Is Investing in Business Instagram Reels Worth It?

30-Second Summary:

• Instagram Reels enhances visibility and engagement, with Reels content being highly favoured by Instagram’s algorithm. This can lead to greater reach and potential viral impact, with 74% of Instagram users engaging with Reels.
• Reels provide businesses with a platform for creative expression and direct audience interaction, boosting brand awareness and offering advertising opportunities through sponsored content and interactive tools like polls and quizzes.
• Despite the benefits, creating high-quality Reels demands consistent effort, resources, and keeping up with fast-changing trends, which can be challenging for smaller businesses without external support.

As a dynamic short-video feature, Instagram Reels have become a popular way for users to express themselves and engage their followers. It also offers businesses the chance to use the feature to their advantage, providing an innovative way to engage with audiences on one of the world’s most popular social platforms. However, are Instagram Reels worth it for your marketing purposes? After all, with TikTok taking much of the world’s attention for video content, with TikTok users also using the platform for search, are business Instagram Reels a smart investment?

To help you decide, below we’ll dissect whether Instagram Reels for business is a good option to explore for enhancing your online presence and what it can do. We’ll explore the benefits of Instagram Reels for business, its main features, and potential shortcomings. By the end, hopefully, you’ll be able to determine if Reels can be a valuable addition to your social marketing strategy or best left alone.

What Is An Instagram Reel?

Instagram Reels are a feature within Instagram that allows users to create and share short, engaging videos up to 90 seconds long. Launched back in 2020 by parent company Meta in response to the growing emergence of rival video apps like TikTok, Reels offers a range of creative tools, including AR effects, speed controls, and the ability to align multiple clips for seamless transitions. These videos can be set to music from Instagram’s extensive library or use original audio uploaded by the creator. As Meta explains, “It’s the best way Creatives can find a community that is deeply engaged and aligned with their interests”.

Reels can be found in dedicated spaces on a user’s profile and also on the Explore page/tab, significantly increasing the potential for wider visibility. This option encourages more interactive and entertaining content, setting it apart from traditional Instagram posts and the Stories feature which doesn’t have as many editing options.

The Rising Popularity of Instagram Reels

So, is it popular with users? Resoundingly yes, with 17.6 million hours a day spent by users watching Reels and usage increasing by 57.4% YoY in 2023. Users and brands alike have embraced the more dynamic and engaging content format, largely driven by the platform’s algorithm, which favours video content, offering higher visibility and engagement rates than static posts.

According to recent statistics, Reels are now one of the most engaging formats on Instagram, with videos receiving the highest reach (33.8%) and number of likes (35.4%) compared to traditional posts. Major brands and influencers have capitalised on this trend with Instagram business account reels to post everything from behind-the-scenes content to tutorials and viral challenges that resonate deeply with audiences.

Reels’ potential as a powerful tool for brand storytelling and audience building is clear, and whilst TikTok, which focuses solely on short-form video unlike Instagram, is still the most popular and has the highest engagement rate, Instagram business reels shouldn’t be ignored.

What Are The Benefits of Instagram Reels for Business?

Instagram Reels undoubtedly has benefits for businesses that want to enhance their digital marketing efforts. Here’s why using Instagram reels for business can revitalise your audience engagement:

• Enhanced Visibility – Reels receive priority in Instagram’s algorithm, appearing prominently in user feeds and the Explore page. This increased exposure helps attract new followers and drive significant traffic to your page.
• Viral Potential – The short, engaging format of Reels makes them ideal for going viral. A well-executed Reel can spread rapidly, significantly boosting brand awareness and follower engagement. With 74% of users on Instagram using and watching Reels, that’s millions of potential views.
• Creative Showcase – Reels provide a platform for businesses to display their creativity. Whether it’s demonstrating product uses, sharing behind-the-scenes content, or launching fun challenges, Reels allow you to capture your audience’s imagination.
• Interactive Engagement – With features like polls, quizzes, and comments, Reels encourage direct interaction for a deeper connection with your audience. This not only makes your brand more relatable but also offers valuable insights into customer preferences.

• Ad Opportunities – Instagram Reels also supports sponsored content, allowing businesses to place ads directly within the Reels feed. Reels Ads was launched in 2021 and offers a targeted approach to reach potential customers who are already engaged in watching Reel content, enhancing the effectiveness of your advertising campaigns and driving direct conversions. 70% of shoppers look to Instagram for their next purchase, so it’s a great opportunity to be proactive as a brand.

• Insightful Feedback – The interactive tools within Reels serve as a direct line to understanding customer feedback and preferences, helping to tailor your future marketing strategies more effectively.

Knowing how to use Instagram reels for business effectively can transform your social media presence, making your content strategy both more engaging and insightful.

Considerations and Challenges For Businesses

While Instagram Reels for business can significantly boost a brand’s visibility and engagement, there are several considerations and challenges to bear in mind:

• Content Quality and Consistency – Creating compelling Reels requires high-quality content that is both engaging and consistent. Brands need to invest in good production values and maintain a steady stream of fresh content to keep their audience interested and engaged.
• Resource Allocation – Producing Reels can be resource-intensive. It requires time, creative skills, and often a budget for equipment or software. Smaller businesses may find these requirements challenging when looking to do this without the help and experience of a digital marketing agency.
• Evolving Trends – The trends on Instagram Reels can change rapidly. Keeping up with these trends to remain relevant demands agility and constant market observation, which can be difficult if you lack an internal team to help.
• Measurement of ROI – Tracking ROI from Instagram Reels can be complex. While engagement metrics are visible, translating these into tangible business outcomes requires a clear strategy and effective analytics tools.

Addressing these challenges requires careful planning and a strategic approach to ensure that the effort put into using Instagram Reels for business translates into real business benefits.

Getting The Best Out of Business Instagram Reels For Your Brand

While it’s evident Instagram Reels offers an exciting way to enhance visibility and audience engagement, businesses must weigh these benefits against the practical challenges of content creation and resource allocation. For those considering investing in video content, it’s crucial to start with a clear strategy and possibly small-scale experiments to gauge effectiveness, just like you would A/B test changes to your web design or PPC campaign.

Small businesses especially need to consider if they can make the most of it alone or work with an experienced agency to help. If you have limited resources, you still need to prioritise creativity and focus on building genuine connections with your audience. This can be difficult if you aren’t sure where to start. Instagram Reels, just like TikTok or YouTube Shorts, is very user-friendly and makes it easy to start creating with little experience. That being said, a strategised social marketing approach is always helpful here to make the most of it.

For more insights like this, please check out our blog, where you can learn about navigating eCommerce marketing amid shifting consumer trends, and understanding Gmail’s spam update.