I agree. I think any employer would be flattered with such a targeted application.
But I think it could be better if she listed benefits she could bring Instagram, rather than her personality traits. She does link to a very nice resume that has more content.
It's targeted in one way, and in one way only: via mention. Sure, the domain name includes the word "Instagram." Similarly, it's in the page's title.
However, the connection is surprisingly superficial. As you point out, she offers a comically generic application and then emphasizes that, you know, working at Instagram would be, like, cool. I find that a little cynical.
I'm not sure whether her design is "good" or whether her other attributes line up with what they're looking for, but A+ for effort, nonetheless.