Instagram Shop is BACK!
as TikTok Shop just closed out a $4.9B quarter
In partnership with
Write docs 4x faster. Without hating every second.
Nobody became a developer to write documentation. But the docs still need to get written — PRDs, README updates, architecture decisions, onboarding guides.
Wispr Flow lets you talk through it instead. Speak naturally about what the code does, how it works, and why you built it that way. Flow formats everything into clean, professional text you can paste into Notion, Confluence, or GitHub.
Used by engineering teams at OpenAI, Vercel, and Clay. 89% of messages sent with zero edits. Works system-wide on Mac, Windows, and iPhone.
Hi friends!
Our team spent two days at Meta’s offices here in New York last week looking at what they’re building next around AI-driven ads and revamping shopping.
The direction is clear. Meta is going back into commerce, this time with AI at the center.
TikTok just put up a $4.9B quarter with TikTok Shop. That kind of signal forces a response from Meta.
The question is whether they can make it work this time around.
Let’s get into it.
(Cinco de Mayo)
🛍️ TikTok Shop Finds Growth With Older Shoppers
TikTok Shop is expanding beyond its early Gen Z base, with shoppers over 45 becoming a growing segment of spenders on the platform. What started as a youth-driven discovery engine is now pulling in a broader demographic with higher purchasing power.
The shift changes how brands view the platform. TikTok is no longer just a place for trend-driven products. It’s becoming a more stable retail channel with a wider customer base and more consistent purchasing behavior.
🔗 Whatnot and Shopify Connect Live Selling With Owned Commerce
Whatnot is partnering with Shopify to allow sellers to sync inventory and operations between live selling and their own storefronts. Merchants can now move between auctions and traditional ecommerce without managing separate systems.
Live commerce is starting to integrate into the broader ecommerce stack rather than sitting alongside it. Sellers don’t have to choose between audience and ownership. They can operate across both.
🧠 Etsy Tests AI-Powered Shopping With ChatGPT Integration
Etsy is testing a ChatGPT-powered shopping assistant designed to help users find products through conversation, starting with gifting. Instead of browsing categories or refining search terms, shoppers describe who they’re buying for, the occasion, or the type of item they want, and the system generates tailored suggestions.
The shift moves Etsy away from traditional search and toward guided discovery, where product recommendations are shaped by context and intent rather than keywords alone.
🥽 Deep Dive
Take Two for Meta - will it work this time?
Meta relaunching Shop
Meta has been here before.
In 2020, the company launched Shops across Facebook and Instagram, aiming to turn its platforms into full ecommerce destinations. The pitch was simple. Discover products in the feed, browse storefronts, and complete purchases without leaving the app.
It didn’t stick.
Shops struggled to change user behavior. Checkout often pushed users off-platform, merchant tools were fragmented, and most importantly, the content wasn’t built for selling. Commerce sat on top of the experience instead of being embedded into it.
By 2023, Meta quietly pulled back. Commerce was deprioritized, and the focus returned to ads and engagement.
Then TikTok changed the model.
Instead of building storefronts, TikTok built commerce into content itself. Creators didn’t send users to shops. They sold directly inside videos and live streams. Discovery, trust, and purchase happened in the same moment.
That model worked. TikTok’s commerce business scaled quickly, culminating in a $4.9B quarter that showed what happens when content and transactions collapse into one layer.
Now they are back.
This time, the approach is different. Instead of building standalone shopping surfaces, Meta is embedding commerce into its existing strengths. AI-driven recommendations, creator-led distribution, and ad formats that move directly into purchase.
The new system looks less like a store and more like a pipeline. Content creates intent. AI matches products. Checkout happens without friction.
The question isn’t whether Meta understands the model. It does.
The question is whether it can shift behavior.
TikTok built commerce into a culture that was already creator-first and action-oriented. Meta is trying to retrofit that behavior into platforms where users are used to scrolling, not buying.
At the same time, Meta has advantages TikTok doesn’t. Scale, advertiser relationships, and one of the most advanced ad systems in the world.
If they can connect those pieces, they don’t need to copy TikTok. They just need to make transactions feel natural inside their existing ecosystem.
I think they will “succeed” this time around for one main reason = Reels.
Instagram has gone from following your friends to what Gary Vee calls the ‘interest media’. If a user is being fed content they are interested in at the time, the reach to checkout seems shorter and more natural.
Ok, see you next week. In the meantime, Sell! Sell! Sell! 🫡