Using Instagram Reels and Stories to Attract Local Customers

Instagram has grown from a photo-sharing app to a local business marketing software. Today, almost 14 million active Aussie Instagram users use short-form video content and can generate tangible business results.

Features like Instagram Stories and Reels are developed with product marketing, community engagement, and storytelling in mind—all of them with a mobile-first user in mind. The good news is that these Instagram features enable you to put your brand in the limelight, engage with your audience, and convert followers into loyal customers.

Let’s understand what’s trending on Instagram now, and how Aussie local businesses leverage it to expand.

Why Instagram Stories and Reels Are Effective for Local Businesses

Instagram is one of the most effective digital marketing means for local businesses. Australian consumers aren’t visiting Instagram just for entertainment but for information and making purchases. Let us look at some facts:

• 76% of clients look for product information, while 54% of consumers research the brand and its products on social media before purchasing.
• 60% find new goods through stories posted on Instagram.
• Australia’s eCommerce revenue shall reach US $5 billion by 2029, considering social commerce growth.

Why Instagram Reels and Stories Are So Successful

Instagram’s algorithm favours short-form video content. Reels deliver 36% more reach than carousels and 125% more than single-photo posts. This offers an ad-free option to increase organic visibility.

Best of all, they engage along the funnel:

• Show your brand personality, behind-the-scenes antics, or daily deals using Reels.
• Utilise Stories to run Q&As, reviews, and surveys to win users’ trust.
• Tag products directly through Instagram Shopping or add lead capture forms in Stories.

Instagram’s Stories Ads and Reels Overlay Ads are also super effective, making full-screen, engaging experiences. And with an average return on investment of 4.59x, paid Instagram ads are paying back better on investment than some aging formats.

Best Ad Formats to Try in 2025

• Reels Ads – Great for product tutorials, promotions, or viral stories.
• Story Ads – Best work with flash sales, timely promotions, or event marketing.
• Shopping Ads – Enable people to tap and shop from your content.
• Carousel Ads – Advertise up to three different products or services in one swipeable format.
• Lead Generation Ads – Obtain emails or bookings to generate more leads.

What’s Trending for Australian Businesses?

Leading Australian businesses are embracing these Instagram trends:

• Mobile-first visuals – The majority of customers are watching on mobile, so content has to be bold, legible, and scannable for mobile screens.
• Geo-localised engagement – Geo-tags and hashtags enable you to engage with geographically local customers.
• AR capabilities – AR filters and interactive stickers are being used by businesses to facilitate more interactive storytelling.
• Filtered versus authentic posts – Unedited, off-camera Reels get more engagement compared to highly filtered content.
• Micro-influencer partnerships – Micro-influencers can bring you to local niche crowds compared to conventional marketing.

How to Sell on Instagram and Make Your Local Business Thrive

Use Instagram Stories and Reels as effective strategies to increase sales and engage followers by following these essentials:

1. AI-Powered Personalisation

Instagram’s algorithm has become even more predictive, showing users something similar to what they’re interested in, what they do, and what they’re interacting with. With AI-backed analytics software, companies can benefit from data-led content creation.

2. AI Chatbots & Instant Customer Support

More and more Australian businesses are now using Instagram-integrated AI chatbots. They provide 24/7 customer service, book appointments, answer FAQs, and even handle order questions without manual intervention. Automation boosts user experience and improves response rates.

3. Build a Community

Interact with your viewers through engaging content, reply to comments, and create a feeling of belonging for followers.

4. Optimise Every Post

Here are some tips:

• Use relevant hashtags to enhance content visibility.
• Write interesting captions that provoke interaction.
• Employ good-quality images and videos to make a bold impact.
• Evaluate audience engagement to post when they are most engaged.

5. Elevate Your Content

Try various content strategies by using different types of content such as Stories, Reels, IGTV, and carousel posts to keep your audience engaged. Create suspense by posting teaser images of future products or services.

6. Instagram Shopping Feature

Use the Instagram shopping feature to add tags on your posts with the products so that it is convenient for users to buy directly from your posts.

7. Collaborate with Influencers

Team up with local influencers who share your brand identity to market your products to their devoted audience. 69% of consumers have more faith in influencer endorsements than in branded content.

8. Invest in User-Generated Content

Get your satisfied customers to share their stories and refer to your company. Publishing UGC creates social proof, builds authenticity, and drives engagement.

9. Trend Along

Follow what’s hot on Instagram and use that for your content. You can use a trending audio file in Reels and stay on top of things.

Instagram Tools Trending in Australia

While there are several optimisation tools for Instagram marketing, the following types are most helpful to Australian small local businesses:

• Content Creation Tools – Tools like Adobe Express or Canva enable you to produce and design aesthetically appealing posts, Stories, and Reels that depict your brand’s look and feel.
• Image and Video Editing Tools – Visual editing applications enhance picture quality, add filters, cut a clip, and add music or captions that can make your brand look it’s best.
• Influencer Marketing Platforms – These assist businesses in discovering local micro-influencers to work with, easily reaching into niche markets.
• Social Media Management Tools – Some of the best tools simplify scheduling content, monitor performance, and conduct analytics to manage your Instagram strategy and measure success.

Examples of Successful Instagram Campaigns in Australia

Let us look at some successful Australian businesses that have strengthened their marketing game using Instagram features:

Gelato Messina (Sydney)

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Local dessert brand Gelato Messina does a great job creating drool-worthy Reels highlighting new offerings and behind-the-scenes magic. Its quirky, fun content always goes viral and drives foot traffic into stores.

Flora & Fauna (Eco Retailer)

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An eco brand that employs Stories and Reels to post packaging advice, unboxing, and customer love. It also uses Instagram Shopping to tag sustainable products to shop now.

Up There Store (Melbourne)

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This men’s clothing store employs short-form Reels to feature fresh drops, style advice, and special releases. Their minimalist aesthetic and creative application of music-driven Reels strongly appeal to their fashion-conscious audience.

Conclusion – Grow Your Local Business with Instagram and Crazy Domains

Instagram Reels and Stories are a requirement today for engaging customers, growing your brand visibility, and driving local sales. These features empower your storytelling and engagement tools.

Capitalise on Instagram’s potential, and build a robust online platform. That is where Crazy Domains comes in. With affordable hosting, domain registration, and internet marketing solutions, Crazy Domains assists Australian businesses create a professional and scalable online platform. Explore unlimited possibilities with Crazy Domains today!