partnerships—ideal for brands in fashion, beauty, fitness, and lifestyle.

  • YouTube wins for deep dives, long-form engagement, and reliable creator income, especially in tech, education, and review niches.

  • TikTok dominates viral reach and youth engagement, making it the best for fast-moving trends and brand buzz.

The smartest creators and brands often use all three—adapting content and spend to each platform’s strengths. Analyze your niche, budget, and goals to decide where your next ad campaign (or brand partnership) will make the biggest impact.

Felix Rose-Collins

Felix Rose-Collins

Ranktracker's CEO/CMO & Co-founder

Felix Rose-Collins is the Co-founder and CEO/CMO of Ranktracker. With over 15 years of SEO experience, he has single-handedly scaled the Ranktracker site to over 500,000 monthly visits, with 390,000 of these stemming from organic searches each month.

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