Instagram's new social commerce strategy allows consumers to purchase straight from embedded links – improving customer experience and broadening market reach through the social media platform.
E-commerce expert Tryzens said that as of this week, Instagram has opened up its in-app shopping feature to businesses in Australia, the UK, France, Germany, Italy, Spain, Brazil and Canada.
It said this will make it easier for brands to direct shoppers to their e-Commerce store-fronts without compromising on the time users spend on the app itself.
Tryzens CEO, Andy Burton, said the move offers a “golden opportunity” for Aussie retailers to reach a larger share of the market and increase customer loyalty.
“This is great news for anyone trying to reach the market effectively through a channel they are already familiar with, and is arguably something that is long overdue.
“Instagram is already used to great effect by retailers and brands looking to communicate with and engage with consumers, but the challenge is that it can be difficult to tempt Instagram’s users off the site and therefore convert ‘likes’ into sales.
“The introduction of ‘shoppable’ tags solves this issue by removing friction from transactions. This could provide an important tool in the kit-bag of retailers looking to extend market reach, build awareness in the market and simplify conversion for consumers who are [sic] face so much choice online.”
Mr Burton said Tryzens’ research suggests that 85 per cent of Millennials reach for their smartphones first when making purchases via the internet.
“And with 500 million people using Instagram each day, the market potential for retailers to capitalise on this move is huge.
“By working with Instagram, retailers will be able to reach the largest possible audience, who can purchase an item in a matter of seconds due to advancements in simplified payments on websites from the likes of Apple Pay, Android Pay, and PayPal.”
Mr Burton said retailers should consider the potential strain a large volume of Instagram visits and/or purchases can have on their marketing stack.
“As more celebrities and influencers start featuring products, a curated Instagram feed is set to become an essential ‘converting’ marketing channel.
“In the fast-paced world of social media, where a posts’ [sic] lifespan can only be a few hours long, being agile enough to monetise on the value of a post is key.”
Mr Burton said there is a “logical” excitement around Instagram's shoppable content.
“I am sure we will see further advances in the market as [a] whole as additional ways to connect user and brand generated content with an intuitive, immersive and efficient shopping experience come to the fore.”