Banyan - September 2023

Amazon Extends Social Shopping Efforts With Snapchat Deal

Amazon will let Snapchat users purchase merchandise straight from that social media app.

The collaboration lets customers shop Amazon’s Snapchat ads and check out with Amazon without leaving the social media platform, an Amazon spokesperson told PYMNTS Tuesday (Nov. 14).

“Customers in the U.S. will see real-time pricing, Prime eligibility, delivery estimates, and product details on select Amazon product ads in Snapchat as part of the new experience,” the company said. “In-app shopping with Amazon is available for select products advertised on Snapchat and sold by Amazon or by independent sellers in Amazon’s store.”

The news follows Amazon’s partnership with Meta — as reported here last week — that lets users of Facebook and Instagram connect their accounts with Amazon.

“For the first time, customers will be able to shop Amazon’s Facebook and Instagram ads and check out with Amazon without leaving the social media apps,” an Amazon spokesperson said in an emailed statement to PYMNTS.

It’s a partnership that lets both companies play to their strengths: Amazon gets to help merchants find customers who might not have actively sought out their products. And Meta’s discovery-based model lets users receive targeted ads without searching for them.

Amazon also has a deal with Pinterest, signed in April, designed to create more shoppable content by enhancing the platform’s offering of relevant products and brands. These partnerships are happening at a moment when social media has become a crucial tool for consumers to find new products.

“Platforms like TikTok, Instagram, and YouTube have transformed the way people shop, with each channel catering to different consumer interests,” PYMNTS wrote earlier this month. “The influence of these platforms is evident in the billions of views and viral purchases associated with hashtags like #TikTokMadeMeBuyIt, for example.”

Findings in “Tracking the Digital Payments Takeover: Monetizing Social Media,” a PYMNTS Intelligence/AWS collaboration, show that 43% of consumers browse social media to find goods and services. 

For example, the visual nature of Instagram, and its curated feeds, make it a natural place for shoppers to find fashion inspiration and clothing advertisements, with the survey showing that 47% of consumers had bought clothes on Instagram in the 30 days prior to the survey.

“On the other hand, TikTok’s short-form video format, which allows users to watch influencers demonstrate and review beauty products, makes it the preferred platform for purchasing beauty products, with 33% of consumers doing so in the 30 days prior to being surveyed,” PYMNTS wrote.