This year Instagram will rival Amazon in terms of ecommerce disruption
This time last year Instagram launched Checkout in beta in the US. The feature, currently only available to a number of selected brands, points to a very near future where most of our shopping takes place on social channels.
Checkout, in a nutshell, lets users order and pay for items within the Instagram app itself. While we see other platforms in the US and UK building ecommerce functionalities into their offerings, like Pinterest’s Lens, Facebook’s shoppable tags and sales alerts, all of them currently still direct users to the retailer’s website for the final transaction. Instagram Checkout is the first in-app commerce development and is blurring the lines between social and ecommerce.
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It's the Technology, Stupid
In designing the strategy for Bill Clinton’s successful presidential run in 1992, James Carville knew exactly where to focus. As he memorably put it: “It’s the economy, stupid.” When it comes to modern marketing, we can replace ‘economy’ with ‘technology’.
Technology allows brands to do things that simply weren’t possible before. AR, VR, 3D printing, customisation at scale, interactive or real-time outdoor; the list goes on. It’s easy to focus on some of these jaw-dropping techniques, but they’re really just the icing on the cake.
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Understanding People’s ‘New World’ Brand Expectations
If you work in marketing, you might want to look away now. The brutal truth is… the vast majority of people don’t care about your brand. In fact, 81% of the brands sold across Europe could disappear overnight and consumers wouldn’t be concerned. They probably wouldn’t even notice.
Various dynamics are at play here. Firstly, abundance. With up to 30,000 new products being launched every year, we’re all spoilt for choice. With so much variety on offer, very few brands feel truly indispensable. Secondly, unbrands. We’re increasingly exposed to no name brands from the likes of Amazon, Aldi and Lidl. When these perform well, it undercuts the perceived value of traditional brands. Finally, loss of trust. It doesn’t take many rotten apples to spoil the brand barrel and there have been lots of examples recently of world-famous brands apparently acting in bad faith.
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