How brands have taken to Instagram to cash in on the rising user base

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October 8, 2020 10:00 AM

Instagram has nearly 117.1 million monthly active users in India and the average time spent per user is 45 minutes

With the onset of the festive quarter, brands are further looking at bolstering presence on social media platforms to drive engagementWith the onset of the festive quarter, brands are further looking at bolstering presence on social media platforms to drive engagement

As a brand one has to follow the consumer everywhere she goes. And Instagram is one such platform which allows brands to not only talk to the consumer but also sell their products. As a result, it is believed that several brands in the beauty, fashion and lifestyle space have ramped up digital presence. Instagram’s shop feature, allows an user to tap on products, which would then take her to the website/app so that she can directly make a purchase. “Improved consideration, quick access to pricing and product details creates an easier path to purchase,” Dipali Patwa, global head of brand and community, Fabindia, told BrandWagon Online. The company claims to have witnessed a 30% dip in acquisition cost through digital, while its sales coming from digital channels have increased to 26% as compared to 8% pre-covid.

VLCC too claims that social media platforms including Facebook and Instagram contribute to 35% – 40% of the website traffic. According to a report by WATConsult, Instagram has nearly 117.1 million monthly active users in India and the average time spent per user is 45 minutes. Moreover, more than 75% of the shoppers have had satisfactory experience while shopping from Instagram and a majority are likely to shop in the future. Due to Covid-19 and lockdown, most brands had either reduced or stopped their advertising budgets, bringing the cost of acquisition down, Varun Alagh, co-founder, Mamaearth said. “Instagram has established itself as a great community building platform and is gradually becoming a potential revenue generating model with a contribution of 8-10% in our sales,” he said, adding that with cost lowering, the company invested big on the platform without cutting down on marketing spends.

Furthermore, with the onset of the festive quarter, brands are further looking at bolstering presence on social media platforms to drive engagement. PEESafe, for instance, plans to allocate more than 60% of its advertising budgets on digital platforms, primarily driven by Facebook, Instagram and YouTube, Vikas Bagaria, founder, Pee Safe said. As per the marketing lead at VLCC, the company is looking at optimal marketing spends as an investment in building up the business. “With the festive season just ahead of us we will be increasing our promotions on social media platforms to reap the benefits,” the spokesperson noted.

Read Also: Why brands advertised cautiously on coverage around late Sushant Singh Rajput on news channels

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