INTRODUCTION
Shops on Facebook and Instagram is a social selling tool that retail businesses can use to engage potential customers and generate sales. It is essentially an online storefront that allows people to browse, explore and purchase products from Facebook or Instagram.
Until recently, businesses could opt to send consumers to their websites to make the final purchase; however, in April 2023, Meta announced that newly created shops in the United States will exclusively use the in-app, or direct, checkout system. Meanwhile, existing Shops will be required to switch to “Checkout with Facebook or Instagram” by April 24, 2024.
Following are some tips on how your retail store can use Checkout with Facebook or Instagram.
HOW SHOPS CAN BENEFIT FROM USING CHECKOUT WITH FACEBOOK OR INSTAGRAM
If your business is new to shops, you will only have the option to use Checkout with Facebook or Instagram when onboarding through Meta Commerce Manager or a third-party e-commerce platform (e.g., Shopify). If you use Commerce Manager, make sure to have business information, such as banking and contact information, ready. You will need it to set up the required shipping, customer service and payout parameters before you can continue.
Once your shop is up and running, Checkout with Facebook or Instagram will provide a seamless experience for consumers by allowing them to buy from you without leaving the platform. There are also some additional benefits. For example, the direct checkout method allows the platform to securely save customer payment and shipping information, which makes it easier for them to make a future purchase.
Meta also ensures that listings for shops that use direct checkout have consistent images and descriptions to help create a better user experience. Add product names, descriptions and IDs, as well as pricing information and high-quality images to all products in your catalog or on your website (if you’re using a pixel to generate your catalog) to make this possible.
With checkout, you also will have the option to tag products from your catalog in images or videos you post to your accounts.
To do this, upload your image or video and click the shopping bag icon. Click on the product you want to tag, type the product name and click “done tagging and save” to tag the product. This allows your followers to shop for those products directly from your posts.
You can also create Shops ads to reach a larger audience once Checkout for Facebook or Instagram is enabled.
HOW TO SWITCH AN EXISTING SHOP TO DIRECT CHECKOUT
As mentioned above, all existing shops will be required to use Checkout with Facebook or Instagram by April 24, 2024. Consider switching now to get used to the feature before the deadline and to ensure your shop remains active. If you don’t switch in time, your shop will become inactive until you change to the in-app checkout method, and you will also lose the ability to tag your products in posts or run Shops ads.
Open your Commerce Manager account and go to “Settings” to change your checkout method. You will need the appropriate permissions, such as “full control” or “edit settings”, to make the switch.
Select “Checkout method” from the menu and choose the “Checkout with Facebook or Instagram” option. Click “change” and follow the required steps, which will include providing information to set up shipping, customer service and payout preferences. Click “confirm” when you are finished–your checkout method should be updated immediately.
Be prepared for some changes with the new checkout method. For instance, Meta’s payment processors usually issue payouts within 30 days after you mark the order as shipped.
Checkout with Facebook or Instagram also comes with processing fees, which will be automatically deducted from your payout. Make sure to look at the fee structure and your historic Facebook and Instagram sales volume to see if it makes sense for your business to keep its shop before making the switch.