Ecommerce on Facebook, the Latest Trends

Asos


Asos (As Seen on Screen) is the first retailer in Europe to set up shop on Facebook. The London-based clothing shop received this designation on January 27. Most retailers, including Asos competitors, use the social network to communicate with fans – what I usually recommend. Now Asos 465,000 fans can shop 150,000 produces without leaving Facebook. They can post photos for friends to see and comment on.

Asos CEO, Nick Robertson, says “Our [customers] are on Facebook all day, every day.” At present the store can only be accessed via PC or iPad, but the app for smart phones is in the works.

Moppers

Mobile shoppers or “Moppers” have been using smart phones, iPads, and other mobile devices to browse, comparison shop, and ask friends for advice. Making a purchase seemed the next natural step. Of Facebook’s 500 million users, 200 million access the network mobile. Mobile users are twice as active as PC users.

According to Verdict Research and Ovum, mobile commerce will double in the UK by 2013, reaching $440 million. Major names, J.C. Penney and Delta Air Lines, have already worked with developers to set up shop. Mike Fauscette of IDC in Framingham MA says that in three to five years 10-15% of consumer spending in developed countries will take place through social networking sites.

World’s largest ecommerce marketplace, EBay, predicts doubling of mobile sales this year. Fashion sees the biggest growth. Britain’s top retailer, Tesco, has had an app (since October) that allows shoppers to photograph a barcode and add the product to their virtual shopping basket. John Lewis will be launching a smart phone app that will offer fashion advice and buying guides early this year.

Gaming

Side Note: Zynga, Facebook’s number one game developer, is looking to go public. T. Rowe Price and Fidelity are rumored to be raising $250 million in funding. Valuation is estimated at $9 billion. There is a rush to invest in the company (before its IPO) by institutional fund managers.