If you have been a user of Instagram over the last few years, no doubt you’ve seen quite a few changes. The social media application was launched in 2010 and has morphed from a photo sharing blog to a tech titan worth an estimated $100 billion.
How Instagram has changed E-commerce the game
Instagram achieved this dominant growth by turning its user’s interests and likes (quite literally), into a dynamic customer engagement platform for businesses. Not only have traditional businesses like Nike and Sony embraced the platform, an entire generation of “Instagram brands” have emerged. Brands that started as an Instagram page, like the e-commerce clothing brand Fashion Nova, have grown to compete with the long-established titans of their respective industries, some annually recording earnings in the hundreds of millions of dollars. To the uncanny eye, it seems like this new generation of viral brands did nothing more than post a few products and pay a few influencers, however, behind the screen there is a calculated method to the madness.
In tandem with an online selling platform like Shopify, Instagram allows a business to gauge customer interest in a brand, and convert it into sales. Instagram provides a platform for product endorsement to take place because it has naturally evolved into an excellent platform for audiences to interact with and follow influencers. New features like product tagging have optimized sales channels to just a few steps, and there is an ever-increasing number of ways to showcase product features using digital media. Ad spend on the platform has proved to be some of the most effective among similar platforms like Twitter and SnapChat, and allows a business to specifically target unique target markets. Finally, the growth of platforms like Instagram has increased the availability of data on all facets of the business. The idea of entirely digitally native business, from customer interaction all the way to point of sale, means that data can be extracted at each stage.
What should my business do?
Success building any brand on Instagram starts with publishing genuine content. You want your digital brand to be a genuine participant in the communities customers are a part of, over even the creator/centerpiece of the community itself. Your potential customers are bombarded with hundreds if not thousands of digital marketing messages a day, and they’re only getting better at spotting the figurative “wolves in sheep’s clothing.” If you’re already ahead of the ball and have influence in a community of customers passionate about a certain range of products/services, make sure to continue providing them with the content of value to them.
When your business has the attention of your customers, it’s time for a call to action. Instagram has a product tagging feature, perfectly designed to link products to your content. Product tagging allows your audience to purchase your product with the least amount of friction, while also not infringing on the awesome content you’ve shared.
As an example from GoPro demonstrates, Instagram allows stunning content and conversion to co-exist.
What is Dinote’s role?
Simply put, Dinote is a growth partner for digitally native businesses. Integration with our data analytics platform gives an e-commerce business a window to visualize all of the metrics it relies on to grow and make decisions. As a digitally native business grows, we are able to leverage and analyze key data points and offer financing options. With the ability to make decisions based on real-time data, and the dollars needed to take action, an e-commerce business integrated with Dinote has all of the tools needed to take their brand to the next level.
Although not specifically limited to a certain number of words like Twitter, it’s important to remember Instagram is, and always has been, a platform where visual content means the most. Success is found by telling a story, woven out of all types of visual content; this story becomes your brand.