Instagram Overhauls App for Reels

Instagram is redesigning its app to place Reels front and center, restructuring the home feed and navigation to prioritize short-form video. The move comes as Meta reports half of all user time on the platform is now spent watching Reels. Brands can also now test new profile grid layouts for better visual control.

This redesign is a direct response to user behavior and a defensive strategy against TikTok, with Meta building a more sophisticated AI to power Reels' recommendations. Short-form videos now account for 1.36 times the reach of carousel posts and 2.25 times that of single photos. For local businesses, this algorithmic preference for Reels offers a significant opportunity to reach new audiences beyond their existing followers. For restaurants, this means showcasing the sizzle of a dish, behind-the-scenes kitchen interactions, or a 15-second clip of a midweek special to drive foot traffic during slower periods. Partnering with local food micro-influencers, who have smaller but highly engaged and geographically relevant audiences, can feel more authentic and yield better results than celebrity endorsements. Many restaurants are finding success with user-generated content, encouraging diners to post Reels and tagging the location, which then appears in "Near You" recommendations. In the health and wellness space, successful Reels often feature quick educational tips, client success stories, and behind-the-scenes looks at the facility or trainers. Fitness studios can run 7-day digital challenges on social media to foster community and engagement. For e-commerce brands, making Reels shoppable by tagging products allows viewers to purchase directly from the video, a feature that has led to significant increases in website traffic and sales for some brands. User-generated content (UGC) is a powerful and cost-effective strategy for local businesses. Actively encouraging customers to create and share Reels in exchange for features or discounts builds authenticity and trust. For instance, a fitness studio can repost member transformation stories, or a local retailer can feature customers showcasing their products. This approach turns loyal customers into brand ambassadors. For those launching a social media agency, pricing models for local businesses are tiered. Basic management for 1-2 platforms can range from $500-$1,500 per month, while standard packages for 2-3 platforms with more content creation and engagement fall between $1,500-$3,500. Comprehensive packages with original content, ad management, and influencer outreach for multiple platforms can be $3,500-$7,000+. Client acquisition for a new agency targeting local businesses often starts with leveraging personal networks and local community engagement. Content marketing that showcases expertise, such as blog posts about local social media trends or case studies of successful campaigns, can attract inbound leads. Offering a free audit or a small, project-based service can be a low-risk way for a local business to experience the agency's value before committing to a monthly retainer. Building recurring revenue is key to a sustainable agency. Monthly retainers for ongoing social media management are the most common model. To scale, it's crucial to standardize service packages and implement efficient systems for client onboarding, content creation, and reporting. Many small agency founders recommend hiring for specific roles one at a time as the client base grows, allowing for a more sustainable and manageable expansion. AI-powered tools are becoming essential for efficient content creation. Platforms like Canva AI and CapCut offer templates and AI-driven features that allow a small team to produce high-quality Reels quickly. These tools can help with generating ideas, editing video clips, adding trending audio, and creating eye-catching text overlays, which is invaluable for a boutique agency managing multiple clients.

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