Instagram Launches In-App Checkout: What You Need To Know

Picture and video sharing platform Instagram announced Tuesday a new feature where users can make purchases within the app itself.

What To Know

Instagram, part of Facebook, Inc. FB's family of social media and messaging platforms, explained its latest monetization initiative in a video. When users view certain pictures they will be presented with a list of items for sale. Tapping the item will bring the user to a new page within the Instagram app to select their desired size, color or other features.

Billing information and shipping details need to be entered just once on the platform. When a purchase is complete, the user will receive shipping and delivery notifications from within the app itself.

Today, Instagram is announcing you’ll be able to make purchases directly on its app (rather than, say, a swipe up link leading to a website). This is the list of brands on board from the jump pic.twitter.com/8NJvo5dA5C

— Alexandra Mondalek (@amondalek) March 19, 2019

Why It's Important

Instagram's latest feature is part of the company's transition to becoming a "full-fledged commerce business," The Verge's Casey Newton wrote. Prior to Tuesday's announcement, Instagram users were directed away from the app towards a pop-up web window. This created a scenario where shoppers were more likely to give up on a purchase out of frustration.

The Verge reported last year Instagram is reportedly looking to launch a standalone shopping app at some point in the future. The latest development could be seen as a step in that direction.

Facebook's stock traded up about 1.6 percent to $163.07 per share Tuesday morning.

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