In a recent press release, Instagram announced the ability to sell products directly through a post. At first, the new functionality will be tested and only available for a select number of brands. If Instagram’s test proves successful and expedites the buying process (which has been proven to increase sales conversions), we could see an influx of brands and “influencers” rushing to take advantage of this new form of “Frictionless Commerce.”
Of course, for retailers there will be multiple questions to consider:
- With all the data breach concerns (Facebook is the parent company to Instagram), how will they ensure the personal data of their customers is safe?
- How will brands need to adjust their manufacturing to ensure they can meet customer demand?
- How will brands manage logistics as customers have grown accustom to getting shipping for free and delivered in less than 2 days with Amazon?
- The biggest question still lies with Brick and Mortar locations. Will this continue to move sales to be more online away from retail locations? Or could this evolve to allow pick-up in store through an Instagram purchase?
As retail continues to evolve and the desire for customers to buy what they see, it is imperative for brands to stay ahead of the curve. In this case, retailers will need to ensure they are dedicating the time need or bring in the proper resources to ensure they are getting the most out of these or any new/disruptive solutions.