Facebook Reels Officially Launches in the US with Creator Monetization

Facebook Launches Reels to All U.S. Users

Following a period of beta testing initiated last month, Facebook is now making Reels available to all users in the United States, on both iOS and Android platforms. This feature represents Facebook’s direct response to the popularity of TikTok.

Reels Features and Capabilities

Reels empowers content creators to produce and distribute concise video content. A diverse array of editing functionalities are included, encompassing music and audio integration, augmented reality (AR) effects, and timing tools like timers and countdowns.

With this public release, creators can now originate their Reels directly within the Facebook application. Furthermore, existing Instagram Reels can be shared to Facebook, facilitating audience growth across both platforms.

Facebook’s Investment in Creator Monetization

Facebook is also disclosing further details regarding its plans to incentivize Reels creation. A new bonus program is being introduced to financially reward creators based on the viewership of their Reels.

This program is part of Facebook’s broader commitment to invest over $1 billion in creators throughout 2022. This investment also encompasses payments for specific ad campaigns, earnings from Stars (virtual tips), and other monetization avenues.

The Reels Play Bonus Program

The Reels Play bonus program, building upon Instagram’s earlier Reels Summer bonus, will compensate qualifying creators according to the performance of their Reels on both Facebook and Instagram. Payments will be issued for Reels achieving a minimum of 1,000 views within a 30-day timeframe. (Specific payment amounts have not yet been disclosed by Facebook.)

Initially, this program will be exclusive to creators located in the U.S. and operate on an invitation-only basis. Expansion to additional international markets is planned for the future.

Future Monetization Strategies

Facebook is actively developing additional methods for creators to generate revenue from their Reels. Testing of new ad formats, including Sticker Ads and Banner Ads within Reels, is planned.

Integration of Stars, Facebook’s virtual tipping system, into Reels is also being explored. This would enable fans to directly support their preferred Reels creators.

The company intends to monetize Reels as a product by implementing full-screen and immersive advertisements displayed between Reels, mirroring the ad experience on TikTok. These ads will provide a platform for users to engage with brands and small businesses. Viewers will have the option to comment, like, view, save, share, or skip these advertisements, which are already appearing on Instagram Reels.

Accessing and Creating Reels

Facebook users can create Reels through a “Create” button within the new Reels section, accessible while scrolling through the News Feed, while viewing Reels, or by selecting “Reels” at the top of the News Feed.

Reels can be viewed within the News Feed, alongside Reels shared from Instagram, and in designated Pages and Groups.

Launched globally just over a year ago, Reels initially served as a direct imitation of TikTok. The current feature set closely resembles TikTok, offering access to a vast library of audio and music, editing tools including timers, countdowns, and AR effects, and functionalities for adjusting video speed and combining clips. While Reels’ selection of editing tools, particularly AR effects, is not as extensive as TikTok’s, the platform simplifies the uploading of videos created in external editing applications. Content displaying the TikTok watermark may experience algorithmic downranking, but cross-posting to multiple services is currently not penalized.

The Competitive Landscape

Facebook has openly acknowledged TikTok as a significant competitive threat. Adam Mosseri, head of Instagram, specifically cited TikTok as a key driver behind Instagram’s evolution towards a more video-centric platform. He even cautioned users that Instagram is transitioning away from being solely a photo-sharing application.

TikTok has experienced substantial growth, becoming the most downloaded app of 2020. In July, it surpassed 3 billion global downloads, becoming the first non-Facebook app to achieve this milestone. As of this week, TikTok reports 1 billion monthly active users. In contrast, Facebook’s family of apps currently boasts 3.51 billion monthly active users.

The rollout of Reels on Facebook to U.S. users is commencing today via the Facebook mobile application.