Instagram’s recent feed changes suggest the days of organic reach are close to an end, but a look at luxury brands’ success on the platforms suggests most have already created a strong foothold. No matter how engagement fluctuates based on the new algorithm, sourcing user-generated content will be one of the best uses of Instagram. Forty-two percent of brands in L2’s Luxury Hotels Index solicited UGC on Instagram this year, up from 26% in 2015.
Other areas investment had increased were video, carousel ads, and ambassador marketing. This year, 82% of brands are integrating video in their feeds vs 52% last year. Fifty-six percent of brands are integrating ambassador content in their feeds to amplify brand reach. And several – like Jumeirah – have started experimenting with Instagram’s carousel ads.
Despite these efforts, large disparities exist between the leaders of the pack and the rest. Four Seasons and Ritz-Carlton have the most engagement compared to other Index brands, even though Loews and Shangri-La post approximately twice as frequently. Four Seasons is especially ahead of other brands, with seven times as many interactions as the average brand in the Index. Furthermore, all of the top ten hotel posts on Instagram (by interactions) belong to Four Seasons.
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