Instagram for Small Businesses for effective marketing



Instagram for Small Businesses for effective marketing



OpportunitiesEssential StepsSumming upAny questions left?

Small businesses can benefit from using Instagram due to its visual appeal, wide reach, targeted marketing, engagement features, influencer collaborations, and analytics tools. Instagram's emphasis on visual content and hashtags allows small businesses to present their products or services and reach a wider audience. Targeted marketing tools, such as Instagram ads, enable small businesses to reach specific demographics and interests. Engaging with the audience and collaborating with influencers can help build credibility and establish a sense of community around the brand. Now let’s have a closer look at the profitable ways of utilizing Instagram by small businesses.


Instagram boasts an impressive 1 billion active users each month, making it a powerful platform for small businesses to reach a wider audience. In fact, according to Instagram, 90% of users follow at least one business on the platform. Small businesses that use Instagram effectively can see impressive results, with studies showing that Instagram has the highest engagement rate of all social media platforms, with an average engagement rate of 1.6%. Additionally, Instagram's targeting tools enable small businesses to reach specific demographics and interests, with Instagram ads boasting a click-through rate that is 3 times higher than other social media platforms. Overall, leveraging Instagram's wide reach, engagement features, and targeted marketing tools can help small businesses achieve impressive results and drive success.

An inspiring example of a small business growing on Instagram is Lulus, an online fashion retailer. Lulus has built a strong following on Instagram, with over 2.3 million followers. The brand's success on Instagram is due to its visually appealing content, which showcases its trendy clothing and accessories in fun and creative ways. Lulus also uses Instagram's shopping feature, which allows customers to purchase products directly from the app, making it easy for customers to shop the brand's products. In addition, Lulus collaborates with influencers, who share their own Lulus-inspired looks with their followers, which has helped to increase the brand's reach and engagement. Lulus' success on Instagram has translated into real-world success, with the brand reportedly generating over $200 million in revenue in 2020.

Essential Steps

Business Profile. The first step to effective marketing on Instagram is to create a business profile. A business profile allows you to add contact information, including your email address and phone number, and to access Instagram's analytics tool. This tool provides valuable insights into your audience and helps you track the performance of your posts and your overall account. In addition, Business profiles have access to additional features such as Instagram Shopping, which allows businesses to tag products in their posts and stories, making it easier for customers to purchase products directly from the Instagram app.

Target Audience. Understanding your target audience is crucial to creating content that resonates with them and drives engagement. Research your target demographic and create content that speaks directly to their interests and needs. Look at the Instagram accounts of your competitors and see who is engaging with their content. This can give you an idea of the type of audience that is interested in your industry or niche.

Content Strategy. A content strategy is essential to maintaining a consistent brand message and keeping your followers engaged. Plan out your posts in advance and create content that is visually appealing and aligned with your brand. Use a mix of photos, videos, and stories to showcase your products or services, highlight your brand's personality, and connect with your audience. A small business can use Instagram to showcase its brand story, such as the history of the brand or behind-the-scenes content. This can help to establish a personal connection with the audience and make the brand more relatable. Instagram offers various features, such as filters, stickers, and GIFs, that can be used to create fun and creative content that aligns with the brand's personality. This can help to make the content more engaging and shareable. If you wish to learn more about creating a winning content strategy, check our article, where we provide you with all the tips.

Hashtags. Hashtags are a powerful tool for increasing the visibility of your posts and reaching a wider audience. Use relevant hashtags that are popular in your niche, and create branded hashtags that are unique to your business. This helps your audience find your content and increases the likelihood of your posts being shared.

Engagement. Engaging with your audience is essential to building a loyal following and establishing a sense of community around your brand. Respond to comments and direct messages promptly, and use Instagram's interactive features, such as polls and question stickers, to encourage engagement.

Influencers. Collaborating with influencers is an effective way to reach a larger audience and build credibility for your brand. Identify influencers in your niche and work with them to create content that showcases your products or services. This can help increase brand awareness and drive sales.

If you wish to maximize your earnings from influencer marketing or find more trustworthy influencers to collaborate with, you might think to use such platforms as The platform facilitates the process of collaborations in Stories between influencers and advertisers. If you are an advertiser, once you have created an account, you can start searching for influencers using the various parameters. After finding an influencer you want to work with, you can contact them through the platform and send them a proposal for cooperation. After an influencer accepts the task, he or she starts to prepare content for the collaboration in Stories. The undeniable benefit of the platform is the influencers’ credibility. Managers manually check influencers in order to expel those who have fake followers, comments or likes. So, you can be sure that collaboration with chosen influencers will give you excellent results. Additionally, can help you save time and increase the effectiveness of your influencer marketing efforts.

Instagram Ads. Instagram ads are a powerful tool for small businesses to reach a wider audience and drive conversions. You can use Instagram's targeting tools to reach specific demographics and interests, and track the performance of your ads using the analytics tool.

The amount a small business can earn on Instagram Ads varies depending on various factors, such as the industry, target audience, ad format, ad placement, and budget. Instagram Ads can be an effective tool for small businesses to reach a wider audience and drive conversions. According to a report by Hootsuite, the average cost per click (CPC) for Instagram Ads is $0.50-$2.00, while the cost per thousand impressions (CPM) ranges from $5 to $20. However, the actual return on investment (ROI) for Instagram Ads will depend on the specific campaign objectives and how well the ads are targeted and optimized. Small businesses that want to use Instagram Ads should start with a small budget and test different ad formats and targeting options to see what works best for their business. By monitoring the performance of their Instagram Ads campaigns and making adjustments as needed, small businesses can achieve their marketing goals and earn a positive ROI.

Summing up

To conclude, Instagram can be a powerful tool for small businesses to reach a wider audience, build brand awareness, and drive conversions. With its emphasis on visual content, targeted marketing tools, engagement features, and influencer collaborations, Instagram offers numerous opportunities for small businesses to grow and succeed. By following essential steps such as creating a business profile, understanding the target audience, developing a content strategy, using hashtags, engaging with the audience, and leveraging Instagram Ads, small businesses can effectively market on Instagram and achieve impressive results. A great example of a small business thriving on Instagram is Lulus, an online fashion retailer that has built a strong following and generated impressive revenue through its visually appealing content and influencer collaborations. Additionally, using platforms such as can help small businesses maximize their earnings from influencer marketing and collaborate with trustworthy influencers. Overall, Instagram offers immense potential for small businesses, and those that use it effectively can achieve significant success.

Any questions left?

We are - a service that helps advertisers find their audience through integrations with bloggers, handpicked by our team. All you need to do is to register on our website, and start picking influencers that fit your brand - hundreds of them in one place, eager for cooperation!

Follow our Telegram channel. Here you will find many useful materials for your ad campaigns and promo codes for your integrations. Otherwise, you can also contact us via the form on the website or via our email Our support team will be happy to help you!