F-commerce is well on its way to $30 billion marketplace: Storeya
We’ve written about the doubts now lingering over Facebook retail, or F-commerce, in light of the highly visible closures of shops on the social network by big retailers such as Gamestop and The Gap. To get the other side of the story we’ve asked F-commerce enabler Storeya to describe what it’s seeing in the market. Not surprisingly, Storya tells us F-commerce is alive and well.
The following is a Q&A with Eyal Reich, StoreYa’s founder and COO. We will run part 2 of this Q&A later.
SMI: Firstly, can you describe what Storeya does, when you launched and what kind of customers you have?
StoreYa is an F-commerce platform designed for automatically importing and syncing web stores to Facebook, fully customizing them to fit both the Facebook arena and the original store look-and-feel.
StoreYa provides unique white-label plan-enabling agencies to easily design Facebook stores from scratch for their clients. On top of that, StoreYa provides the merchants with tools for gaining more fans, purchases and data by driving fan loyalty and activate fan advocacy through fan-first and fan-exclusive deals in Facebook fan-stores.
StoreYa was launched six months ago, and already has thousands of happy merchants using its platform. Our merchants come from a wide range of industries including: clothing & accessories, shoes, jewelry, cosmetics, home décor, toys, automotive, sports, electronics and even some famous rock bands, selling their merchandise to their fans.
SMI: here has been a lot of attention paid to the promise, and now doubts, around f-commerce specifically, and social commerce in general. They range from privacy concerns for consumers to big brand retailers such as Gap and Gamestop shutting down their Facebook storefronts. Is this a matter of early stumbles for online retailers, or will is f-commerce really in trouble?
F-commerce, and S-commerce are still in their early stages, but they are the next step in the e-commerce evolution. Facebook is already directly responsible for billions of dollars of third-party commerce transactions as a result of their social plugins and Open Graph API.
Looking at F-commerce, you can see interesting campaigns such as the launch of Heinz ‘Get Well’ Soup cans: 4 weeks, 2,127 sales – 1 sale per 8 fans – and a 200% (32,810) increase in Facebook ‘Likes’. These numbers speak for themselves.
Companies like Gap and Gamestop closed their stores because the company that built their stores, Adgregate Markets, closed its doors. However, we’re positive that they will use the knowledge they have gained from this experience and develop something new and improved.
The future is in social, because social has the ability to personalize your shopping experience to the maximum, making it easy and fun for you to shop and share with your friends.
For F-commerce to become a $30 billion market as Booz & Co predicts, we all need to understand that importing e-commerce stores to Facebook is only the first step – you must provide the merchants with the right engagement & promotions tools, such as: fans-first, fans-exclusive deals & discounts, and a personalized shopping experience. These have an important added value to the social shopping experience.