Created in February 2004, today the world’s largest social networking firm, Facebook is all ready to test the new mobile payment feature. It will be using details of the payment added by users to their Facebook account so that the forms are automatically filled in when they make purchases on Mobile Apps.
Mobile Payments seems to be a new trend in the market as several companies are planning to invest into it. Although, the feature in Facebook will not involve something like moving the payment processing away from the apps current service provider, rather the product will be used simply to test how they can help their app partners to provide them with easy commerce experience.
In addition to this it was reported by the Facebook’s spokesperson that the firm has a healthy relationship with PayPal, which one of the biggest firm for online payments. With more than a billion members of which half log in daily, Facebook’s popularity has seen it attract advertisers keen to invest into promising consumer pool.
Latest earnings report claim that a revenue of $1.6 billion was generated just from Advertising in the second quarter of this year. The new feature of online payments will also allow Facebook to know as to how many users actually purchased items from partner applications.
The MD of Frost & Sullivan, Manoj Menon told BBC that rather then staying just a platform for brand promotion and lead generation, Facebook wants to become the center of E-Commerce. He also exclaimed with great enthusiasm that it will be great move by Facebook, as this feature will be helping them to demonstrate to the advertisers the effectiveness of its platform in driving revenue.
As a result of which some of the analysts were inclined to claim that if users would trust a social networking site about their financial information.