For the small businesses that exist and depend solely on the app, selling on Instagram could indeed be great. It is because they won't have to pay for domain name, hosting, shopping cart software, etc. Another additional benefit is
not needing to pay for payment gateways which are necessary to process online payments, as all payments are processed onsite or in-app.
Nevertheless, this will certainly be a powerful tool in any businesses' marketing armoury. Especially, since the platform has replaced word-of-mouth for some small businesses.
The ones who don't opt-in, Instagram still stays a great advertising platform. For example, the insta-plant queen
DirtQueenNYC will not be adding the new Checkout feature because for her, the face-to-face experience is very important.
What Instagram shopping feature means for the seller?
- Having an ever growing platform of users
- Increase in sales
- Easy onboarding and payment processing
- Additional sales channel
- Having the benefits of Instagram's great UI and UX
What Instagram shopping feature means for the customer?
- Single platform for all steps of shopping
- Intuitive payments process
- Easy and simple information input
- Great digital experience
How will Instagram checkout impact the ecommerce ecosystem?
With the new feature, Instagram is stepping on a territory that has traditionally been dominated by the likes of
Shopify, Squarespace and Wix. Instagram will now be circumventing the visit to the external platform and keeps the transaction within the app from start to end. This means that Checkout could potentially steal traffic away altogether from the Shopify platform. This also applies to merchant's ecommerce website so they might find themselves not investing in a website infrastructure at all and focus their resources on growing the Instagram business.
What will determine the way forward is the cost of driving traffic to website V/S sale conversion and cost of driving traffic to Instagram V/S sale conversion.
Finally, if you're interested in how Instagram Shopping works, and if it's a good fit for your brand, it is not difficult to set up the account and add the shopping feature. First, you have to be in some of the following countries:
- United Kingdom
Then, you need to set up a Business Profile on Instagram. Your Instagram business profile must be connected to a Facebook Page. The rest is easy, tagging products is just like tagging friends but you can check all of the details
Tags: INSTAGRAM • CHECKOUT • INSTAGRAM CHECKOUT • PAYMENTS • ECOMMERCE • ONLINE • SALES • SHOPPING