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Updated Apr 19, 2024

12 Reasons to Use Instagram for Your Business

Instagram is a great way to expand your business's reach and engagement with your customers. Here are 12 reasons why your business should be on Instagram.

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Written By: Kiely KuligowskiSenior Writer & Expert on Business Strategy
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Since its inception, Instagram has been a powerful marketing tool for businesses looking to expand their online presence and product visibility. Because Instagram is a highly visual platform, it’s an excellent social media marketing tool for showcasing cool, innovative, interesting and beautiful products and services. Industries such as fashion, food, travel, beauty, home decor, gardening and events enjoy enormous success by adding Instagram engagement to their marketing plans. However, businesses in any industry can build an engaging presence on this platform.

We’ll explain how your business can benefit significantly from an Instagram account and offer tips for optimizing it. 

What is Instagram?

Instagram is a hugely popular photo- and video-sharing social media platform with over 2 billion monthly users worldwide, according to Statista. Its parent company is Meta, which also owns Facebook. 

On Instagram, users can do the following:

  • Create photo or video posts
  • Make Instagram Stories that live on your profile for 24 hours
  • Create Instagram Reels, which are short-form videos up to 90 seconds long (similar to TikToks)
  • Livestream video
  • Engage in conversations with Threads
  • Shop directly from e-commerce brands through the app
  • Private message other users through Instagram Direct
  • Run advertisements or sponsored posts for business marketing

Instagram caters to a younger demographic. Statista found that over 62 percent of Instagram users are under 34, while 16 percent are between 35 and 44. Businesses can engage millennials and Gen Z through Instagram, and it’s also a powerful tool for marketing to other segments. 

TipBottom line
Before connecting with your audience on social media, you should research your target customers so you understand the content they want to see and can create posts that address their needs and interests.

What is Threads, and how is it connected to Instagram?

Threads is an Instagram companion app designed for participating in, viewing and sharing public conversations. Users log in to Threads with their Instagram credentials. Threads posts can include up to 500 characters and may feature links, photos and videos up to five minutes in length.

Users can share Threads posts in their Instagram story and easily follow the same accounts on both Instagram and Threads. Additionally, if a user has blocked someone on Instagram, that block will automatically apply to their Threads account.

Why your business should be on Instagram

Check out these 12 compelling reasons why your business should use Instagram as part of its social media marketing strategy.

1. More people are using Instagram.

With over 2 billion active monthly users, Instagram is extraordinarily popular, especially with younger people. It’s the fifth-most-visited internet destination (behind Google, YouTube, Facebook and Wikipedia), and users spend an average of 33.1 minutes daily on the platform. With so many available and engaged eyeballs, there is no limit to the success a business can reach with a dedicated Instagram strategy.

2. Businesses of all sizes can thrive on Instagram.

Because Instagram has so many users with varying needs and interests, businesses of all sizes and across all industries can thrive on the platform. Success won’t come overnight, but if a marketing team wants to get their organization on the map, Instagram can help.

Businesses can increase brand awareness and connect with their target audience by keeping an active presence and posting at least once daily. This is how household names such as Coca-Cola and Adidas, as well as a slew of small businesses, have effectively used Instagram to thrive.

3. Businesses can make money from Instagram.

Businesses can make money on Instagram in several ways: 

  • Direct sales: Instagram allows businesses to access several “shoppable” features to sell directly from the platform. For example, they can create shoppable posts and stories and “tag” products with descriptions and prices. Interested buyers can then select Shop Now and head directly to an online store.
  • Advertising on Instagram: Instagram has numerous advertising options that can easily fit into any business’s marketing budget. For example, sponsored posts, stories and videos can help you target specific audiences to drive traffic and sales. You can turn any post into an ad instantly by “boosting” it; you can also access the Ads Manager for more strategic campaigns across Facebook and Instagram.
  • In-app checkout: Businesses can set up their Instagram shop with in-app checkout, which makes purchasing seamless for buyers and boosts conversions.
  • Partnerships with brand ambassadors: Businesses can partner with brand ambassadors through sponsored posts and affiliate marketing. These partnerships can help you generate more sales leads and increase sales.

4. Instagram can make your business more relatable.

Instagram is an excellent way to show potential customers that you’re more than a faceless corporation. In particular, Instagram Stories and live events can showcase your brand’s personality. 

  • Instagram Stories: Use Instagram Stories to show a behind-the-scenes look at your company and the people who work there. Some examples are videos of how products are made, stories of office employees interacting, and posts of your company active in the community.
  • Instagram live events: Instagram live events are an excellent way to build trust and credibility with followers. You can host live Q&A sessions similar to Facebook Live Q&As. Like Instagram Stories, live events can provide an inside look at your company.
Did You Know?Did you know
When consumers see you as more than a company looking to take their money, you'll build brand authority and generate more trust.

5. Businesses can partner with influencers to build brand awareness.

Instagram is a great platform for using influencer content to build brand awareness. Influencers are high-level, high-powered social media users with huge followings. They may be celebrities or popular niche users who promote products and brands, often introducing new offerings into the mainstream. 

A dependable influencer can bring your company’s sales to a new level through an increased digital marketing return on investment (ROI) and access to demographics you wouldn’t usually reach. When you get influencers to market your product, they can publicize your business to thousands, or even millions, of followers with just a few posts.

6. Hashtags can increase a business’s visibility on Instagram.

As a new business, you may be intimidated by the competition. However, with the proper use of hashtags, you can separate your company from the herd.

Popular Instagram hashtags — such as Coca-Cola’s #ShareaCoke, Charmin’s #TweetFromTheSeat and Calvin Klein’s #MyCalvins — have rocked the industry, becoming pop culture cornerstones that have made these popular brands even more recognizable.

Even if your company is small, effective hashtag use can help distinguish your business from the crowd.

7. Instagram helps businesses effectively engage with customers.

Engaging your audience on social media is a business’s primary social media marketing goal, and Instagram is an excellent engagement platform. With Instagram, you can get customers involved daily by having them share feedback and opinions. 

Instagram is a platform for users to like, comment on and share their favorite posts. The more likes and comments your Instagram posts get, the more visible your company becomes. You can get more likes by taking high-quality photos, using local or relevant hashtags, and partnering with other brands.

8. Instagram helps businesses leverage the power of mobile.

Unlike Facebook and X (formerly Twitter), which started as browser-based sites, Instagram was created as a mobile app. As mentioned earlier, Instagram users spend over 33 minutes daily on the app — double the time they spent just four years ago. 

Take care to ensure your business’s Instagram posts are optimized for mobile screens and mobile accessibility. Instagram’s clean style contrasts with Facebook’s more cluttered view, so prioritizing your Instagram posts allows you to expand your reach and engagement. 

9. Instagram helps businesses keep an eye on competitors.

Your company can use Instagram to monitor your competitors and see how they interact with their followers. Watch carefully to determine how often they post, what they post and how they engage with their followers. You can fine-tune your strategy by learning from their mistakes and taking inspiration from their successes.

10. Instagram offers many ways for businesses to be creative.

A great benefit of the photo-sharing app is the creativity it allows. On Instagram, your marketing team can go wild, creating new ways to draw attention, gain followers and add customers. 

Show the public that your brand has personality and that it’s cool to shop with you by mixing it up with social media contests, shout-outs, vivid images, interactive videos and more.

11. Instagram helps businesses reach new customers.

Instagram offers multiple ways to expand your audience and reach new customers, including the following: 

  • Instagram ads: You can use Instagram ads to target specific demographics. These ads can link directly to your website, products or services, making it easier to convert viewers into customers.
  • Search & Explore: Instagram’s Search & Explore page can help your business appear in front of audiences who haven’t interacted with your brand but may be interested in it.
  • User-generated content: When you encourage your Instagram followers to create and share user-generated content about your products or services, you boost your credibility and exposure to potential customers.
  • Collaborations: Collaborations with influencers or partner businesses can help introduce your business to new users.
  • Reels: Your Instagram Reels have the potential to go viral and reach users beyond your current followers. 

12. Businesses can use Instagram Insights to hone their social media marketing strategies.

Instagram business account users can access Instagram Insights — a valuable tool that provides specific, pertinent information about your followers, content performance and more. Use this data to inform and improve your other social media marketing campaigns. 

The Insights tool provides crucial social media metrics and information about your followers’ ages, locations, time spent on the app and more. You can also see how well each post performs and the best time of day to post.

TipBottom line
Monitor your Instagram comments and mentions, and share user-generated content, like positive customer reviews, to boost engagement.

Instagram do’s and don’ts

As with any social media or marketing vehicle, there are ways to get the most out of Instagram, as well as mistakes to avoid. 

Instagram do’s

Follow these tips to improve your Instagram presence: 

  • Post consistently. Experts recommend posting between one and three times per week for the best results.
  • Leverage your Instagram bio. Use the link in your Instagram bio to promote specific products, business blog posts or landing pages.
  • Interact with other accounts. Engage with other Instagram accounts by liking and commenting on their posts and following hashtags.
  • Seek feedback. Connect with your followers by asking them for their opinions and customer feedback. This data is essential for your market research plan.
  • Create a signature style on your Instagram grid. Your Instagram posts should have a consistent style that complements your overall branding. For example, use specific colors, filters and angles.
  • Use hashtags thoughtfully. Your hashtags should make it easier for people to find your content. You can include up to 30 hashtags per Instagram post. However, too many hashtags can appear “salesy” and off-putting.
  • Tell a story. Instagram users want to feel emotionally connected to the accounts they follow. Post some behind-the-scenes videos or photos, and give users a peek into your company’s processes or history they otherwise wouldn’t know.

Instagram don’ts

For the best results, don’t make these mistakes on Instagram: 

  • Inundating followers: As a rule of thumb, posting more than three times a week tends to annoy followers. However, this number varies by industry and product type.
  • Being inauthentic: Never use auto-commenters or post generic-sounding comments. Authenticity is prized on Instagram, and being too robotic will cost you followers.
  • Posting clickbait: Although you should post interesting and engaging content, don’t add completely irrelevant or sensational content just to get reposts.
  • Being too sales-oriented: Posting sales-oriented content nonstop is a mistake. Followers don’t want to feel constantly pressured to purchase. Consider following the 5:3:2 rule for social media: For every 10 posts, curate five posts from other content, create three posts that are relevant to your audience, and use two posts to share fun content that humanizes your company.
  • Neglecting captions: While Instagram is primarily visual, you can benefit from writing thoughtful captions for your posts. The captions should add interesting information, context or humor to the image or video.
  • Ignoring negative feedback: Instagram is a highly interactive platform, and those who post negative comments expect a response. Pay attention to positive and negative feedback, and show your followers you care by responding thoughtfully.
  • Buying followers: Although a high follower count may look good initially, fake followers only hurt your Instagram marketing results. These followers will not engage with your account, and they have no genuine interest in your company. 

Level up your social media marketing

Want to keep reading? Check out these social media marketing resources to learn more about an inexpensive way to reach your target audience and generate more buzz around your brand:

Instagram is a must-have social media platform for businesses

More people than ever are paying attention to Instagram, and you’ll ignore millions of potential customers if you don’t join this powerful social media platform. 

While advertisement and sponsorship opportunities exist, an Instagram business account is free; businesses can establish a significant following without spending a dime. If you haven’t jumped on the Instagram bandwagon yet, you may be doing your business a disservice.

Jennifer Dublino contributed to this article. 

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Written By: Kiely KuligowskiSenior Writer & Expert on Business Strategy
Kiely Kuligowski is recognized for her expertise in project management and business software. With a strong background in project oversight, she excels in defining project scopes, monitoring timelines and ensuring high-quality deliverables for a diverse range of clients. In addition to her proficiency in project management, Kuligowski also possesses experience in product marketing and has made valuable contributions to business fundraising endeavors. At business.com, Kuligowski covers email marketing, social media marketing, as well as topics related to business management. In the realm of business software, Kuligowski has reviewed a number of modern digital tools, such as email marketing services and document management systems, and advised business owners on purchasing decisions and usage best practices. Recently, Kuligowski has focused on sustainability software and project management at IBM, further establishing her as a respected authority in her field.
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