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How To Optimize Instagram Hashtags To Promote Your E-commerce Brand

A blue sticky note with a hash tag on it sits next to a keyboard and mouse, representing marketing in DTC e-commerce.

Are you running an e-commerce business and looking for ways to attract more customers and build a loyal following? Then, consider using Instagram as a marketing platform!

Instagram is a great way to showcase your products, reach a wider audience, increase engagement with your customers, and get the most out of Instagram start using hashtags. 

Hashtags make it easier for potential customers to find your products, and you can attract the right people and get maximum engagement on your posts. Though, many e-commerce marketers make the mistake of using irrelevant or generic hashtags, leading to low engagement and few new followers. To avoid this, make sure to research and use hashtags that are specific to your niche and target audience.

So, take your e-commerce business to the next level and use Instagram hashtags! With the right approach, you can attract new followers and ultimately drive more sales.

Why is Instagram Hashtags Important to Promote Your E-commerce Brand?

Did you know that Instagram posts with at least one relevant hashtag can get up to 29% more interactions, while posts with 11 or more hashtags can gain up to 79.5% more engagement, according to Compare Camp statistics? 

So, if you’re running an e-commerce business, Instagram is an excellent platform to showcase your products and reach a wider audience. But with millions of users posting content daily, it’s easy for your posts to get lost in the noise.

That’s where hashtags come in – they are like signposts that help Instagram users find the content they’re interested in. When you use relevant hashtags in your Instagram posts, you increase the chances that your content will appear in search results when someone is looking for a specific topic. So if you want to increase your engagement, followers, and credibility on the platform, optimizing your hashtag strategy is the way to go.

For example, if you sell handmade jewelry, using hashtags like #handmadejewelry or #jewelrylovers can help your posts get discovered by people who are interested in those topics. Hashtags can also help you reach a more targeted audience. Using specific hashtags related to your industry can attract people already interested in your offering. This can lead to more engagement and, ultimately, more sales.

10 Effective Ways to Optimize Instagram Hashtags to Promote Your E-Commerce Brand:

Take a look at the 10 proven and effective ways to strategically optimize your Instagram hashtags to promote your e-Commerce brand and reach your potential and targeted audience to boost the authority of your brand:

  1. Finding the Right Instagram Hashtags
  2. Monitoring Your Competitor’s Hashtags Usage
  3. Specifying the Right Number of Hashtags to Use on Instagram
  4. Using Hashtags in Instagram Stories
  5. Creating and Use Branded Hashtags
  6. Creating and Using Contest Hashtags
  7. Don’t Forget to Use General Appeal Hashtags
  8. Use Timely Hashtags
  9. Creating and Using Entertaining Hashtags
  10. Using Hashtags on Your Instagram Business Profile Bio
  11. Using Hashtags in the Comment Section
  12. Creating and Running Hashtag-Based Campaigns
  13. Using the Instagram Explore Page
  14. Analyzing Hashtag Performance

Optimize Instagram Hashtags to Promote Your E-commerce Brand By:

Let’s deep dive into how you can optimize Instagram hashtags to promote your e-commerce brand by:

Finding the Right Instagram Hashtags:

Selecting and finding the right hashtags for your business is crucial to optimize your Instagram hashtag strategy. It is recommended to use hashtags that your potential customers actively search for; you can increase engagement on your posts. Researching your competitors’ hashtag usage and determining which hashtags align with your niche and audience can simplify finding the right Instagram hashtags.

Remember that the most popular hashtags may not be relevant to your target audience, so prioritize relevance over popularity. The ultimate goal of using hashtags is to connect with your target audience and offer them relevant content on your Instagram profile. Fortunately, several tools are available to help marketers find the best and most relevant Instagram hashtags for your business’s content and store’s niche. Some of them are:

Monitoring  Your Competitor’s Hashtags Usage:

This is an intelligent strategy to identify which hashtags drive maximum engagement for their brand. Analyzing their content marketing approach, you can gain valuable inspiration for your hashtag ideas. For instance, you can examine your competitors’ top-performing posts with high levels of engagement and assess the hashtags that are converting into leads and have proven to generate positive results.

Browsing your competitors’ Instagram feeds may also provide some excellent ideas for your brand. Additionally, you can generate alternative hashtags that align with your brand and can be used in future posts. Through careful analysis of your competitors’ hashtag strategies, you can enhance your Instagram hashtag strategy and maximize engagement on your posts.

Specifying the Right Number of Hashtags to Use on Instagram:

While Instagram allows up to 30 hashtags on a regular post and ten on a Story, it’s essential to avoid adding irrelevant or unnecessary hashtags to every post. Instead, focus on using a reasonable number of relevant hashtags that align with your brand and target audience.

According to Instagram statistics, using 11 hashtags is a good practice for Instagram posts. Moreover, according to Statista, the most common number of hashtags used on Instagram posts is between 1 and 3. Ultimately, the number of hashtags you use should vary based on your content and audience. Experiment with different numbers of hashtags and assess which amount generates the most engagement for your posts. By carefully selecting and using relevant hashtags, you can effectively reach and engage with your target audience on Instagram. 

Using Hashtags on Instagram Stories:

Try using hashtags on Instagram stories, and you will experience enhanced engagement and expanded reach to diverse communities. It presents a valuable opportunity to increase the visibility of your content and attract potential followers. You can include up to 10 hashtags and one clickable hashtag sticker on an Instagram story. You can easily add a hashtag by utilizing the hashtag sticker or the text tool to type “#” on a photo or video post.

If you are seeking tips on attracting more followers to your Instagram stories, look at this engaging Instagram infographic that provides helpful insights. By implementing effective hashtag strategies on your Instagram stories, you can bolster engagement, attract new followers, and optimize your metaverse in social media presence.

Creating and Using Branded Hashtags:

Creating and using a branded hashtag is a simple way to track who is talking about your e-commerce store on Instagram. You can use your company name, a current slogan, or another creative phrase that would relate to your audience. Then, tell your Instagram followers about the tag by including it in your bio and encouraging them to use it in their posts. Later, you can quickly use your hashtag to find and share user-generated content. You should also include these tags in your images to remind your followers.

For example, when you search “#jamescharles,” you will find millions of photos, videos, and reel results showing popular UGC related to the brand. User-generated images increase your brand’s exposure and other Instagram users’ exposure, allowing them to gain more followers. It’s a win-win situation for everyone!

Creating and Using Contest Hashtags:

The content hashtag is one type of branded hashtag that works particularly well for contests is the hashtag created specifically for that contest. These hashtags are designed to help you quickly identify contest entries, and they can also generate buzz and excitement around your contest.

When creating a hashtag for your contest, include the name of your brand or product to help reinforce your branding. Alongside your branded contest hashtag, you can incorporate more general contest hashtags like #instacontest, #instacontestalert, #giveawaytime, #giveawayalert, or #giveaway to increase your visibility encourage even more participation.

Moreover, if you can’t figure out how to do it yourself, you can hire a digital marketing agency to help you with your business Instagram account and make the most of contest hashtags. Once you know the secret, encourage your audience, and create user-generated content, you have unlocked the powerful way to build brand awareness and trust. And the best part is, once your contest is over, you can continue to use these hashtags to promote your brand and encourage ongoing engagement with your audience.

So if you’re planning a contest on Instagram, incorporate branded and general contest hashtags to maximize your reach and engagement. With the right hashtags, you can make your contest a huge success and build long-lasting relationships with your audience.

Don’t Forget to Use General Appeal Hashtags:

If you want to maximize your reach on Instagram, it’s worth considering using generic hashtags since they are popular with vast and diverse audiences. These generic hashtags can help more people see your posts since they are more likely to be actively searched for.

Use generic hashtags relevant to your content, potentially exposing your brand or message to a wider audience. These hashtags might cover various topics, from general interests like #photography, #love, #food,  #foodie, and #travel to more specific niches like #veganfood, #travellover, #doglover, or #fashionblogger.

Using Timely Hashtags:

Using hashtags related to current events or seasonal holidays can be a great way to increase the visibility of your Instagram posts, particularly if you’re trying to capitalize on selling-focused holidays like Valentine’s Day or Christmas. When you use hashtags relevant to what people are actively searching for, you increase the chances of your posts being discovered by new audiences.

However, it’s worth noting that using hashtags on your Instagram ads is currently not an effective marketing tactic. Instagram’s algorithm prioritizes organic, authentic content over paid content, so using hashtags on your ads is unlikely to help you reach new audiences or increase engagement. So, to boost your visibility on Instagram, consider using relevant and timely hashtags in your organic posts. It would be best to stay up-to-date with the latest trends and events to reach new audiences and build stronger connections with existing followers.

Creating and Using Entertaining Hashtags:

These will not increase your reach but will entertain your audience and help you establish your brand voice. They are only intended to be amusing or clever. Like, #iknowitstooearlyforchristmasstuff and #thisiswhyweallhatemonday. In many cases, entertaining hashtags, such as #toobad #itshereanyway, may be grouped one after the other to tell a story. This type of hashtag is excellent for connecting with your target audience.

Using Hashtags on your Instagram Business Profile Bio:

Once you create and use your branded hashtag, it’s also time to use it on your business profile bio. Even though, It’s not possible to use hashtags in your Instagram profile bio in a way that makes them clickable or searchable. However, you can still include the relevant business hashtags in your bio to help users understand your business and help your profile appear in search results when users are looking for companies in your industry or niche.

Since your Instagram bio is the first thing users see when they visit your profile, it is essential to make a good impression and communicate what your business does. For example, if you run a fitness business, you might include keywords like “#personal trainer” or “workout programs,” or if you are a beautician, you can add “#professionalMUA” or “makeup artist” on your bio. This can help users interested in fitness or beauty find your profile and follow you for more content related to their interests.

Take a look at FENTYBEAUTY’s official Instagram page; it has not just added its branded hashtag but also used a relevant keyword that related to the products they offer:

Using Hashtags in the Comment Section:

Instagram allows you to include hashtags in the post caption and the comments. When you use hashtags in the words of your posts, they will still be searchable and clickable, which means that users interested in the topics or keywords related to your hashtags can quickly discover your content. 

So, if you don’t want to use too many hashtags in your post like this one, then put them in the comments section, as it can help you to avoid cluttering your captions with too many hashtags, which can make them look spammy or unprofessional, so you can keep your captions clean and concise while still using relevant hashtags to attract new followers and increase engagement on your posts. Additionally, some tools, such as Sprout Social and Later, allow you to publish tags to the first comment automatically.

Creating and Running Hashtag-Based Campaigns

If you want to run a campaign, create hashtags and ask your followers to use the same hashtags. Contests are among the most effective and popular ways to collect user-generated content, increase engagement, and reach a new audience. You can easily promote your upcoming product or event using hashtags in your campaigns.

You can encourage your Instagram followers to share their content using your campaign hashtag; you can build stronger connections with your audience and grow your brand on the platform. Just take a look at how Starbucks created and ran a campaign for the transgender community:

Campaign hashtags help you connect with potential followers and promote your product or event. By offering a giveaway, businesses can encourage their audience and followers on Instagram to tag relevant content using branded hashtags. Create an attractive campaign and invite your followers to be a part of your campaign by posting photos, reels, or videos on Instagram using your branded hashtags. This strategy will undoubtedly increase the exposure and reach of your content.

Using the Instagram Explore Page:

You must wonder how the Instagram Explore Page can help you optimize your hashtags. The Instagram Explore Page can be an excellent tool for discovering new hashtags and optimizing your use of hashtags to promote your e-commerce brand.

When you use hashtags in your Instagram posts and stories, your content becomes searchable from the Explore page. If someone searches for the same hashtag and comes across your story or post at the top of the Instagram Explore page, they will likely follow your account for more exciting content. Attempt to have your stories and posts featured on the Explore page, as this will help you build an extensive network of followers, which will help your brand become famous on Instagram. However, here are some tips on how you use the Explore Page effectively by:

  • Exploring Popular Hashtags: Explore popular hashtags relevant to your e-commerce brand. You can search for these hashtags in the Instagram search bar or by clicking on related hashtags when you view posts that use relevant hashtags.
  • Analyzing Related Hashtags: Once you find popular hashtags relevant to your brand, look at the related hashtags that appear on the Explore Page. These related hashtags can give you ideas for other hashtags to use in your posts.
  • Analyzing the Posted Content: When you view posts on the Explore Page that use relevant hashtags, note the types of shared content. This can give you ideas for the types of content that will be most effective for promoting your e-commerce brand.
  • Engaging with Other Users: Engage with other users by posting content using relevant hashtags. This can help you to build relationships with potential customers and increase your brand awareness on the platform.
  • Tracking Your Results: Track the results of your hashtag strategy over time. Use tools like Instagram Insights to monitor the reach and engagement of your posts and adjust your hashtag strategy as needed to optimize your results.

Analyzing Hashtag Performance:

If you’re using Instagram for your e-commerce brand, it’s essential to track the performance of your posts and see how your hashtags impact your engagement and reach. Luckily, many great tools, like Keyhole and Iconosquare, make it easy to measure your hashtag progress.

With these tools, you can get a ton of valuable information, including your engagement rate, number of likes, comments, saves, views, unique visitors, and new followers. By analyzing this data, you can fine-tune your hashtag strategy and figure out what’s working and what’s not.

For example, you might find that specific keywords or combinations drive more traffic and engagement than others, or some hashtags are getting more views but fewer conversions. By tweaking your hashtags, you can optimize your performance and achieve better results for your brand.

So if you want to take your Instagram game to the next level, analyze your hashtag performance and use the insights you gain to improve your strategy. With the right tools and a little effort, you can unlock the full potential of your e-commerce brand on Instagram!

Over to You!

Hashtags can help increase brand awareness and make your e-commerce business more recognizable on Instagram. No one can deny the effectiveness of using hashtags on Instagram; it has now become one of the most effective marketing tools for brands and an important feature of Instagram. In short, Instagram hashtags are an essential tool for promoting your e-commerce brand on Instagram. They can help increase your visibility, attract a more targeted audience, and boost brand awareness.

Hopefully, you have the information to optimize Instagram hashtags to increase your following and maximize engagement. You can contact a social media agency to help you build your Instagram account from the ground up, create content your audience wants to see, and drive more sales. So don’t forget to include relevant hashtags in your Instagram posts!


What are Instagram hashtags, and how can they help my e-Commerce brand?

Instagram hashtags are words or phrases preceded by the # symbol that help categorize content on Instagram. Using relevant hashtags on your posts can help increase your visibility and engagement on the platform, ultimately driving more traffic and sales to your e-commerce store.


How many hashtags should I use on my Instagram posts?

Instagram allows up to 30 hashtags per post, but using all 30 may be spammy. It’s best to use a mix of popular and niche hashtags and focus on quality over quantity. Aim for around 5-10 relevant hashtags per post.


Should I use branded hashtags for my e-commerce brand?

Creating a branded hashtag can help build brand awareness and encourage user-generated content (UGC). Ensure your branded hashtag is unique, memorable, and relevant to your brand.


How can I track and analyze the performance of my Instagram hashtags?

Instagram Insights can provide data on how many impressions and engagements your posts receive from hashtags. You can also use third-party tools like Hootsuite or Sprout Social to track and analyze hashtag performance over time.


Are there any Instagram hashtag best practices to keep in mind?

Yes, here are a few best practices to follow when using hashtags on Instagram:

  • Use a mix of popular and niche hashtags
  • Keep hashtags relevant to your brand and post content
  • Use your branded hashtag consistently
  • Don’t use too many hashtags or repeat them excessively
  • Monitor hashtag performance and adjust your strategy as needed.
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