Instagram wants to be a shopping Hub

Instagram aims to make in-app checkout store from where users can buy clothes, tea and slim. Yet, the app have more plans than having an e-commerce store.

Current Boss of Instagram, Adam Mosseri, explained his plans in an interview with Finnancial Times He stated that he wants to connect the dots between retailers, sellers, buyers and Instagram-new-talent.

Mr. Mosseri further said that the feature of checkout and shopping is introduced in Europe and America only. By using these features, a seller or retailer can connect their shopping website with the Instagram account and user on clicking the button of shop now can visit the website directly and shop from there. However, the head is planning to make the in-app checkout more convenient in which user can shop directly from Instagram instead of visiting the website. It is the e-commerce strategy of Instagram which is being used to earn money by connecting with PayPal. According to this strategy, home address and credit card number would be stored on Instagram which will be used to make purchase easily without passing through different tabs and process. Yet, it is important for a retailer to have Facebook Shop approved.

Thus, the plans are expanded to the inclusion of features of shopping bags where users can store potential purchases so that they can buy them later.

The core of e-commerce strategy is ad targeting. The ads of retailers is targeted to every users according to their shopping patterns. Mosseri’s strategy is similar to Facebook. Facebook targets each of its advertisement to its specific user after analyzing their profile.

In Q1 earning call, CEO of Facebook has also confirmed that the company is making more tools to let people buy from the app directly.

Photo: Bombuscreative via Getty Images

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