# How to Use Hashtags Effectively on Instagram
For Australian small businesses, Instagram is no longer just a place for pretty pictures; it is a powerful discovery engine. Hashtags are the digital 'filing system' that helps the Instagram algorithm understand what your content is about and, more importantly, who should see it in their Explore feed or search results.
Using the right hashtags can be the difference between your post being seen by a handful of existing followers or reaching hundreds of potential new customers in your local area. This guide will show you how to build a hashtag strategy that actually drives results for your business.
Prerequisites
Before you start, ensure you have:- An Instagram Business or Creator account (this allows you to see 'Insights').
- The Instagram app installed on your smartphone.
- A basic understanding of who your target Australian audience is.
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Step 1: Understand the Three Pillars of Hashtags
Before you start typing, you need to categorise your hashtags. A successful post uses a blend of three types:- Community/Niche Hashtags: Specific to your industry (e.g., #BrisbanePlumber, #AussieSmallBiz).
- Branded Hashtags: Unique to your business (e.g., #YourBusinessName).
- Location Hashtags: Crucial for local SEO (e.g., #VisitBrisbane, #SouthBankEats).
Step 2: Research Your Local Competitors
Open the Instagram search bar and look up 3-5 successful competitors in your local area. What to look for: Look at their most recent posts. Which hashtags are they using consistently? Don't just copy them, but note which ones seem to be generating high engagement (likes and comments).Step 3: Use the Instagram Search Tool for Discovery
Tap the magnifying glass icon and type a broad keyword related to your business (e.g., "Florist"). Tap the 'Tags' tab.- Screenshot Description: You should see a list of hashtags starting with your keyword, along with the number of posts associated with each.
- The Strategy: Aim for a mix. If you only use massive tags (like #Flowers with 200 million posts), your content will be buried in seconds. Look for tags with 5,000 to 100,000 posts where you have a better chance of 'trending'.
Step 4: Prioritise Location-Based Hashtags
As a local business, your goal is to be found by people in your service area. Use specific Brisbane or regional tags.Instead of just #Cafe, try:
- #BrisbaneCafe
- #BrisbaneFoodie
- #WestEndBrisbane
- #MeanjinEats
Step 5: Determine the Right Number of Hashtags
Instagram allows up to 30 hashtags per post. However, recent data from Instagram suggests that 3 to 5 highly relevant hashtags may be more effective for the algorithm to categorise your content. The Local Marketing Group Recommendation: Use 10-15 hashtags. This provides a balance between giving the algorithm clear signals and casting a wide enough net to be found in various searches.Step 6: Create Hashtag 'Sets' for Different Content Pillars
Don't use the exact same list for every post. Create 3-4 different sets in a Notes app on your phone. For example, a Brisbane-based gym might have:- Set A (Workout Tips): #FitnessTips #BrisbaneGym #PersonalTrainerBrisbane #AussieFitness
- Set B (Client Success): #WeightLossJourneyAU #BrisbaneCommunity #TransformationTuesday #LocalBusiness
Step 7: Place Hashtags in the Caption or First Comment
There is a long-running debate about where to put hashtags. Currently, Instagram's head of platform suggests putting them in the caption for better SEO.To keep it tidy, add a few line breaks or dots after your caption so the hashtags are hidden behind the "more" button.
Step 8: Use Hashtags in Instagram Stories
Don't forget Stories! You can add one clickable hashtag sticker or type up to 10 hashtags using the text tool. Pro Tip: If you don't want the hashtags to ruin your Story's aesthetic, you can shrink the text until it's tiny or hide it behind a sticker or an image element. They will still be searchable!Step 9: Monitor Your Insights
After your post has been live for 24 hours, tap "View Insights" under the post.- Screenshot Description: Scroll down to the "Reach" section. You will see a breakdown of where your views came from. Look for the "From Hashtags" metric.
- Action: If this number is low, your hashtags might be too broad or too niche. Adjust your next post accordingly.
Step 10: Engage with the Hashtags You Use
Instagram is a social network. After you post, click on one of the hashtags you just used. Spend 5 minutes liking and commenting on other recent posts in that tag. This increases your visibility to people interested in that specific topic.---
💡 Pro Tips for Success
- Keep it relevant: Never use trending tags that have nothing to do with your photo (e.g., using #WorldCup just because it's trending when you are selling shoes). This confuses the algorithm.
- Check for 'Banned' Hashtags: Sometimes Instagram hides posts for certain tags if they've been flagged for spam. If a tag shows "No recent posts," avoid it.
- Capitalise for Readability: Use 'CamelCase' (e.g., #BrisbaneSmallBusiness instead of #brisbanesmallbusiness). This makes it easier for humans to read and for screen readers used by the visually impaired.
❌ Common Mistakes to Avoid
- Using #FollowForFollow or #LikeForLike: These attract bots and low-quality accounts that won't actually buy from your business.
- The 'Wall of Text': Putting 30 hashtags at the very top of your caption makes your business look spammy. Always put the value (your caption) first.
- Ignoring Local Tags: Many Aussie businesses forget to mention their suburb or city, missing out on the most relevant local traffic.
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Troubleshooting Common Issues
"My 'From Hashtags' reach is zero." You might be 'shadowbanned' or simply using tags that are too competitive. Ensure you aren't using the same 30 tags on every single post, as Instagram may flag this as automated behaviour. Try using only 5 very specific tags on your next post to see if reach improves. "I can't think of enough hashtags." Use a tool like 'Display Purposes' or simply look at the 'Related' hashtags that appear at the top of the screen when you search for a tag on Instagram. "The hashtags look messy on my professional page." Focus on quality over quantity. Use 3-5 tags and integrate them naturally into your sentences (e.g., "We love being a #BrisbaneFlorist!").---
Next Steps
Now that you've mastered hashtags, it's time to ensure your profile is ready to convert those new visitors into customers. Check out our guide on Optimising Your Instagram Bio for Local Search.Need a hand with your social media strategy? The team at Local Marketing Group is here to help Brisbane businesses grow. Contact us today to chat about a tailored strategy for your brand.