Facebook testing two new ad features: in-app checkout for Facebook ads, new ad unit for Instagram

“These new ads are based on the ways people currently like to discover and purchase products on Facebook and Instagram so the ad design and experience will be familiar,” said a Facebook spokesperson.

In-app checkout for Facebook News Feed ads. Facebook is testing a new native checkout feature for dynamic ads, making it possible for users to discover a product via a dynamic ad and purchase the product from the ad without ever leaving the Facebook app.

This test is only being made available to a “small subset” of advertisers on Facebook during the coming weeks.

Turning organic shopping posts into Instagram ads. Facebook is also testing a new ad feature on Instagram, allowing advertisers to turn organic shopping posts into ads via the Facebook Ads Manager.

“Businesses have found success with shopping posts and will be able to reach new targeted audiences in a way that’s familiar to people,” said a Facebook spokesperson.

Facebook will be testing these ads over the next few months and said it plans to add the Instagram Checkout feature to the ads in the future (the in-app purchase feature currently available to a number of brands).

Why we should care. Facebook estimates friction in online checkout processes will cost U.S. businesses $213 billion this year. With these latest tests, Facebook is aiming to create a more efficient e-commerce process across its family of apps, building out seamless online buying experiences for businesses and advertisers already on its platforms.

Facebook has already introduced the in-app checkout feature on Instagram. By expanding in-app purchasing capabilities to its Facebook News Feed ads, the company is giving more advertisers access to a user-friendly shopping experience, all from within the Facebook ecosystem.

For Instagram advertisers, Facebook reports more than 130 million users tap on tags in Instagram shopping posts. If a business sees a shopping post doing exceptionally well in terms of engagement, this latest test will make it easier to turn that post into an ad and amplify its reach. Eventually, according to Facebook, businesses on Instagram will have the option to attach the in-app checkout feature to these ads as well, reducing the time between product discovery and purchase.