Facebook Launches In-App Shops to Keep Small Businesses Afloat
Facebook introduces a new feature allowing users to browse and buy products directly within Facebook and Instagram, eliminating the need to visit external websites. The launch aims to support small businesses struggling during the COVID-19 pandemic while driving future advertising revenue.
Facebook introduces Facebook Shops, a new feature that allows users to browse and purchase products directly from a business's Facebook Page or Instagram profile. Unlike previous e-commerce efforts, this tool enables businesses to build a complete, customizable online store within the social network apps for free. This shift responds to changing consumer habits during the pandemic, as people increasingly turn to social media for updates on local store hours and curbside pickup options.
CEO Mark Zuckerberg frames this launch as a critical way to help small businesses survive the economic fallout of COVID-19, even though he admits it will not undo all the financial damage. He emphasizes that the trend toward online living and digital business continues to grow and will persist long after the pandemic ends. Currently, nearly one million businesses are participating in this global test of the new shopping feature.
The company plans to monetize these shops primarily by driving increased advertising rather than relying solely on small transaction fees. Businesses can build their shop once and have it appear consistently across both Facebook and Instagram, while discovery methods vary from the Facebook Marketplace to tagged products in Instagram photos. This seamless integration ultimately keeps users inside the Facebook ecosystem from product discovery to final purchase.