YouTube Dominates Asia's Living Rooms While Instagram's TV App Remains Unproven
Instagram is testing Reels on TV again, but with YouTube winning CTV in Asia, CMOs must decide whether this is innovation or IGTV redux.
When Instagram launched IGTV in 2018, Meta promised it would transform how audiences consume video on their phones. Three years later, the feature quietly disappeared after failing to gain traction. Now Meta is testing another TV push, this time bringing Reels to Amazon Fire TV devices.
The question for Asia's marketers in 2026: Is this attempt different, or are you about to repeat IGTV's expensive mistake?
The stakes are high. YouTube already commands 12.9% of global TV watch time, with no other platform surpassing 8.3%. In Southeast Asia, 79 million viewers watch YouTube on connected TV screens. Meanwhile, Instagram's new TV app remains in limited Fire TV testing with no Asian performance data available.
Three recent Asian case studies reveal why YouTube's living room dominance matters for your 2026 budget.
Leighton Cosseboom
McDonald's Philippines Drives 46% Sales Growth on YouTube CTV
McDonald's Philippines needed to reach families during evening meal planning. The brand ran targeted campaigns on YouTube's connected TV platform, reaching viewers on their living room screens when they were deciding what to eat for dinner.
The results: 46% daily sales growth during the campaign period. The success came from YouTube's ability to deliver ads on the largest screen in the home, where multiple family members could see the message simultaneously. This co-viewing dynamic, where several people watch one screen together, amplifies brand impact in ways mobile advertising cannot match.
Instagram's TV app offers no comparable case studies in Asia. The platform's vertical Reels format, designed for phone screens, occupies only a fraction of horizontal TV displays. While Reels dominate mobile video time in markets like India (95% daily penetration), translating that success to living rooms remains unproven.
Leighton Cosseboom
Pepsi Vietnam Reaches Young Adults Through CTV
Pepsi Vietnam faced a challenge reaching 18 to 44-year-olds who had shifted viewing time from traditional TV to streaming platforms. The brand allocated budget to YouTube's connected TV advertising, targeting this demographic on their preferred screens.
The campaign delivered 27% higher reach among the target age group compared to previous efforts. YouTube's CTV platform allowed Pepsi to maintain the premium, full-screen ad experience of traditional television while adding digital targeting precision.
This performance gap matters because Nielsen data shows YouTube delivers 2.3 times higher long-term ROI than paid social media in Southeast Asia. For performance-focused brands, Instagram TV represents a risky bet without regional proof points.
Leighton Cosseboom
Jagat Review Monetizes Half Its Revenue Through YouTube Shopping
Indonesian tech review channel Jagat Review demonstrates YouTube's infrastructure advantage for creators and brands alike. In Q3 2024, the channel generated 50% of its revenue through YouTube Shopping features, which let viewers purchase products directly while watching reviews.
This integration between content and commerce, now expanded to Indonesia, Thailand, and Vietnam through YouTube's Shopee partnership, creates a complete path from awareness to purchase. Vietnamese creators saw 35% year-over-year revenue growth in 2024, with channels like Mai Trinh Hồ growing earnings five times over.
Instagram lacks a comparable monetization infrastructure for TV viewing. The platform's commerce features remain optimized for mobile, not living room screens where purchase behavior differs significantly.
Leighton Cosseboom
The Format Problem Instagram Cannot Ignore
YouTube Shorts, the platform's vertical video answer to TikTok and Reels, drives 30% of Asia-Pacific views. But YouTube smartly positions Shorts as complementary to its horizontal, long-form content that dominates TV screens. Users seamlessly move between formats on the same platform.
Instagram Reels exist in a vertical-only ecosystem. When displayed on horizontal TV screens, vertical videos occupy roughly 40% of available screen space, with black bars filling the rest. This creates an awkward viewing experience that undermines the premium feel brands want in living rooms.
The Asia-Pacific video streaming market, valued at US$33.32 billion in 2024, is growing at 22.6% annually. But growth alone does not guarantee Instagram can overcome fundamental format limitations and the pre-existing moats of competitors.
Leighton Cosseboom
A Framework for 2026 CTV Budgets
Asia's marketing executives should approach Instagram TV with measured skepticism, not early enthusiasm. YouTube's 290 million users across Southeast Asia, combined with proven ROI metrics, make it the safe anchor for connected TV spending.
Here's a practical allocation framework: maintain 90 to 95% of your CTV budget on YouTube, where performance data exists, and the format works. Ring-fence 5 to 10% for Instagram TV testing, but only in markets where Fire TV has meaningful penetration.
Before scaling Instagram TV beyond that test budget, require three minimum benchmarks. First, average watch time must exceed 60 seconds to prove the format engages living room viewers. Second, track co-viewing metrics to understand if multiple household members actually watch together. Third, measure conversion rates against your YouTube CTV campaigns to ensure the platform delivers comparable ROI.
The trust factor matters too: 86 to 90% of Southeast Asian consumers trust YouTube creators more than competitors. Instagram must build similar credibility on TV screens, not just mobile feeds.
Meta's IGTV failure happened because the company misread what audiences wanted from video platforms. Instagram's new TV app may succeed where IGTV failed, but Asian brands need regional proof before shifting budgets.
Until Instagram delivers case studies matching McDonald's sales growth, Pepsi's reach gains, or Jagat Review's commerce revenue, YouTube remains the only proven choice for Asia's living rooms.
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