This executive briefing on how organizations can best leverage the Instagram social media platform was prepared by Jessica M. Reid while an MBA student in the College of Business at Southeastern Louisiana University in Hammond, Louisiana.


Overview

Edging out Facebook and Twitter as the most popular social network among U.S. teens, Instagram offers many opportunities for businesses to engage with the newest generation of consumers.  Instagram is a unique social media platform for two reasons:  pictures and captions are the only shareable content, and users must access Instagram on their mobile phone application in order to share those pictures.



The Platform in Brief

Instagram is the ultimate social media platform for the “selfie” generation. Founded in 2010 by lovers of technology and photography, Kevin Systrom and Mike Krieger, Instagram was named 2011’s “App of the Year” by Apple.  With just thirteen employees, Instagram was purchased by Facebook for one billion dollars in early 2012 (Desreumaux, 2014). Instagram debuted advertising in November of 2013; because of the targeted markets and strict parameters, users have reacted positively to the advertisements thus far (Hemley, 2013).


Users can follow friends, celebrities, and brands that they enjoy.  The pictures posted by these parties appear on the user’s home feed. Users can like or comment on the picture, and those comments will show up to everyone who can see the pictures.  Instagram has an Explore tab that displays photos popular both globally and locally, and a banner between the photo and caption notifies you whether the photo is popular “based on people you follow” or “popular in your country.”  Users can also search Instagram for “hashtags” relevant to their interest, and see photos tagged with captions like #love, #food, and #style.


Instagram is a smart phone application, so the app must be downloaded in order to access the platform.  In order to join Instagram, one only needs an email address or Facebook page to link to the new Instagram account.  From there users are prompted to upload a profile picture, write a short self-description, and if applicable, link to their website.  On the Instagram website they actually provide helpful links for commercial firms under the heading, “Instagram for Businesses.”  This page suggests linking your Instagram to Facebook and other third-party sharing sites, to create a unified brand where fans from any social media interface are able to see all your posts.  Instagram also provides a link to an “Instagram for Business blog,” where they post examples of how others brands use Instagram.



The Platform in Operation

Instagram has the potential to be used in a number of innovative ways in order to improve any organization’s marketing efforts.  By establishing and publicizing a hashtag specific to the industry, firm, or each marketing campaign, the individual who runs the Instagram account can engage customers by liking, commenting, and reposting their images, with appropriate references.  Other postings may include showcasing products, promotional giveaways, and jokes or commentary on current events.  The key with giveaways is to give followers some incentive to repost. When more users engage on Instagram by liking, commenting, and reposting photos--larger and more relevant audiences are ultimately reached (Fitzpatrick, 2014).

Target is a great example of a large corporation with a powerful presence on Instagram.  Many accounts are run, in addition to @target, they also have @targetstyle, @targetcareers, and other accounts specific to campaigns, such as their collaboration with Lily Pulitzer.  Target posts from these accounts often, with interesting photos and captions that inspire dialogue amongst followers.

Companies that use Instagram effectively stand to gain an immense amount of brand recognition. By cooperating with the various celebrities and internet icons that use Instagram, companies can boost their brand while providing more popularity for their partners as well. Posting enticing pictures of new or upcoming products can build exposure and boost sales by giving potential customers an otherwise inaccessible introductory look at products they may be interested in. Posting special promotions, coupons, or giveaways with directions to like repost the pictures can cause them to circulate among hundreds of thousands of users that are interested in these deals. Many firms post tutorials, troubleshooting guides, and other helpful information pertaining to their products and services (Mallon, 2013).  This allows companies to be more accessible to their clients, which invariably leads to increased customer satisfaction and popularity.



The Platform’s Pros and Cons

Instagram definitely seems to appeal to a young audience.  In fact, according a Smith (2014), “over 90% of the 150 million people on Instagram are under the age of 35…” and that “68% of its users are female.”  This demographic data helps explain the products typically marketed on Instagram:  beauty brands, women’s clothing, diet supplements, and gossip magazines.


The genuinely enjoyable platform allows users to connect with their friends, families, and favorite companies using a strictly visual medium. Instagram’s largest advantage is its simplicity. Using Instagram comes very easily to visually creative users. Finding friends and sharing photos takes no more than a few seconds, and it is difficult to get lost within the application. Also, by using pictures in lieu of a text-heavy interface, Instagram has made it very simple to find accounts that will hold the user’s interest.


However, Instagram’s main strength is also a potentially devastating weakness. The application offers few other features apart from sharing pictures. Users looking for a more in-depth experience may become bored of staring at pictures very quickly. It can take a fair amount of time to find enough users to follow so that the application always has something new to offer. Subject matter such as news articles and informational texts are much more difficult to access on Instagram than on other similar platforms such as Facebook or Wikipedia, both of which are considered excellent reference sites.



Analysis

Instagram is a great social media platform because of its uniqueness and organization. Unlike any other platform that can be flooded with boring text and advertisements, Instagram provides a perspective of people’s lives through their eyes. Instagram is a popular platform due in part to the user-friendly interface of the app, its growing popularity, and the new features constantly being added.  These include video sharing, photo tagging, and location tagging.  As Instagram continues to improve, it will continue to grow.

Consumers can find unique look at the world using photographs instead of text. Instagram is limited in scope, because it requires customers and others within an industry to accept and use the platform in order for it to be successful.  Currently female-centric industries enjoy the most success on Instagram, but as it grows in popularity on an individual level, corporations will have a greater reach as well.  One excellent avenue that leads to Instagram success is the use of analytic software.  These will tell users when is the best time of day to post, which filters are most useful, and introduce you to potential followers based on the preferences they have shared (Cleary, 2014).  Instagram is here to stay, growing in popularity and usefulness.



References

Cleary, I. (2014, April 22). 5 Instagram Tools to Better Manage Your Marketing |. Retrieved February 5, 2015, from http://www.socialmediaexaminer.com/5-instagram-tools/


Desreumaux, G. (2014, January 3). The Complete History of Instagram. Retrieved February 5, 2015, from http://wersm.com/the-complete-history-of-instagram/


Fitzpatrick, P. (2014, September 8). Instagram 101: 7 Keys Steps to Instagram Success. Retrieved February 5, 2015, from http://pegfitzpatrick.com/instagram-101-key-steps-instagram-success/


Hemley, D. (2013, September 10). 26 Tips for Using Instagram for Business |. Retrieved February 5, 2015, from http://www.socialmediaexaminer.com/instagram-for-business-tips/


Instagram for Business. (n.d.). Retrieved February 5, 2015, from http://business.instagram.com/


Mallon, S. (2013, September 19). How to Use Instagram for Content Marketing - OMI Blog. Retrieved February 5, 2015, from http://www.onlinemarketinginstitute.org/blog/2013/09/how-to-use-instagram-for-content-marketing/


Smith, C. (2014, August 17). Here's Why Instagram's Demographics Are So Attractive To Brands. Retrieved February 10, 2015, from http://www.businessinsider.com/instagram-demographics-2013-12



Contact Information

To contact the author of this article, “What You Need to Know About Instagram: An Executive Roadmap for Social Media Success,” please email the author at [email protected].


The mission of the College of Business at Southeastern Louisiana University is to provide educational experiences for personal, professional and intellectual growth, enable the creation and sharing of knowledge to enhance learning and to advance the practice of business, and engage communities through service to positively impact their future. The Accounting and Business programs in the College of Business are accredited by the AACSB International.

 


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