How Instagram Checkout Enhances E-Commerce Sales and Engages Users

In addition to the Instagram Shopping feature that is currently available in the app, Instagram recently rolled out Instagram Checkout. Checkout allows customers to complete purchases in the app itself without being redirected to a web browser. This is just one of the many new ways that Instagram is helping businesses promote their e-commerce store within their app.

Keep in mind that in order to implement these features for your business you need to first make sure that you have an Instagram Business account.

Instagram has made it its mission to make shopping a pleasurable experience when using their app. They want to make things easier for their users which is why they have worked on enhancing the shopping experience.

Over the last year, they have introduced a number of updates geared specifically towards people that love Instagram and that love to shop. Instagram Checkout is their latest update.  

An Introduction to Instagram Shopping

With the introduction of Instagram Shopping in February 2018, brands were able to include product tags in their posts, product stickers in Stories and a shopping destination in Explore.

If customers wanted more time to decide they could simply add it to their saved posts and revisit it later.

However, if they wanted to purchase it immediately, once they tapped on the tag, they would be redirected to a web browser where they could then complete their purchase.

Since it was introduced last year over 130 million Instagrammers have been tapping product tags in Shopping posts every month.

What is Instagram Checkout?

Instagram Checkout simplifies the Shopping experience by eliminating some steps for the customer while also adding a layer of security. Instead of being redirected to a web browser, customers will be able to complete their purchase within the app.

Customers simply have to tap the “Checkout on Instagram” button on the product page, select the size and/or color that they want, and then enter their information. They’ll only need to enter their name, email, billing information and shipping address the first time they checkout.

After that their information is securely saved for a faster checkout experience the next time they purchase and users can even add a PIN for purchases to make their Instagram accounts even more secure.

Customers will then get shipping and delivery notifications right in the app.

How to Utilize Instagram For Your Business

There are a lot of potential customers to tap into for Instagram Checkout for businesses.

Let’s break it down:

1. 36% of Instagrammers surveyed in the U.S. say that they love to shop and consider it a hobby.
2. 70% of shopping enthusiasts turn to Instagram for product discovery.  
3. 500 million accounts access Instagram Stories daily.
4. 1 billion people use Instagram worldwide as of last year.

That is a lot of potential; all you need to do is make your products accessible to them.

By simplifying the process Instagram has made it easier and more convenient for people to shop directly in the app. This enhances the customers’ buyer’s journey by making shopping as easy as a couple of taps in the app, an app that they are already using and familiar with.

While in the beta testing stage customers can only purchase one item at a time but Instagram is hoping to implement a multi-item checkout cart at a later date.

The easier you make it for your customer, the higher your chances of conversion are and the added convenience of in-app purchasing keeps them coming back for more.

Implementing Instagram Checkout

Currently, Instagram Checkout is in closed beta testing for a select group of brands throughout the rest of the year. The full list of brands is unknown however Instagram announced that the brands listed below have begun implementing it or will begin using it in the coming weeks.

• Adidas – @adidaswomen & @adidasoriginals
• Anastasia Beverly Hills – @anastasiabeverlyhills
• Balmain – @balmain
• Burberry – @burberry
• ColourPop – @colourpopcosmetics
• Dior – @dior
• H&M – @hm
• Huda Beauty – @hudabeautyshop
• KKW – @kkwbeauty
• Kylie Cosmetics – @kyliecosmetics
• MAC Cosmetics – @maccosmetics
• Michael Kors – @michaelkors
• NARS – @narsissist
• Nike – @niketraining & @nikewomen
• NYX Cosmetics – @nyxcosmetics
• Oscar de la Renta – @oscardelarenta
• Ouai Hair – @theouai
• Outdoor Voices – @outdoorvoices
• Prada – @prada
• Revolve – @revolve
• Uniqlo – @uniqlo
• Warby Parker – @warbyparker
• Zara – @zara

While they are currently focused on more established brands they do hope to expand the service in the future.

If you are interested in utilizing Checkout fill out the Instagram Checkout Interest Form in order to be contacted when they are ready for a wider release.

Conclusion

While established brands are sure to get a boost by using the Checkout feature it could also potentially boost the sales of smaller brands or independent sellers.

Instagram still has not disclosed how much the selling fee is for merchants however this might be a good alternative for businesses currently using other marketplaces with high or increasing transaction fees.

This is still fresh off the presses, having only rolled out a week ago, so we’ve still got a ways to go to see how effective this update is.

If you have questions about social media marketing, whether it’s about Instagram, Facebook or any of the other platforms, feel free to contact us here at Chatter Buzz Media or call us at 321-234-0559.