Instagram has become arguably the most interactive social media platform when it comes to eCommerce. With in excess of a billion users, the platform is considered to be amongst the most effective sales tools going forward. Brands can generate over 4 times more interactions on Instagram compared to Facebook. 80% of Instagram users discover new products on the social media platform.70% of those users are under 35 which means it provides a captive audience of young people around the world. A similar 70% of American businesses use Instagram and the result is that 70% of hashtags are branded. According to parent company Facebook, Instagram helps 80% of users in making buying decisions.
Regulars would notice the platform has introduced Instagram reels to adapt its user interface. They also introduced a shopping tab on the platform, innovatively called Shop. The tab will enable users to find brands and encourage social shopping channels through the platform. Users can shop for products according to categories by scrolling. It also comes with a personalized suggestion section for users. Instagram plans to give users exclusive product launches going forward. The company’s other eCommerce feature Checkout also has a big presence on Shop. Checkout allows brands to have their goods available to users for browsing, purchasing and shipment via Instagram applications. The charges is a 5% selling fee for this.
Lastly, Instagram Live is also expanding its live shopping experience. This is amid the success of Instagram during the recent lockdown. The company has begun to explore a means whereby brands can showcase products in a live video. Customers would be able to highlight desired products and then purchase them. This is already available to Instagram users in the United States. This is a matter of a long term strategic competition for Instagram. Asia, especially China seems to be further ahead with incorporating live video into the online buying process.