February 13, 2018
Over the last few weeks we’ve seen copious amounts of updates from Instagram, and just last week the platform announced that it has been testing a new way to enable brands to push purchases on the platform, in the form of ‘Collections’ ads. We first saw ‘Collections’ campaigns on Facebook, an ad format that combines video and immediate response advertising that drives users to purchase items straight out of the brand’s ad without even leaving the comfort of Facebook.
Of course, the first brands to test out this new Insta ad format are beauty and fashion retailers, where this type of catalogue format works perfectly. With over 200 million people following fashion related accounts, it would be silly not to try and push these users to purchase.
In a recent update from Snapchat we saw them testing out in-app store purchases of its own Snap products, and one can only wonder if this is Instagram trying to beat Snap to the e-commerce finish line. Both social networks currently let brands link to purchase outside the apps, but it doesn’t feel like we’re going to have to wait long for the opportunity to set up shop on Instagram, an update that could see an increase in sales and higher levels of brand engagements.
According to eMarketer it’s estimated that worldwide Instagram ad revenues will grow from $4.10 billion in 2017 to $10.87 billion by 2019. Instagram’s foray into e-commerce could be just the ticket for brands wanting to find new and meaningful ways to connect with consumers, and with data company’s claims that 30% of all social media users across the world will be on Instagram in the next four years, it’s definitely the platform to be found.