What the New Instagram Updates Mean For eCommerce Brands

As some of you may have already heard, Adam Mosseri, Head of Instagram made a video about some of the changes coming to the platform. A few areas of focus include Creators, having to do with the shift of power from institutions to individuals across industries, Video, which has shown to be driving a huge amount of growth for all major platforms. Shopping, as the pandemic accelerated the shift in commerce from in-store to online, the fourth is overall Messaging. 

The first change Mosseri went more in-depth about is that Instagram no longer wants to be considered a photo-sharing app. He shared that the data has shown that users come to Instagram to be entertained. Since video content is trending, they are looking to lean more into that trend. 

Within the next couple of months, Instagram will begin to experiment with recommendations, showing users things in your feed that you may not be following yet. This week was a new version of testing with topics where the user can specify what topics they want to see more or less of. They will also be experimenting with how to embrace video more broadly, for example, full screen,  immersive, or entertaining mobile-first video. 

So what does all of this mean for eCommerce brands?

How will these changes in focus affect your metrics and reach? Let’s talk about it. 

We cannot of course precisely predict the ultimate outcomes. However, we can break down what this could mean for E-commerce businesses and how they can benefit from these changes while staying ahead of the trends.

First, let’s talk about the Creator comment. Most eCommerce brands know by now the importance of influencers and the major impact they are having in all industries. The more social platforms support influencers and creatives, the easier it will be for eCommerce brands to find the right influencer fit for them simply because there will be a larger pool of influencers to choose from. According to TREND, “Potential for higher ROI: Micro-influencers cost a lot less because they have smaller followings. Because of that, you're more likely to see a better return on your money. Micro-influencers get 47% more engagement on their posts compared to macro-influencers, putting your brand in front of more interested shoppers.”

Now let’s talk about video because that was what was discussed most in-depth. 

Video is trending, there is no doubt about that. According to Internet Retailing, 2020 - click-through and conversion rates of shoppable videos have surpassed display advertising. As an eCommerce brand, it is important to invest time into your video marketing strategy. With in-app purchase capabilities rising and the number of organic reach, videos are getting now - this is a huge opportunity for brands looking to expand organically. One of the features Adam mentioned Instagram will be experimenting with is recommendations. This means that the “algorithm” could be favoring video content. 

Things you want to be sure to consider when creating your video content:

• Pay attention to trending video styles and challenges. If one can be applied to your product, do it! It doesn't have to be perfect. In fact, perfection can be a trigger for today’s consumers. 

• Use music/audio that is platform-friendly. Using music that the app itself has available ensures you won’t run into any issues after posting, such as flagging or removing your audio altogether.

• SEO. Optimize your copy. The charter limit in your video copy is prime real estate. Get really good at nailing down your copy while using keywords to your product (keep in mind the keywords your customers are using to find products such as yours)

• Categorize correctly. With the most recent announcement mentioning that Instagram is testing the offer of topics, it will be important that brands are properly categorizing themselves and filling out all the available information they are able to when listing products. 

With that, let’s move onto the Shopping topic. Not much was said about Instagram’s experimental plans when it comes to the shopping experience - just that they acknowledge the accelerated shift from in-store to online. With this accelerated shift, all platforms are working on the consumer shopping experience.

Christina Newberry at Hootsuite wrote that “130 million Instagram users tap on shopping posts every month.”

Consumers are using social platforms to find brands, and shop from them!

That being said, it is important for eCommerce brands to show up on these platforms. Optimize your social shops, utilize all the features that are given to support the consumer shopping experience. For example, what we mentioned earlier - shoppable videos are surpassing that of display advertising. Tiktok reminded brands, make to TikToks, not ads. What they were saying is to be in the mindset of making your video content, not a typical “ad”. The goal should be to create video content that no one would suspect was an ad until they see the ad hashtag at the bottom of the screen. TikTok creators have done a great job with this, making their ad content so similar to their original content that many have commented about how they didn’t realize what they had been watching was an ad at all until they saw the shop now button display.

With the focus on video content, creators, and shopping - eCommerce brands are in a very favorable position to grow their brands organically. Utilize what functions are being shared. These social platforms are working to meet the demand of the consumer - you just need to show up!

Do you need help with your Instagram content strategy? Contact Us.