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Home » Social Commerce, Social Commerce Spotlight

Social commerce spotlight: Are trust issues to blame for slow f-commerce uptake?

Submitted by on January 13, 2012 – 6:46 am3 Comments

Security concerns and trust worries are playing a big role in a general apprehension towards Facebook shopping, a new survey by the Ponemon Institute and ThreatMetrix suggests.

The study surveyed 722 American ‘active users of the Internet’, who each spend an average of 24 hours per week online.

Sixty-seven percent of respondents said – pre-holiday season – that they planned to spend more on Internet purchases than on in-store purchases, but where does the balance lie between traditional online shopping and Facebook-centric shopping? The report reveals that only 32 percent of the people surveyed said they’d ever browsed a brand’s Facebook page and then made a purchase on the brand’s website, and only one in five said they’d made a purchase directly through Facebook. These meagre numbers, it seems, are down to security concerns and fears of fraud .

Of all users surveyed:

• 57 percent have some concerns about fraud when shopping online
• 26 percent have serious concerns about fraud, and
• 72 percent worry ‘in general’ about becoming a victim of online fraud.

In a Facebook-centric capacity, only 26 percent of respondents believe that Facebook storefronts are secure. Fifty-three percent do not think Facebook storefronts are committed to protecting users, and 23 percent are unsure.

Alisdair Faulkner, Chief Products Officer at ThreatMetrix, told Mashable that by and large people trust the Facebook brand, but don’t necessarily trust their friends and family to be vigilant to scams and phishing attacks. Facebook could help itself in this arena, Faulkner said, if it responded more quickly to such incidents: “It takes them hours, and that’s a lifetime on the web,” he noted. Indeed, the report indicates that 43 percent of those surveyed said that their perceptions about the security of a website can affect their use of the site, and highly-publicised stories about spam attacks on Facebook won’t help in this regard.

However, ecommerce platform Payvment reports that it saw one million purchases through its online channels this December – can that be linked to its solid and well-respected reputation? Regardless, online merchants need to pay attention to how their security protocols appear to users – even the tightest mechanisms will prove fruitless if there are no customers there to protect.

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3 Comments »

  • Mia Perry says:

    There’s no doubt that F-commerce is the next step in the e-Commefce evolution.
    Like in any evolution, these things takes time, but we at StoreYa, see the amazing daily growth in merchants.

  • I do feel, like with any new Technology, there are some apprehensions around f-commerce. However it is undoubtedly the next stage in the evolutionary cycle. At Social Innovations we are seeing f-commerce start to get traction in the UK.

  • keith says:

    F-commerce may not have progressed as quickly as predicted & this may have to do with companies trying to replicate their ecommerce website onto Facebook. It will take time for businesses to understand the f-commerce best practice.

    It makes sense that f-commerce will evolve because if your audience is hanging out on Facebook then it makes sense to provide them with an opportunity to purchase your products directly through Facebook and not redirect them away.

    Vendorshop has many successful merchants selling their products through their storefronts on Facebook.

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