TORONTO – Impulse-buyers beware – Twitter is testing a new e-commerce function to allow users to buy items directly from a tweet.
The social media company revealed in a blog post Monday that it is rolling out a “buy” button that will allow users to shop products featured in a tweet without being redirected to another website.
“Users will get access to offers and merchandise they can’t get anywhere else and can act on them right in the Twitter apps for Android and iOS,” read the blog post.
Only a small percentage of U.S.-based users will be able to see the feature at first.
But Twitter venturing into the e-commerce world means it will have access to a lot more user data – including credit card information.
According to Twitter’s blog, users’ credit card, billing and shipping information will all be stored after their first transaction. Once the user taps “Buy,” Twitter sends all of the information to the merchant to complete the sale.
Twitter added that all credit card and billing information is encrypted and processed securely.
Mobile marketing and e-commerce is becoming a trend for social media sites. In July, Facebook announced that it was testing a “Buy” option that would allow users to buy products directly from its sponsored advertisers.
And it makes sense – mobile advertising is one of Facebook’s fastest-growing revenue categories. Nearly 80 per cent of its users access the site on smartphones and other portable gadgets.
In the January-March quarter, earnings nearly tripled and revenue grew sharply as advertising revenue rose 82 per cent.
READ MORE: Facebook tests ‘Buy’ button to help businesses drive sales
Meanwhile, mobile commerce is expected to total $304.1 billion in 2014, up 15.5 per cent from the prior year, according to eMarketer. Mobile commerce is expected to account for 19 per cent of all e-commerce sales this year, or $57.79 billion.
Twitter and Facebook can also rely on the bevy of user data they collect to target advertising.
For example, if you follow a lot of tech brands and commentators Twitter can assume that you are interested in gadgets, and show you ads based on those interests.
Twitter has already partnered with brands, including The Home Depot and Burberry, as well as non-profit organizations and musicians for its buy button.
No word yet on when the feature will roll out to Canadian users.
– With files from The Associated Press
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