How To Use WhatsApp with Facebook To Increase eCommerce Sales

With two billion people using WhatsApp monthly, the new shopping functionality of this Facebook-owned app doesn't come as a surprise. The newest feature called WhatsApp Cart is quickly gaining popularity. It allows companies to sell products directly through the app.

Since millions of people are currently stuck at home due to the pandemic, companies work hard to make online shopping easier. The new WhatsApp Cart functionality doesn't just simplify the shopping process, it opens up new opportunities for retailers.

Let's take a closer look at what the new feature is all about and how you can use it to improve sales and marketing efforts.

WhatsApp Cart is Improving In-Messenger Shopping

In December 2020, WhatsApp rolled out the Cart feature for users with business accounts.

Companies don't need to sign up for the new feature. It starts working automatically as long as there is a catalogue of items available. Consumers don't need to do anything extra either. They simply click the shopfront icon within the chat, browse the store, choose an item, and put it in the cart. Then they share the cart with the business through WhatsApp to initiate a purchase.

To make sure the Cart feature works properly, both parties should be using the latest version of the app.

Payment Issues

While consumers can now browse catalogues and choose products inside the app, the payment functionality is limited. The in-app payment system is in its early stages of development. Today, it's only available in India.

Facebook is trying hard to implement WhatsApp Pay in other countries. The launch in Brazil was cut short due to regulatory non-compliance. New Zealand is yet to see the payment functionality as well.

Regardless of the payment issues, Cart is helping small and medium-sized businesses increase their sales by:

Reaching out to a big percentage of the target audience through the messenger.
Using human to human interaction to power sales.
Capitalizing on spontaneous shopping decisions.
Connecting with clients through an app they use at least once a week.

Once the Cart feature is polished, and payment issues are solved, WhatsApp has an impressive potential of replacing standalone shopping apps.

Other Shopping Features

Facebook has been trying hard to monetize WhatsApp for some time. Despite its global popularity, the free app doesn't provide as much ROI as expected. That's why Facebook is putting emphasis on the shopping features. Besides Cart, the app also offers:

QR codes to find a business inside the app.
Dedicated shopping button.
Ability to share links to catalogues in chats.

The pricing of the WhatsApp for Business app is somewhat complex. The app itself is free but associated costs exist. The details about pricing are likely to appear shortly.

Future of Shopping with WhatsApp

WhatsApp continues to develop its shopping capabilities. By sharing a significant amount of data with Facebook, it can come up with numerous opportunities for both retailers and consumers.

In 2021, WhatsApp is likely to:

Introduce WhatsApp Pay in several other countries.
Strengthen the existing interactive elements and introduce new options.
Implement new advertising possibilities.

The power of WhatsApp lies in its interactivity, flexibility, and speed. With Facebook's desire to monetize the app, businesses are likely to see new opportunities for sales and marketing in the nearest future.

The Current State of WhatsApp Advertising

While ads aren't available on WhatsApp yet, many companies are already taking full advantage of the possibilities it offers.

Word-of-mouth marketing — by distributing the link to a WhatsApp store among friends, family, and clients via other platforms, it's possible to increase your following. The easy-to-share WhatsApp store link gives you an opportunity to capture a larger audience.
WhatsApp Groups — by inviting your customers to a WhatsApp group, you get access to valuable feedback while promoting products. Companies create special groups for existing clients to improve their retention efforts.
Customer support — retailers use WhatsApp for customer support, thus gaining access to chats with clients to use them for further marketing efforts.
Content marketing — sharing high-quality content through the app can help you gather followers and build customer loyalty.

WhatsApp is a highly underused platform for marketing. However, it has impressive potential. While you are waiting for the official WhatsApp paid ads to roll out, it's possible to create an efficient marketing campaign.

WhatsApp Paid Advertising: How Will it Work?

The recently released new version of WhatsApp has a built-in advertising functionality. The app can now announce specific information to its users.

Ads won't be posted inside chats in order not to interfere with user experience and privacy. They will appear as a banner that, when clicked, can lead users to external websites.

As of February 2021 (the date may change), the app will introduce new Terms of Use and Privacy Policy to cater to the latest changes.

For now, advertising is expected to be limited to services within the app itself. However, with monetization plans in mind, this could change. The new TOS allows the app to gain access to location, interactions with business accounts, and links clicked by the user. This information could be priceless for retargeting efforts across other channels.

For example, once a person joins a dog lover group on WhatsApp, they can start seeing dog food ads on Facebook.

In the future, commercial ads may appear in two places:

WhatsApp status bar
In-between Stories

Instead of rerouting users to external websites, the ads are likely to lead them to business chats and groups.

The WhatsApp paid ad controversy has been around for some time. Facebook put the initiative on hold in the middle of 2020 only to resume its work by the end of the year.

Improving Your Marketing Campaign with WhatsApp

WhatsApp is an extremely popular messaging app with a high potential for retailers. With the new Cart feature already launched and WhatsApp Pay on the way, it's likely to create numerous sales and marketing opportunities for small and mid-sized businesses.

By exploring the app's current possibilities, you can greet the new features fully armed and leave the competition behind.

Interested in trying a WhatsApp advertising campaign? Get in touch.