Soon You Will be Able to Sell Products Directly on Facebook and Instagram

Facebook has announced the launch of Shops, a new way to sell products directly to users.

The rise of e-commerce over the last several years doesn’t appear to be slowing down any time soon. Especially in times like this, when brands are quite literally dependent on online sales. Companies that had shifted pre-COVID-19 to more digital presence and less brick-and-mortar are perhaps a tad more comfortable at the moment, but even in these cases they’re hurting. Glossier, a skincare and makeup company founded by former beauty blogger, Emily Weiss, has long claimed to be a “digital-first company” that has since day one received the vast majority of their sales through their website. They announced this week that employees will be furloughed on June 1. Times are getting tough, even for companies like this. Facebook Shops is appearing at the perfect time, especially for small businesses.

But, if you’re anything like me, when you heard the news you thought, wait, doesn’t this already exist? Cause I’m fairly certain I’ve bought a thing or two from Facebook over the years. Ahh, yes, the Marketplace. Turns out there are two different shopping experiences on Facebook. Read through our Q&A to find out the difference between Shops and Marketplace, the benefits of Shops and how to get started.

What is Facebook Shops?

Facebook Shops will allow businesses to set up unlimited product listings on their Facebook Page, Instagram profile, Stories or in ads and sell them directly to users.

how much does it cost to use?

It’s free.

What is the difference between Facebook Marketplace and Facebook Shops?

Although both Facebook products sell things to people, they’re designed for two difference audiences. Think of Marketplace as a modern day version of Craigslist or Poshmark. Users can target other users in the same area and sell products, most commonly used stuff they no longer want. On Instagram, you’ll see users post pictures of the products they’re looking to rid and sell them that way.

Shops will differ in that the sellers are businesses and the products are new, more like an Amazon or an Etsy than a Nextdoor. Marketplace also does not support transactions whereas Shops will.

What are the benefits of shops?

You don’t need a pre-existing digital store front to get started on Shops. One thing you will need, however, are physical products. Things like webinars, courses and digital downloads will not qualify.

• Talk with your customers directly through WhatsApp, Messenger, or Instagram Direct

• Transactions occur without ever leaving the app

• Brands can customize their Shops to feel on brand

What you need to get started

You will need a Facebook account, a business page, a tax identification number, a bank account and physical products.

How to set it up

Just announced yesterday, there is no information just yet on how to get started. Facebook plans to begin rolling this out now and connecting with brands to get started ASAP. We will continue to update this post as more info comes and as brands begin to get these in place. One thing is for certain though, it couldn’t have come at a better time. There is no fee to the business to set this up, Facebook will take no cut of the sales and businesses of all sizes can use.

Information is still developing, but we suspect brands will adopt fast and furiously. Some reports have said a million businesses have already signed on.