Are you aware of the fact that Instagram is at the top of the list of growing active monthly users? Yes! Its users grow at a faster rate than Facebook, Twitter, and Snapchat. In this article, we’ll help you understand how to run Instagram Ads for lead generation with proven tips.
While other businesses have been tremendously affected by this pandemic, there are some corporations that have prospered more than ever. Especially during the lockdown, Instagram has gotten so much importance, that it’s almost like it could cure Corona. But actually, millennials and boomers on Instagram were trying to keep a positive outlook by sharing and enjoying jokes and memes on the coronavirus. Hiding the suffering with the cover of memes, how millennial is that?
Instagram has been amazingly utilised for advertising during this time and not just for sharing memes. Turning 10 years old in 2020, Instagram surely got a great gift i.e., 1 billion active users!
Can you imagine the opportunities a platform with 1 billion active users has to offer? It’s insane. Instagram has more than 30 million business profiles. It has become an essential platform for marketing and lead generation.
Instagram’s own statistics showed that at least 200 million Instagrammers visit at least one business profile each day. Also, 60% of people have said that they discover new products on Instagram.
Who is Instagram for?
Even though Instagram is for all, it is exceptionally useful for certain types of industries. However, a platform with 1 billion monthly users has to be of at least of some use for every business. And especially, if your main product is visually pleasing, then you should definitely consider Instagram for marketing.
So, consider these 2 things before diving into full-fledged Instagram marketing:
- Industry Check
- Visual Outlook
As mentioned earlier, some industries are made for Instagram marketing, such as tourism, food, fashion, beauty, auto, etc. And above 80% of brands catering to any of these industries and taking full advantage of advertising on Instagram.
The beauty industry has become so recognised after its popularity and virality on Instagram. This has given small businesses and beauty artist, a chance to explore their potential and grow with the constantly growing platform.
Related to the beauty industry is the visual outlook factor. So if you have a product or your business caters to anything that is visually appealing, then you must dive into the amazing world of Instagram marketing.
Virality on Instagram
If you are looking to get popularity or if you wish to promote your grandma’s recipes or if you are looking to tell the whole world what is your dog up to these days well, Instagram is the place for you.
In today’s world, we often search for fame, but we forget that it is just a few right clicks away. We are living in a world where everything and anything can be trending. On a planet of 7 billion, one will always find 50 thousand people liking the same things as he does. But people fail to hit the targeted audience and lose their chance of becoming that viral content on Instagram.
The sole purpose of creating a site such as Instagram was to make money from such viral content, but the question here is how to find viral content on Instagram. Well, Instagram works on an algorithm which feeds on the things you have searched on your laptop or your phone, and once they know that they keep on popping advertisements of those products or links to the companies which sell those products or the people who are using that product.
Now, this whole process might seem simple at first, but it becomes very complicated once you want to search viral content on Instagram.
How to Create Viral Content?
1. High engagement from the audience:
It is statistically proven that the posts which get the highest number of viewers are those that engage the audience’s attention for a longer span. Now, this might seem obvious at first, but when you start creating content, content writers often fail to make the video or meme engaging for a long duration.
2. Create differently:
Now, earning money via Instagram isn’t what people start thinking about. When we want to find cute dog videos, we have around ten thousand accounts filled with silly dog videos. Now the thing to note here is that not all of those accounts have a successful followers rate. Still, the ones who have are those who post their dog videos differently:
- maybe their dog is in some costume,
- maybe their dog is training, or
- perhaps, their dog is fighting with their neighbour’s cat.
And that is what makes their accounts worth following.
3. The Next Step:
Once you have your super engaging different content, you need to be careful about the timings. You need to be cautious about the date and the hour at which you are posting – because if you are posting your Christmas special recipe in June, no one will watch it.
But once you manage these small details too, then no one can stop you from going viral on Instagram.
The Instagram algorithm keeps on changing as time changes. But Instagram will never change; it will always rank the most searched items and topics, and the hashtags will still work their way to the top. It is up to you to understand well what content you want to show and the audience you wish to target.
So, what are you waiting for? Get into your thinking cap and break the internet!
How to use Instagram for Lead Generation?
Lead generation on Instagram takes more than just a post here and a few hashtags there. Like every other aspect of marketing, Instagram marketing requires planning.
Lead generation through Instagram and other social media platforms goes a lot smoother when it’s incorporated into your marketing strategies. You should chalk out plans ahead of time for your Instagram campaigns, content, stories, and even hashtags to get the most out of your Instagram marketing efforts.
There is more than just one way of lead generation from Instagram. We will discuss all of them. But first, let’s see how to do lead generation using Instagram ads.
How to Use Instagram Lead Generation Ads?
This way of generating leads via Instagram ads is our hero today. Instagram ads have been widely used by many business accounts on the platform. An Instagram ad is a tool for promoting a business by use of creative designs, a post, or a story.
Instagram ads can let you know who is interested in your business by using a Call-To-Action (CTA) button in your ad. With millions of people spending time scrolling through Instagram, you have the potential to reach a massive audience directly and generate leads.
We will discuss in detail the steps involved in creating a lead generation ad on Instagram:
- You should first know that all of the Instagram ads are created in the Facebook Ads Manager.
- To create an Instagram ad for lead generation, create a new ad campaign. And select “lead generation” as the ad objective.
- Now you target your audience. You need to decide who sees your ad ultimately. It is suggested that a business should have an idea of the kind of audience they have so that it is easier to target them and the ad gets the maximum ROI.
- If you have existing data of leads or customers, you can use it as a source audience to create your lookalike audience.
- Next, you have to set your placement. To show your ads to the right people, you have two options:
- Automatic placements, and
- Manual placements.
Facebook recommends automatic placements. It allows Facebook to utilise your daily set budget to show your ads across multiple placements and platforms depending on whether it would likely perform better. But if you have a specific placement in mind (like in Instagram ads), you can focus on options catering to your requirements.
Below you will find various placement options to view and select from such as:
- Feeds,
- Stories,
- In-stream,
- Search Messages,
- In-article,
- Apps site, etc.
Explore through all of them to find a mix and match suited to your product and service that can lead to effective lead generation. On the right-hand side, you will have a preview of the placement options.
- Set your daily budget and schedule now. Schedule when you want your ad to display. There are two options available here:
- Either to run your ad continuously, or
- Set a start and end date.
Make sure to select ‘leads’ in ‘optimisation of ad delivery’ option.
- Now, choose ad format. You have two options here:
- Carousel ad format, in which two or more images and videos are displayed which can be scrolled, and
- Single Image or Video ad format.
It’s a creative decision of marketer which ad would display would be better for your product or service. Although carousel ads have been in trend for quite some, ‘less is more’ might work for your ad requirements.
- Now that you have chosen your ad format, start creating your ad text, add images video, etc.
- Write a headline and description for each ad placement option.
- On the right, you can see a preview of your ad.
- As lead generation is the main goal of your campaign, focus on offers you will provide to your prospective customers in exchange for their contact information. For example, you can say “SIGN UP TO GET 50% OFF ON YOUR NEXT VISIT.”
- The next step is to make a lead generation form that works for Instagram. Keep in mind that your questions should be short, crisp, and easy to answer. Avoid using open-ended questions like that might irk your potential customers and they might not complete the form.
Use pre-populated forms so that users can submit their information with ease. Make sure your lead ads do most of the work of filling contact forms so that there is a high completion rate of the lead forms. There are various lead generation forms formats available on the internet to refer to.
You can learn how to simplify lead generation in a cross-device world in this 15-minute Blueprint course from Facebook.
Image Source : later.com
When people finish signing up, make sure to add a “Thank you” page. Put your website link along that if you want to drive user traffic to your website.
Tips for Effective Lead Generation through Instagram
Now that you are aware of how to use Instagram for lead generation, let’s look at some highly effective tactics for optimal lead generation and various CTAs (Call to Actions) options for quality lead generation.
#1: Link in Bio
When creating your business profile on Instagram, keep in mind the following formatting tips to create a business-ready profile bio:
- Upload a good profile picture
- Create a well-written bio which provides information about your brand, what you do, your vision, and why people should engage with your brand
- Add your website link in the bio and add a CTA (Call to action) above the bio link.
- Keep the website link short and include your brand name on your website.
- Bio-Link should redirect to your website, and a lead-capturing form should be included with that.
You can make the most of the link in your bio and it can generate a good amount of high-quality leads. With a well-crafted bio, customers are likely to spend some time exploring your Instagram account.
#2: Use CTA in your feed posts to drive traffic
Using “Sign up” CTA might not be compatible with all sorts of products and services, therefore Instagram gives you different options to explore. For example: Learn More, Watch More, Shop Now, Book Now, Contact Us, Install Now, Sign Up, etc.
Depending on what you are advertising you can choose your CTA. You can get creative with different CTA provided by Instagram for effective lead generation. You can also choose from additional action buttons tied to third-party tools like Resy, Eventbrite, or Grubhub.
A strong call to action combined with the right content can be very productive in lead generation. Your content should entice them to click on “learn more” or “Shop now”. This is where a marketer’s creativity kicks in. Use your captions, stickers, and graphics wisely to direct your audience towards your product/service.
If you want to drive traffic to your website, create an effective landing page (see how?) with its URL shared on Instagram. You can then check your website analytics to see how users behave after they were driven to your website through Instagram.
Instagram is a visual platform and therefore eye-catching images and slogans are more important than text captions.
#3: Instagram Stories
Instagram stories are the most popular method of generating leads and have high efficacy rate. They have a strong call to action which is much easier for a follower to comply with.
Instagram used to have a swipe-up feature that was used by Instagram influencers, brands, and e-commerce websites and was quite popular amongst users. It allowed them to save these swipe-up stories in their highlights so that they could see it even after 24 hours. It was only available to users with more than 10k followers.
Example of Instagram swipe up story. Source : Plann.com
However, Instagram has replaced the swipe-up feature with link stickers as of August 30, 2021.
Here’s how it works now:
- Instead of swiping up, users tap a sticker in your Story to open a link.
- You can customise the text on the sticker (like “Shop Now” or “Read More”).
Who can use link stickers?
Initially, it was limited to accounts with:
- Over 10,000 followers, or
- Verified accounts.
But now, Instagram has expanded access — most users can add link stickers, even with fewer followers, as long as their account is in good standing.
As of now, most Instagram users can use link stickers, even if they don’t have 10,000 followers or a verified badge. Link stickers can be used by users who have:
- Personal, business, or creator accounts
- Accounts that do not repeatedly share misinformation, spam, or hate speech
- Users who follow Instagram’s Community Guidelines and Terms of Use
New accounts (sometimes there’s a waiting period before the feature becomes available) or accounts that have violated Instagram’s rules (e.g., flagged for spam or harmful content) cannot use link stickers. If you don’t see the option yet, make sure:
- Your app is updated.
- You’re not violating any policies.
- You’ve had the account for a reasonable amount of time.
#4: Using Embedded Links in Post
With the advent of new social media platforms, marketers like to think out of the box strategy for not just brand promotion but also lead generation. Link embedding is one of the popular strategies for e-commerce websites for marketing and lead generation through Instagram.
Although it does not help directly in lead generation but it can help you build more customers.
Link embedding can be used not just in Instagram ads but also in regular posts. You must be approved for Instagram Shopping and have completed setup before being able to tag products in your posts. Before you can avail of this feature you must be reviewed and approved for Instagram shopping.
Check if you are in a market that is listed by Instagram. Click here.
To create an Instagram post embedded with website links, follow these steps.
- Set Up Your Instagram Account as a Business Account
- Set a Shopify Account
- Connect Your Shopify Account to Your Facebook Page Product Catalog
- Add Products to Your Facebook Catalog
- Upload Your Instagram Image
- Tag Products
Even if a tap does not result in a buy, you can consider it a lead collected from an interested customer. From there on you can target ads to customers who have engaged. Instagram has more than 130 million accounts that tap on product tags every month.
#5: Instagram Promotional Contests
Promotional Contests can be creatively used to create brand awareness and generate leads. Promotional contests have a clear CTA i.e. to register for their contest and therefore generate a lot of leads.
A contest should be easy to register for. It should not be overcomplicated and ask for too many unnecessary details as followers might get turned off. For example: Ask them to complete a simple survey or comment on the post to win exciting prizes and offers.
Lesser the confusion, more lead generation through Instagram.
#6: Instagram Influencers
Instagram influencers have a very high following of loyal audiences and fans and have the power to sway them to your brand/product. Brands, especially fashion brands often collaborate with influencers on Instagram to increase their brand credibility and trust.
As a marketer, you can feature your popular products being used by their favourite influencers thus directing their fans towards your brand, which might turn out to be an effective lead generation strategy.
What’s New in Instagram Lead Generation Ads? [2025 Update]
In 2025, Instagram continues to roll out powerful tools and features that make lead generation smarter, faster, and more engaging. If you’re wondering “What’s new in Instagram ads for lead generation in 2025?” or “How to generate leads effectively on Instagram now?” — this update brings you fully up to speed.
1. Instagram Lead Forms Now Built-In with Business Profiles
Wondering How to add a lead form on my Instagram profile. You no longer need to rely solely on Meta Ads Manager now.
Instagram Business Profiles now come with built-in lead forms that can be added as contact options directly on your profile. Visitors can fill out interest forms without leaving the app — increasing form completions and cutting bounce rates.
2. Smart Targeting with Meta Advantage+ AI
Instagram Ads now use Meta Advantage+ Audience Targeting, which auto-optimises who sees your ads based on intent signals, engagement behaviour, and your past campaign performance. Even without detailed manual targeting, you can now let Meta’s AI find high-converting leads for you.
3. Click-to-Chat Ads Now Support WhatsApp + Instagram DMs Seamlessly
WhatsApp is part of the Meta world now. Hence, we get better integration between Instagram and WhatsApp. Click-to-Chat ads now allow users to message your brand on Instagram DMs or WhatsApp based on their preference, without needing to switch apps. This is ideal for service-based businesses and B2B lead generation.
Also, it’s fully integrated for faster response and higher engagement.
4. Instagram Reels Ads Support Lead Forms with Tap-to-Signup
You can now run Instagram Reels Ads with an embedded lead form, allowing users to tap and submit their contact information instantly. Since Reels remain the most engaging format, combining them with a lead form means more conversions.
5. Link Stickers enhanced with UTM Tracking and Mini Previews
The Link Sticker in Instagram Stories (now available to all accounts) has been upgraded. Now, it supports:
- Custom UTM parameters for tracking
- Mini URL previews to boost click-throughs
- Multiple link stickers per story frame
You can now better track exactly which stories are converting into leads.
6. Auto-Sync with Leading CRMs and Email Platforms
Leads captured through Instagram forms now sync automatically with CRMs like Zoho, HubSpot, Salesforce, and email tools like Mailchimp or ConvertKit — no third-party tools needed. This real-time CRM integration for lead nurturing boosts conversions.
7. Mini Landing Pages Within Instagram (New in 2025)
Instagram is testing in-app landing pages for lead capture. These are fast-loading, single-screen pages with image/video, brief copy, and a lead form — all without redirecting users outside the app. Early testers report higher form completion rates compared to traditional landing pages.
Bonus: New CTA Buttons for Instagram Ads
Instagram now offers fresh call-to-action buttons like:
- “Get Estimate”
- “Request Callback”
- “Apply Now”
- “Schedule Visit”
These cater to high-intent leads across real estate, finance, education, and e-commerce sectors.
Conclusion
While the list of tactics is endless as Instagram is constantly evolving and is introducing new features to keep up with, these tips will give you an overall perspective on the importance of Instagram ads for lead generation.
There is no doubt that Instagram is a vogue social media platform, even more than Facebook or X (formerly known as Twitter). In past years, Instagram has seen higher conversion rates than any other social media platform. Despite not being a platform that gives you higher flexibility to attach links to your post, we cannot undermine the importance of Instagram ads.
With platforms that are more youth-oriented like Instagram, there is an untapped terrain of social media marketing. Marketers can get creative on how to use any of the above-mentioned tactics in an unconventional manner rather than focusing on just “sign up” CTA for lead generation through Instagram.
Do you have any other queries related to Instagram Ads? Let us know in the comments below.
Read Also – Lead Generation: Organic Leads v/s Paid Leads
