Instagram has taken another step towards becoming a full-fledged retail business and has announced the integration of a payment feature into its mobile apps. With payment, you can store your payment information on Instagram to make purchases faster. In return, Instagram charges sales fees to retailers. More than 20 brands will use the payment process, including Nike, Adidas, Dior, H & M, MAC Cosmetics, Michael Kors, Oscar de la Renta, Prada, Uniqlo, Warby Parker, and Zara.
Items eligible for payment in the app now have a big blue “Order on Instagram” button underneath them. Touch it and you will be asked to provide your e-mail address so that the seller can complete your order. From there, enter the shipping information and the payment method. After reviewing your data, you will be able to place the order.
Previously, making a purchase on Instagram required the use of a contextual view of the website on the retailer’s site, where users were more likely to abandon their shopping carts if they were frustrated. Instagram hopes that allowing users to complete their purchases with the app will encourage them to buy more and create a new big company for parent company Facebook, which recently said it expects trade and payments represent the future of the company.
For now, the payment information stored on Facebook will only be used on Instagram. But it’s easy to imagine that Facebook allows you to use your identity information in other parts of your application family. (The company is also working on a separate payment product involving blockchain and WhatsApp). In the meantime, Facebook says it will not secure your payment information with other users or retailers.
Instagram believes that shopping represents a massive new business opportunity. The Verge announced last year that the company was developing an independent purchase app. He also said Monday that 130 million people a month were tapping product labels in shopping malls.
“Payment is only part of our long-term investment in purchases,” the company said in a blog post. “We are excited to introduce even more ways for users to buy on Instagram this year.”