Facebook, Inc. (NASDAQ: FB) announced a new feature in its flagship Facebook app on Tuesday to take advantage of the online shopping frenzy sparked by the COVID-19 pandemic.
What happened: Facebook introduced “Live Shopping Fridays”, which starts on July 16 with live videos from beauty and fashion brands.
Facebook users can access Live Shopping on any brand’s Facebook page, or visit the Store tab or bookmark on their phone. Purchases are made by tapping on the products included in the stream and checking out.
With “Live Shopping”, customers can access the latest products in real time and ask questions about size, fit and tips.
In the meantime, brands can build relationships with customers, provide entertaining content, and streamline the buying process through convenient checkouts with “Shops”.
The fashion brands present their products on popular topics such as “Glow Up”, “New Fashion Finds” and “Self-Care Spotlight”.
Related Link: That Day in Market History: Facebook Goes Public
Why it matters: The “live shopping” function is expected to generate revenue for Facebook through sales fees at the cash registers. Ultimately, this could turn out to be a steady revenue generator.
Given the expected negative impacts from, it is very important for Facebook to identify additional sources of income right now Apple Inc.’s (NASDAQ: AAPL) is committed to user privacy.
If 80% of Facebook users prevent the company from following them on iPhones, the social media giant’s topline could be impacted by about 7%, Reuters reported, citing mobile ad analyst Eric Seufert.
E-commerce giant Amazon.com, Inc. (NASDAQ: AMZN) has “Amazon Live,” which enables companies to conduct product highlights, live promotions, and chat to connect with their audiences over live streams.
FB price promotion: On Tuesday’s last review at release, Facebook shares fell 0.26% to $ 314.65.
Related Link: Facebook Hits New Highs As First Quarter Revenues Rise 48%: What Investors Should Know
© 2021 Benzinga.com. Benzinga does not offer investment advice. All rights reserved.