Instagram is now allowing influencers and creators to sell things directly to their audience through tagged posts.

Previously, only brands were able to have shoppable posts on Instagram. Now, they’re allowing influencers and creators to start doing the same. Influencer marketing has a profound impact on social commerce, especially on Instagram where 34% of daily users ages 13 and older have already purchased products based on a recommendation from an influencer or blogger, according to December 2018 data from CivicScience. 

So with Instagram’s new feature, followers will now be able be able to buy products recommended by their beloved influencer. This in turn creates a cycle of cash flow. Brands pay influencers to post on their behalf, followers buy the product off the influencer’s post, and then Instagram takes a cut of every sale made through its platform. Win, Win, Win.

Sales can take place—all without ever leaving Instagram.

Before this release, the market for such a feature was already prevalent with apps such as LikeToKnowIt where users could shop influencers’ posts by taking screenshots and submitting it on the app to find the products where abouts. 

The program is launching with just 23 brands and 55 influencers, including Parker Kit Hill, Gigi Hadid, and Huda Kattan. Later, it will be released to more and more people.

This new feature release also provides a legit way for brands and others to have access to the analytics the post drives. The new feature is in line with Instagram’s wider mission to turn the platform into an e-commerce powerhouse. Instagram is already where people go for lifestyle inspiration, fashion tips, home-decor ideas, and more. Now it’s also a place where you can spend massive amounts of money.

Brands like Madewell are already thriving on Instagram. Madewell is a brand created for the modern city girl who has a chic, tomboyish style. This specific demographic focus makes it the perfect brand for Instagram, where 31% of women and 59% of 18-29-year-olds spend time each day. Known primarily as a denim brand, Madewell centers its Instagram content around jeans. Madewell’s assortment of images and video create a very clear, shoppable virtual storefront for their product assortment. Posts frequently feature the shopping icon, with multiple products tagged in each image. 

This attention to visual and highly shoppable content helped the brand to increase sales 39% in 2018. Their presence was also recognized by the 2018 Webby Awards, where they were nominated for overall best brand presence.

With brands and influencers establishing their presence online, a huge thing that comes next is meeting the demand of their followers. As technology continues to advance exponentially, barriers to entry markets are eroding. More and more micro brands are starting to pop out of the abyss and compete in the market.

“Manufacturers are feeling the pressure—and gaining the ability—to increase both speed to market and customer engagement. And numerous factors are leading manufacturers to build to order rather than building to stock. In this environment, intermediaries that create value by holding inventory are becoming less and less necessary.”  -Deloitte Insights. 

Therefore, in this new age of connected commerce, brands are turning to digital private label supply chains. This new software connects all the partners for design, development, sourcing, manufacturing, logistics, finance and delivery into one in-sync system. With this digitized supply chain, products are brought to market quicker and more effectively.

If the time is right for your brand or company, you can schedule a demo here.