How to Set Up an Instagram Shop and Drive Sales?

Let’s talk about something that is popping up on our Instagrams more often than memes: Instagram Shops. You know, those little virtual boutiques that make you go, “Wait, I can buy that directly from my feed?!” 

With a staggering 72% of Instagram subscribers making purchase decisions directly from the platform, let me walk you through leveraging Instagram's immense power. 

Together, we'll create an irresistible shopfront, ensuring that scrollers will eagerly add your products to their carts in no time.

What is an Instagram Shop?

An Instagram Shop allows businesses to advertise and sell their products directly on the platform. By showcasing catalogs and tagging products in posts, stories, and Reels, potential customers can effortlessly explore and purchase items with just a click.

Once you know how to set up shop on Instagram and have successfully done so, your profile will feature a "View Shop" button, allowing followers to browse your collections and product offerings. They can easily view product details, descriptions, and prices, and proceed to checkout directly on Instagram. 

I’ll show you how to do this later in the blog. For now, let’s look at the benefits of utilizing Instagram Shopping.

With Instagram Shopping, your potential customers can:

• Virtually window shop: Users can tap on a product, and presto! They’re treated to a carousel of your product images, pricing details, and other goodies from your store. 

• Checkout: Here’s where the magic happens. Once they've found their desired item and are ready to purchase, they can seamlessly proceed to checkout with just a click, eliminating the need to switch apps. It's all happening right here, right now 🛒

So, why are Instagram Shops all the rage right now?

#1 The convenience factor:

The answer lies in their seamless integration into the Instagram experience, offering users a convenient and visually appealing way to discover and purchase products without leaving the app. 

With the rise of social commerce and the increasing importance of online shopping, Instagram has become the top social destination for consumers looking to purchase. It’s been reported that 83% of users look for new brands and products on Instagram.

#2 Reach:

Globally, 130 million Instagram subscribers actively engage in Instagram Shopping. The ease of accessing product catalogs and making purchases with just a click has contributed to its popularity.

#3 Product tags:

Instagram product tags allow businesses to make their IG shoppable directly within the Instagram app. By tagging products in your content, you enable customers to discover and purchase items as they scroll through their feeds, watch stories, or explore reels. 

In a photo feed post, you can tag up to 20 products and shops. For carousel posts, or single posts containing up to 10 photos and videos, a maximum of 20 tags can be applied across all media items in the carousel. 

Plus, you can even revisit old posts and add product tags, which can be a smart move if you see those posts picking up steam again. And don't forget about Instagram Stories—you can easily include product stickers in your stories to make them shoppable too.

Is it free to make an Instagram shop?

Creating an Instagram Shop is indeed free! You can open a shop and use shoppable posts for free. Instagram will however charge you a 2.9% card processing fee for transactions run through their checkout platform, and you will have to pay for ads if you run them.

How to get approved for Instagram Shopping

Before attempting to get into the Instagram marketplace, make sure your business meets the eligibility criteria:

1. Confirm your business operates in a supported market where Instagram Shopping is active. Check this list in the help center to confirm.
2. Ensure you offer physical products for sale.
3. Verify that your business adheres to Instagram's merchant agreement and commerce policies.
4. Own an eCommerce website linked to your business.
5. Have a business profile on Instagram. If your account is currently set up as a personal profile, you won’t be able to do an Instagram shop setup. But don't fret—changing it to a business profile is a simple process:

I. Click on the burger menu on your personal Instagram profile.

II. Under ‘Settings and activity,’ click on ‘Account type and tools.’

III. Then, click ‘Switch to professional account.’

IV. Click ‘Continue’ across all four slides.

V. Select a category that best describes what your business is about. Click ‘Done’ afterward.

VI. Choose ‘Business’ and then click ‘Next.’

VII. Check that your contact details are correct and updated. Click ‘Next’ when done.

VIII. Now, connect your Facebook page. Although optional, this allows you to share your Instagram posts simultaneously on Facebook.

How to create an Instagram Shop?

By now I’m sure you’re eagerly awaiting the instructions on how to make an Instagram shop. Follow these simple steps to add a shop to Instagram:

Step #1: Do an eligibility check

You first need to ensure that your business meets the Commerce Eligibility Requirements.

1. Your shop must contain product listings available for direct purchase from your business’s website.
2. Confirm that your Instagram profile is a business or creator account.
3. If you plan to sell on both Instagram and Facebook, you need to link your Instagram to Facebook.
4. Set up a Business Manager account to manage your Instagram and Facebook advertising accounts and pages.

Step #2: Choose your onboarding tool

You can onboard onto Instagram Shopping by setting up your shop in Commerce Manager or directly within the Instagram app. First, I’ll show you how to open an Instagram shop via Commerce Manager:

1. Log in to Commerce Manager and click ‘Get Started’ under ‘Get Started With Shops.’

2. Choose where you want customers to complete their purchase. It can be on your website, message, or check out on Facebook or Instagram.

3. Now, select the business you want associated with it. Move to the next step by clicking ‘Next.’

4. Then, add details like the account name and the Business Manager account you want to use. Tap ‘Next’ when done.

5. Choose where you want to set up your Instagram storefront. In this case, you want to choose your preferred Instagram account and then click ‘Next.’

6. Select an existing product catalog or create a new one.

7. Review the details and tap ‘Create Your Shop.’ And voila! That is how to create an Instagram shop.

How to turn on shopping for Instagram

Once you’ve applied and Instagram has successfully approved your account, you will be able to connect your website to your Instagram shop.

To do that, you simply turn on the product-tagging feature from the Instagram app by following these steps:

1. Tap the 3 lines on the top-right corner of your Instagram business account.Next, tap ‘Settings,’ then tap on ‘Business’ to continue.

2. Next, tap ‘Settings,’ then tap on ‘Business’ to continue.

3. Next, if your account has been approved for Instagram shopping, simply tap on ‘Shopping.’ However, if your account hasn't been approved, you won't find this option.
4. After that, click on ‘Continue’ to choose a product catalog to link to your Instagram business account.
5. End off by tapping ‘Done’ to activate Instagram shopping for your account.

With Instagram shopping activated for your account, you're all set to begin tagging your products in your Instagram posts and driving sales directly from your feed.

How to add products to Instagram and use product tags?

1. Tagging products in feed posts:

I. When creating a feed post, select the photo or video you’d like to add product tags to. Click ‘Next’ when done.

II. You will then see an option to add filters to your image or video. Tap ‘Next’ afterward.

III. Then, click on ‘Get orders’ in the menu.

IV. Add the name and price of the product and tap ‘Done.’

V. Now, add your post caption. You can also add your audience and location, tag people, or add a reminder. Click ‘Share’ and you’re done.

2. ‍Tagging products in Instagram Stories

I. While creating a Story, tap the sticker icon.

II. After clicking on the link sticker, add the link to the product you want to tag. Afterward, click ‘Done.’

III. Tap the -> icon to publish your story.

2. ‍Tagging products in Reels:

I. After recording your reel, tap ‘Next.’

II. Tap on the ‘Tag products’ option.

III. This is how you search for the shop and product that’s in your Reel. When finished, click ‘Done’ and then hit ‘Share.’

Instagram Shopping features you should know

Here are some Instagram Shopping features that you should be aware of:

✔️ Instagram Shopping posts: These are posts specifically designed for shopping. When users come across these posts, they can tap on product tags to reveal details like the product name and price. It’s a seamless way to connect potential customers with your offerings.

✔️ Product tags in posts: This feature is used in regular Instagram posts where you can tag specific products within the image. Users can tap on these tags to learn more about the product and proceed to purchase if interested. The creation process is similar to creating a regular post but with the additional step of tagging products in the image.

✔️ Instagram ads: As part of Instagram Shopping, you can create ads that promote your products to a wider audience. These ads can appear in users’ feeds, Stories, or Explore sections, providing visibility and driving traffic to your shop.

✔️ ​​Shopping sticker on Instagram Stories: Instagram Stories are a popular format for engaging with your audience. By adding a shopping sticker to your Stories, you can tag specific products, making it easy for viewers to explore and purchase them.

How to sell on Instagram Shop like crazy

​​1. Consistent product posts

Creating a habit of posting about your products is essential. Set a regular cadence, like a specific day of the week, so your community members build a habit of checking out your offerings. Consistency keeps your brand top-of-mind.

2. Behind-the-scenes Stories

Take your audience behind the curtain! Use Instagram Stories to reveal the process behind creating your products. Show the hard work, craftsmanship, and dedication that goes into making each item. 

3. Showcase all variations

Don’t limit yourself to one product image. Display all variations—colors, sizes, and materials. Give your customers options and let them explore the full range of what you offer.

4. Story Highlights for specific products

While Stories disappear after 24 hours, you can create Story Highlights on your profile. Curate specific stories that showcase certain products. Highlight your best-sellers, seasonal collections, or exclusive releases.

5. User-generated content

When customers tag your products in their photos and videos, ask for permission to share them on your business page. User-generated content adds authenticity and builds trust.

6. Tutorials and how-tos

Create step-by-step guides on different ways to use your products. Use Stories to demonstrate product features, styling tips, or hacks. Educate your audience and make them confident buyers.

7. Product tags in your shop ads

As mentioned, these little gems allow people to buy directly from your photos and videos. Make sure every Shop ad has relevant product tags. It’s like having a virtual sales assistant!

8. High-quality creatives

Boosting sales isn’t just about posting products; it’s about the creative execution. Creative execution can be tricky but that’s where Madgicx simplifies things for you. Madgicx’s Creative Workflow transforms your Instagram Shop game by helping you to constantly create winning ads for your shop.

You start by exploring the cream of the crop of Meta ads in Madgicx’s Ad Library by ad format, category, and ad type. You can even spy on your competitors' ads to gauge their advertising strategies and keep up with industry trends.

After discovering and saving the ads that inspire you, simply submit a quick brief via Sparkle. We’ll assign the best designer for the job and ensure your designs are delivered to your inbox within 48 hours.

After your approval, your designs will be loaded into Meta Ads Manager so you can launch the ads there or from inside Madgicx.

Curious to see if Madgicx’s Ad Library would work for your business? Try it free for 7 days - no commitment necessary.

Troubleshooting: Instagram ‘View Shop’ button not showing

To troubleshoot the Instagram 'View Shop' button not showing, it's essential to understand that access to the button is restricted to specific businesses based on their locations and categories. If you're facing other Instagram issues like the 'Account not found' problem, check out this guide for solutions. 

Additionally, ensure you have a Facebook shop set up and are set up as a merchant on Instagram Checkout, as it's a prerequisite for the 'View Shop' button feature. Follow these steps to enable the button and show people how to get to your Instagram Shop:

1. Go to your Instagram and tap the three lines in the top right corner. Then, switch to a professional (business) account. If you haven’t added one yet, click ‘Add new professional account.’

2. Select ‘Edit Profile.’

3. Scroll down to ‘Action buttons.’

4. Make sure your category is ‘Shopping & Retail’ as your option and click ‘Done.’ The 'View Shop' button will appear, but you'll need to view it from a different profile to see it.

Conclusion: Is Instagram Shop still a thing?

Have you been asking yourself, “Where is Instagram Shop?” Well, because Instagram recently announced the removal of the Instagram Shop tab from the home screen and made it a challenge to get to the Instagram shop, many brands are left pondering whether to continue using Instagram in 2024. 

However, it's important to note that despite the removal of the Shop tab, Instagram Shop remains a crucial aspect of the platform. This adjustment aims to streamline the Instagram experience for users while still maintaining the presence of Instagram Shop.

To ensure your products continue to be featured effectively, consider the following strategies:

1. Maintain an updated product catalog. Keep your product catalog current, and optimize product descriptions for search and conversion.
2. Highlight products in posts and Reels. As users can still purchase products directly from various content formats such as posts, ads, Stories, and Reels, it's crucial to create engaging content that encourages purchases. Ensure you have a diverse range of content showcasing your products to lead potential customers toward purchasing decisions.
3. Incorporate influencer marketing. Collaborating with influencers can not only increase brand visibility and product awareness but also yield a substantial return on investment (ROI). Leverage their influence to reach a wider audience and drive more sales.

And that’s it. Now you know how to start an Instagram shop and leverage social media to drive more sales 🛒💰 Good luck!