Social media or Web 2.0 new generation of internet application explores the aptitude and potential of this application as influences of consumer behavior and marketing instruments. Social media application can be used in two ways: as “passive marketing tools” i.e. as sources of market intelligence, as “active marketing tool” as the platform of communication/promotion customer interaction and customer feedback. Social media and Web 2.0 application of an effective and low-cost tool for strategies marketing instruments substantially support marketing operations in the virtual and physical marketplace. Web 2.0 redefined a way people use information and communication services. Web 2.0 enabled the global proliferation of a social networking which again is a foundation for social media marketing. This paper main purpose is to define Web 2.0 technology as strategic marketing instruments in social media marketing and also define the strategy of social media marketing.