- Amazon and Snap shares rose following reports of a deal to allow users of Snap's Snapchat social media app to make purchases through Amazon.
- The plan would let customers shop via Amazon's Snapchat ads and check out while remaining on Snapchat.
- The agreement is similar to ones Amazon made with Pinterest and Meta Platforms.
Shares of Snap (SNAP) surged over 8% and Amazon (AMZN) shares gained more than 2% in early trading Tuesday following reports the two companies struck a deal to allow users of Snap’s Snapchat social media app to buy products through Amazon.
Reports said the agreement will let customers shop via Amazon’s Snapchat ads and check out without leaving the platform.
Amazon indicated that the in-app shopping will be available for select products sold by Amazon or independent sellers in Amazon’s store. It added that consumers would be able to see real-time pricing, Prime eligibility, delivery estimates, and product details.
The move by Amazon follows similar arrangements it made earlier this year with Pinterest (PINS), and one last week with Meta Platforms (META), which gives Facebook and Instagram users the same in-app ad buying opportunities.
The news sent shares of Amazon to their highest level since April 2022. Snap shares were the highest they’ve been since July.