Instagram Shopping: Facebook's attack on Amazon
Instagram becomes a sales platform - a digital showcase for products. The Instagram shopping function has already become a success in the US and now has been introduced to Germany as well as seven other countries:
Brazil, Australia, Canada, Italy, France, Spain, United Kingdom.
Some perceive Instagram Shopping as a serious attack on Amazon. Due to the large reach of Instagram alone, small companies & large corporations alike have direct access to potentially 800 million buyers. Both sellers & buyers benefit from reducing the buying process to just a few clicks. This turns a digital storefront into a highly effective sales platform. That could fundamentally change the role that Instagram will play for suppliers & buyers in the future.
Shopping convenience & ease-of-purchase
Instagram is just one of many channels that play an important role in modern merchandising. However, characterized by its user-friendliness Instagram customers recognize contributions with a shopping function through a white grocery bag, which is located in the upper right corner of the picture. Instagram shopping works on their mobile app only - for the moment...
To sell directly through Instagram, a vendor needs to meet the following prerequisites:
- Connecting a Facebook catalog - The catalog itself can be created on Facebook, in the Business Manager or via the BigCommerce or Shopify platforms
Shortening the Customer Journey
The new Instagram shopping function significantly shortens the customer journey. Two clicks are enough to land directly from Instagram to the desired product in the shop of the merchant. Instagram shopping brings a distinct advantage to companies that sell products. Until now, users could use the Instagram platform as an inspiration for buying products - but in order to buy a pictured product, they had to look for it cumbersome on the Web and in the shop of the provider.
- According to BigCommerce, merchants in the US saw significant increases in traffic as well as sales as a result of the introduction of Instagram Shopping
- According to Instagram itself, 80% of all Instagram accounts follow a company
- 60% of all users hear about new products through the platform
"After the introduction of shopping on Instagram, traffic increased by 25% and revenue by 100% after a few weeks. Because of the sheer number of users, the platform is ideal for reaching our target group"
Ken Natori, President Natori Fashion, New York
To fully exploit the potential of the new Instagram shopping experience, it's important to grab users' attention and create a fun as well as consistent shopping experience.
Here are some some tips:
- Publish at least nine shopping articles: only then the "Shopping Button" will be activated.
- Using Instagram Stories: You cannot sell in Instagram Stories yourself. Do not forget a call to action, which refers to the possibility of a purchase.
- Sync your Instagram account and landing page: The more consistent the design of your online shop, the more likely it is for the user to remember a consistent shopping experience.
- Choose suitable hashtags: Relevant hashtags increase awareness in your target audience.
- Encourage Interaction: Instagram rewards comments with better visibility - more than likes. Therefore, encourage users to ask questions or to tag a friend.
- Test different formats: The carousel function tests for the best choice continuously.
- Keep your data feed tidy: In order for Instagram Shopping to work smoothly pay attention to proper linking and labeling.
Instagram is not the only social media platform that attracts attention with a new shopping feature. Concurrently, Pinterest introduced the shop-the-look function in Germany. However, its features are not aimed directly at companies, but at influencers and bloggers.
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