Brands want to control the shopping experience – The shopping experience on social falls a long way short of where it needs to be for many brands. There are three core reasons behind brands trying, then rejecting social checkout: Instagram also waived its usual 5% seller fee for these launch partners, but this still wasn’t enough to get them to stay. Brands leaving Instagram checkout include Michael Kors, Prada, Dior, Balmain, and Uniqlo. Today, almost one quarter of those launch partners no longer use Instagram Checkout, but direct traffic to their brand eCommerce stores instead. When Instagram launched its checkout feature in March 2019, an A-list of 26 brands were featured prominently as early adopters including Adidas, Burberry, Dior, H&M, Kylie Cosmetics and Prada. Given this, it’s clear why the social networks sought a different revenue stream from online shopping that would also help to drive advertising sales. Very few companies have this data and the consent to use it, and it is a great basis for targeting advertising in a post-cookie world. As cookies become progressively more problematic for targeting advertising, first party data is pure gold: Because the networks are used by multiple brands, they can build a rich consumer profile of each consumer as they shop across different product categories and brands. The social networks’ motivations for wanting to convert sales within their platforms stems from their avaricious desire for customer data. Now in 2022, Meta is once again pulling back. Then in 2014, Twitter and Facebook again launched ‘buy buttons’ but then subsequently killed them. The screenshot on the right shows what it looked like in 2011. We’ve been talking about the intersection between social (where customers spend their time) and ecommerce (where customers go to shop) for more than a decade. Let’s dig a bit into what went wrong, why shopping at the edge is here to stay, and how it is different than Instagram and other social media platforms originally envisaged it. According to media reports, Instagram is shutting down its Shopping page and replacing it with a simpler, less personalized version. The news that Meta’s Instagram will pull back from its drive into online shopping confirms what many have seen as inevitable for some time. Charles Nicholls, chief strategy officer, SimplicityDX
0 Comments
Leave a Reply. |
AuthorWrite something about yourself. No need to be fancy, just an overview. ArchivesCategories |