BLOG 5 Transformations Instagram Checkout Will Bring To Your Social Media Strategy

Published: Jun 12, 2019 6 min read
Reading Time: 6 minutes

Source: Digital Agency Network

Instagram has recently released a new function—Instagram Checkout.

Users can now shop and proceed to check out the items without leaving the app. With the launch of this new function, Instagram is evolving into a marketplace, instead of being “just” a great social media platform.

By keeping users in the app during the whole purchasing process, it encourages impulse buying from customers. This can in turn boost conversion rates and give brands even more reasons to advertise on Instagram. Brands are likely to be more generous on boosting shoppable posts on Instagram if Checkout leads to more purchases…

Before sharing with you 5 transformations we expect the new function will bring to your social media strategy, here’s everything you need to know about Instagram Checkout.

How will it appear on your phone?

Image source: Instagram Press

Users who frequently tap on the Shoppable Tags will find Instagram Checkout familiar. You will be able to find them on your Feed, Explore and Stories. At the moment, Instagram is still testing this new function, so it’s only open to a limited number of brands and only visible to users located in the United States.

What is the difference in the shopping experience for users?


Image source: Instagram Press

  • When you tap on photos, a Shoppable Tag will appear as usual. However, clicking on the Shoppable Tags will direct you to the page with CTA “Checkout on Instagram”. Users are freed from clicking “View on Website” and will not be directed to the shopping page of the brand.
  • Instagram Checkout also saves users’ effort and time during payment. A lot of online shoppers find it inconvenient when they try to purchase various products as they would need to enter their name, card number, billing address, etc. every time. But Instagram Checkout will save their payment information after the first usage. This will speed up the checkout process and lower the chance of customers getting frustrated by re-entering payment information.
  • The new function also allows product tracking within the Instagram app. Rather than remembering all the tracking number and logging into different brands’ account, customers are able to track all their orders in the app. On top of this, they can also contact the seller, or cancel and return the products.
  • Lastly, Instagram will send out notifications to buyers about the status of their order. Users no need to check every day to see if it’s already shipped out.

What are the possible ways to pay on Instagram?

Instagram already announced that Master Card, Visa, and PayPal are available for Checkout. Other e-commerce platforms such as Shopify and ChannelAdvisor will also be integrated.

5 reasons why Instagram Checkout is important to brands.

We foresee 5 possible changes brought to your brand’s social media strategy by Instagram Checkout.

1. It will affect how you run your Ads campaign.

You no longer need to use multiple platforms, such as Instagram and Facebook, to drive traffic to your website. Driving sales from one platform is possible, and we expect Facebook to push out new ads format i.e. buying directly on Ads with Checkout.

2. It’s easier to track the performance of your ads and posts.

We predict a more user-friendly way of tracking the customer journey from the first to the final stage of purchase. You can save the back and forth between your e-commerce, Facebook Insights, and Google Analytics.

3. There is a chance that Instagram might develop its own payment method for Checkout

Although Instagram has announced various payment methods integrated into the Checkout function, we won’t be surprised if Instagram created its own payment solution to amplify their revenue.

4. You will need to reorganize how your company utilizes social media to drive sales

Customer relationship management, social media, and e-commerce team will have to join forces and re-examine their way of handling social media for the purpose of driving sales.

5. Influencer marketing is going to evolve.

Instead of being sponsored to promote a product, influencers will be able to receive commissions based on their direct contribution to the sales. Facebook is also developing Brand Collabs Manager to build a bridge between brands and influencers.

If you’re new to influencer marketing, here are 3 steps to guide you through your influencer campaign:

Driving sales is not the only goal you can achieve with KOLs. You can also achieve other objectives such as raising brand awareness, acquiring new fans, generating leads, etc.

When selecting influencers, there are other important elements to consider on top of audience size. Quality of the audience and content are what you should look out for when selecting KOLs for your brand.

After defining your campaign goals and choosing the suitable influencer, you need to properly activate the KOLs as well. Bear in mind that building the right incentive and implementing win-win partnership is the way to go.

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