Facebook wants to become the platform for online trading – and with its huge reach and technical strengths it could stir up business.
Retailers can now easily create online shops that use Facebook and Instagram are reachable.
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There is also “Live Shopping”: the opportunity to sell goods in a video livestream. Germany is among the first countries in which Facebook shops have been set up since Tuesday evening.
The project is primarily intended to help smaller companies survive the corona crisis, said Facebook’s founder and boss Mark Zuckerberg the German press agency. “It’s something I’ve been interested in for a while, but when Covid-19 came out, it got really critical and urgent.” Many smaller companies – whose advertisements are important for the business of Facebook are – are on the verge of looking for a way out in the online business. That is why the development of Facebook Shops have been “drastically accelerated”.
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Chosen for you
For Facebook The shopping platform itself will bring data about the behavior of customers – similar to other offers of the online network, such as Pile of sugar stressed. “We will see which shops they interact with, what products they are interested in, what they buy and so on.” At the moment, however, no function is provided to share this information with friends, and nobody else except the user, the shop and Facebook get access to it. With the data, however, the online network could continue to perfect its lucrative ability to get advertisers to the right addressees for their ads.
The establishment of the Facebook shops will be free of charge for retailers, said Pile of sugar. Fees would only be due for payment functions, for example – “but the main thing is to cover our costs.” Facebook assume that advertisements from retailers will increase the revenue of the online network. “Our advertising system works with auctions where a company offers as much as an ad is worth. If we can make an ad more valuable because someone who clicks on it is more likely to buy something, we will make more money from advertising “he described Facebook’s train of thought.
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