Amazon Expands Ecommerce Into Meta With Data-Sharing Clause

Amazon has spread its network into another platform, partnering with Meta to allow Facebook and Instagram users to purchase from their feeds the products being sold across the ecommerce giant's network of sellers.

The partnership comes with a built-in data-sharing clause for customers if the platforms are linked.  

Meta users can choose to link Facebook and Instagram accounts to Amazon accounts. The opt-in experience allows consumers to see real-time pricing, Prime eligibility for products, delivery estimates, and product details on select Amazon ads in Facebook and Instagram.

The feature also allows consumers on Facebook and Instagram to make purchases on Amazon without leaving the platforms.

Integrating Meta platforms with Amazon enables the marketplace's advertisers to tie and target ads into a new network of shoppers. Linking the accounts in Accounts Center is voluntary, Meta said in an updated post.

Meta explained that choosing to link the accounts may affect activity information from advertising partners, which have a setting on Meta. It creates an exception for Amazon and stores that offer Buy with Prime as specific ad partners. Facebook and Instagram users can change how ads on the platforms are shown based on activity from ad partners. 

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Maurice Rahmey, co-founder and co-CEO at Disruptive Digital, posted a video of the feature on LinkedIn, calling the partnership a possible "massive revenue opportunity for Meta, Amazon and, most importantly, advertisers."

Rahmey said the deal provides better targeting and optimization because Meta will use information sent from Amazon and stores offering Buy with Prime to show consumer's ads.

The deal should also lead to higher conversion rates, and better ad creative personalization provides the ability to customize the ad's message and product page based on whether or not the consumer uses Prime.  Consumers will check out more quickly on ads when they connect their account. 

Reports suggest that Meta is looking for new ways to increase ad revenue, but Amazon is seeking new ways to spread its ecommerce roots into other networks. This would give the company and its advertisers extended reach across the internet into platform considered walled gardens.

In August, Amazon announced a Buy with Prime app for Shopify, an app integration that makes it easy for merchants to offer Buy with Prime on Shopify stores. It rolled out as an invite-only feature to all U.S.-based Shopify merchants.

Amazon Vice President of Buy with Prime Peter Larsen at the time said both companies collaborated to build the app. The feature gives Prime members the option to select Buy with Prime on a product's detail page before completing their order within Shopify's Checkout.

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