The Integration of Facebook And Amazon!

Article Written By: crackjack

A Fortnight back, Amazon introduced a new feature that allows users to get into their Facebook network. Users can check out the recommendations from friends, see upcoming birthdays and wish lists, find gift ideas on the basis of their Facebook profile or get purchase ideas from profile based friends with similar interest. This looks very powerful and has the potential of social media to drive e-commerce move ahead.

The integration of Facebook and Amazon is itself huge, as Amazon is the E-commerce giant and Facebook the social media king. Facebook may not always reign in social media, but for now it is with more than half a billion users and still counting. Amazon s step will show the masses what is possible and others will soon try to follow this strategic move.

People recommending to each other can prove to be very powerful, but this not the only reason through which this integration can be helpful. With the web now allowing social connections through Facebook, twitter and other sites, a new movement of collaborative consumption is developing and is fostering personal connections in a way that has not been happening before.

Facebook may add a trust factor to the E-commerce websites so that people don t have to think twice before buying a thing. "According to Facebook, three times more visitors will login to their Facebook account on an e-commerce site than would create an account/register. That s significant," says SeeWhy Founder Charles Nicholls. "Visitors don't like creating accounts everywhere. They forget how to login and don't like sharing personal details unless they are willing to trust the site."

In the future, Facebook's own role in all of this may increase dramatically through advertising. It's already playing a huge role on Facebook's site. The more users share, the better Facebook can target ads to them. Facebook's ads already target you based on your activity, like what's in your profile. The "open graph" which lets you "like" stuff all over the web will only continue to spark this. This might create a AdSense like platform for Facebook. Such a scenario would obviously compete with Google's AdSense, and it's no secret that the competition between these two companies is already heating up. Whether, Facebook goes that route or not, the competition is definitely going to prevail.

The increased competition between Google and Facebook will also likely drive online purchasing. Leena Rao at TechCrunch speculates that Google Checkout could get a huge injection of usage from several elements, such as Google's newfound interest in social gaming (one of the major areas where the company appears to be going after Facebook). Another (while is still theoretical at this point) concept she mentions would have Google letting businesses and customers engage in direct transactions from Place Pages, which Google has also been putting an increased amount of focus on lately.

Some consumers will continue to express concerns about privacy with regards to how businesses tap into their Facebook or other social data, but that discussion really won't be much different than the basic discussion around Facebook's Open Graph as a whole. Facebook doesn't get your buying history. Sites don't get your Facebook info. Facebook provides your info while you're on other sites. That can add a lot of convenience to your shopping experience. That can help businesses drive sales.

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