Hot on the heels of the Pinterest announcement, Instagram announced it was incorporating ads. Though this will be for the US only for the time being, it appears they will only be testing high-quality images from selected brands.
Similar to Pinterest, it seems the emphasis will be on enjoyable and engaging creative with a focus on the quality of the ad. There are two big questions for both: though advertisers are hungry for it, will they bite? And more importantly, will the users take kindly to the ads? We would say that relevance will be the challenge here.