Since social media began it’s always had the problem of where to get the cash from, it all boils down to either charging users to sign up, or getting money from advertisers – we certainly know which model we prefer! With this in mind, social commerce has been tried and tested for a while, but last week saw what seem to be the most ‘promising’ changes yet. Here are the 10 things that we learnt, and that you need to know:
1. Facebook is currently trialling a ‘buy’ button with a select few small and medium businesses in the US.
2. All payment will go through Facebook and the network has reassured users that payment information will not be shared with other advertisers. People can then choose whether to save their payment details with Facebook or re-enter them each time they make a purchase.
3. If a user chooses to save their payment details with Facebook then the transaction will work with a ‘one click’ mechanism, similar to Amazon, making it very easy for users to go on a shopping spree without leaving Facebook.
4. Facebook will not be taking a cut of the transactions it generates yet, but hasn’t ruled this out for the future.
5. On the exact same day that Facebook started trialling the ‘buy’ button, Twitter announced its plans to purchase the San Francisco start up CardSpring.
6. Twitter isn’t new to the world of social commerce and is already working with the likes of Starbucks to allow users to tweet a coffee to a friend, and Amazon to let users add products to their basket using a hashtag.
7. Earlier this month Twitter has also started testing a ‘shop now’ button on ads that let people buy directly from Twitter.
8. On 11th July Snapchat filed two trademarks which nod towards monetisation. Spotted by TechCrunch, the trademarks indicate the social app’s interest in peer-to-peer payments, money transfers or online payments.
9. Snapchat trademark one is: “Computer application software for processing electronic payments to and from others that may be downloaded from a global computer network” – Trademark Serial # 86335306
10. Snapchat trademark two is: “Electronic transfer of money for others; providing electronic processing of electronic funds transfer, ACH, credit card, debit card, electronic check and electronic, mobile and online payments” – Trademark Serial # 86335307
Are you planning a social media shopping spree? Tweet us your thoughts on social commerce @wehavezeal.