YouTube is in the initial phase of testing integration with Shopify and is working on in-app shopping features with a small group of video channels.
YouTube is on its way to become a shopping destination and make the most out of the videos featuring products and brands.
The news was reported by Bloomberg who cited people familiar with the situation as the source. Confirming the test, a YouTube spokesperson also mentioned that with the experiment, creators will have control over the products displayed.
Several facets of this major update such as the revenue share, threshold, YouTube’s cut, and more are unknown as of now, as the spokesperson declined to comment further and called outlined the update as an experiment.
While the E-Commerce sector was already huge, it has grown with the pandemic as most consumers continue to shop from home and prefer digital transactions over cash.
YouTube has been a go-to for consumers to explore products and see reviews, which they would then buy on an e-commerce platform. This bridge shows the capacity to be capitalized and developed further.
YouTube has also improved advertising with carousels, product catalogues, and shopping tags that link to a third-party platform. With the Shopify integration and in-app checkout, YouTube would also directly compete against Facebook & Instagram Shops that have recently turned into shopping destinations.