Short-form video in-app drives personalized, curated content for consumers

What it means: As social media quickly becomes the third channel for retailers, bringing short-form video content to first-party retail platforms connects content with commerce. Short-form video content has infiltrated the retail industry in the U.S., quickly becoming the most influential type of media content to convert consumers into purchasing. By contrast, only a few years ago, it was expected that livestreaming would overtake the retail industry, as it had in other markets. But, it’s clear that for American consumers, short bites of content better fit their lifestyle needs and social media consumption habits. Third-party platforms — such as TikTok, Instagram Reels and YouTube Shorts — have been the facilitators of this medium and serve as the bridge between retailers, brands and consumers. According to Statista, TikTok will continue to pull influencer marketing spending away from other platforms during the next few years. Social media selling is the unofficial third channel for retailers in the current era, and some retailers have begun to harness the power of social platforms to expand their first-party offerings to shoppers. Amazon recently launched its in-app content shopping platform Inspire to all U.S. shoppers. Inspire allows consumers to shop directly from media content without leaving the platform. Inspire also allows creators with Amazon Storefronts to connect content to their pages. Storefronts have been a lucrative tool for content creators, particularly with the rise of TikTok’s influence over retail. It’s clear that consumers want to engage with and shop from media content, particularly short-form videos. Retailers that are able to bring the content to their first-party apps may bring consumers over who are ready to scroll and ultimately convert to purchasing. In many ways, Inspire is a natural expansion to the Amazon model in the sense that its vastness can be difficult for consumers to navigate through. Personalized and curated content eases that burden for the shopper and delivers products that fit their needs and desires. If other retailers make similar forays into content-driven selling in the future, it could also present new opportunities for retail media network expansion from physical and digital channels into social selling. Inspire is a natural fit for Amazon’s retail media brand partnerships to drive engagement, awareness and conversion for consumers, and this could translate for other retailers across sectors. Ultimately, the convergence of content and commerce is rapidly shaping the retail landscape, and bringing content to retail platforms is the next iteration of social selling. What’s next: Based on the results of Amazon’s Inspire rollout nationwide, content- and social-first selling apps may represent enhanced retail media offerings in the future.

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