The platform also said that more than 1.5 million businesses have converted to a business profile since it introduced Business Tools just two months ago. Business profiles provide analytics tools, the ability to promote a well performing post as an ad, and a "contact" button allowing users to connect with the company.
Amy Cole, head of brand development EMEA at Instagram, said: "Over the last year we’ve introduced a host of creative tools and ad formats, making Instagram a powerful place for brands to drive awareness and turn inspiration into action. We’re particularly proud that so many of the advertisers using our platform are smaller brands who are growing their businesses with us."
According to data from eMarketer, Instagram will net $1.86 billion in worldwide ad revenue during 2016 - three times last year's figure, $0.63bn. Next year, it is projected to double to $3.64bn.
Of the figure for 2016, 85% comes from the US, a ratio that will drop to 75% next year. Instagram will this year account for 8.4% of Facebook's total mobile ad revenue.
In June, Instagram announced that it had reached 500 million users, less than six years since its launch.