Home Ecommerce Nordstrom’s Journey To Connect Instagram Images To Sales ROI

Nordstrom’s Journey To Connect Instagram Images To Sales ROI

SHARE:

NordDespite having close to a half million Instagram followers, upscale retailer Nordstrom knows that “likes” and “follows” are great for growing community and measuring engagement or affinity, but these actions don’t necessarily translate into hard business metrics. Retailers want to know if that showroom-grade snapshot on social actually sold a tube of lipstick.

“What we’ve primarily done on Instagram is respond to customer questions,” said Bryan Galipeau, director of social media and display at Nordstrom. “Every photo we would post, we would get a number of questions back like, ‘Is that item still available?’ and ‘What does it cost?’”

Because Instagram content essentially lives in its own native environment, “it’s pretty difficult for our customers to make the jump from seeing a picture in the feed and learning more about the item on our site or in our stores,” he added. “The way the platform is set up, there are no links on Instagram and no easy way out to our website.”

Consequently, extracting business value from Instagram is a disjointed process. And, it affected user experience. Consumers had to leave Instagram to search for products on the retail site, thus obscuring Instagram’s attributable value, even though Nordstrom predicted it contributed to ecommerce sales.

Nordstrom began a pilot with Like2Buy, a tool developed by image analytics platform Curalate, enabling users to purchase items directly from their Instagram feeds. When a customer clicks on Nordstrom’s profile link, they are brought to a gallery of shoppable photos from Instagram and can then click-through and purchase directly from Nordstrom.

“What this gave us was one-click access to products and created a seamless experience from Instagram to the photo down to real product information,” Galipeau said.

Facebook and Twitter are all gunning for the one-click purchase. Amazon already has it. Payments startup Stripe, according to Re/code, is in talks with Twitter to facilitate purchases in-tweet.

“Social and ecommerce teams are forming tighter relationships because social is driving traffic their way and they want to know, ‘Did this improve time on site?’” according to Apu Gupta, cofounder and CEO of Curalate. “A lot of analytics tools showed… baseline, organic engagement and engagement with a paid unit… but many brands we work with need to go beyond that.”

Like2Buy, he claimed, enables marketers to measure click-through to purchase and subsequent ROI while improving shopper engagement.

Although Nordstrom’s Instagram strategy has primarily been focused on earned and owned media, Instagram recently rolled out a new set of tools for brands to determine paid reach for sponsored photos.

Nordstrom’s paid media investments are evaluated “on a case by case basis,” Galipeau noted.

“There’s certainly a paid component to our overall ecommerce strategy, whether that’s in Facebook or the mobile environment, but with Instagram it’s so early days that we want to make sure we have the right targeting capabilities to make sure the right content meets the right people,” he added. “Our view is you really need to respect the community that’s on the platform and the way the platform was designed, so we want to keep content relevant.”

 

Tagged in:

Must Read

Don’t Worry About Netflix – It’s Doing Fine Without Warner Bros. Discovery

Paramount might have outlasted and outbid Netflix in the competition to acquire Warner Bros. Discovery, but Netflix is not overly fussed about the loss.

Paramount’s Upfront Pitch Is About Three Things

Paramount is merging the ad tech stacks behind Paramount+ and Pluto TV, releasing a new performance product, offering more control over ad placements and introducing dynamic ad insertion in live sports.

Hard Truths For Retail Media At The IAB Connected Commerce Summit

The IAB’s Connected Commerce event in New York City this week felt to me like the retail media industry’s first sit-down explanation to a child who is now a “big kid” and must act accordingly.

Privacy! Commerce! Connected TV! Read all about it. Subscribe to AdExchanger Newsletters

Meta Is Launching An Easy Button For CAPI

Meta is simplifying its CAPI setup and teaching its pixel new tricks, including adding an AI-powered feature that automatically pulls in data from an advertiser’s website.

TelevisaUnivision Joins The Streaming Self-Service Bandwagon

TelevisaUnivision is the latest TV publisher to join the self-serve trend that’s rising in popularity across connected TV advertising. Its streaming inventory is now available to buy through fullthrottle.ai’s self-serve platform. The collaboration includes an ad bidder designed to improve both targeting and measurement.

Comic: Gamechanger (Google lost the DOJ's search antitrust case)

For Google Advertisers Who Overpaid The Monopoly – Don’t Hate, Arbitrate

Law firm Keller Postman is leading mass arbitration suits against Google, seeking advertiser damages for alleged monopoly overpricing. The total available pot is a quarter-trillion dollars.