3 Apr 2011

Will Facebook Commerce Kill E-commerce?

Does F-commerce (Facebook commerce) mean the end to e-commerce as we know it? According to Adgregate Markets and Webtrends it might just happen. The two companies state that major companies (Fortune 100) are experiencing a decline in visits to their websites. Last year 68 per cent of the top 100 companies were experiencing fewer visits on their websites with an average drop of 23 per cent.

Traffic is increasing on Facebook
At the same time there is an increase in visits to companies' Facebook fanpages in general. In a sample of 44 companies, 40 per cent experienced higher traffic to their Facebook page compared to their website. In this sample 65 per cent (13 companies) of non-e-commerce companies received more unique visits to their Facebook fanpage compared to their website. However, e-commerce companies did better than non-e-commerce companies. 5 companies did have promising Facebook trends and 77 per cent did drive consistent traffic to their websites, although experiencing a decline in annual visits.

Conversion rates
Conversion on Facebook isn’t bad either. Facebook commerce conversion rates range from 2 per cent to 4 per cent which is equal to e-commerce websites which has a 3.4 per cent average according to Forrester and shop.org. The average order value is $104 (£64.5; €73.06) with 24 per cent growth month over month.

What to think and do?
Well, the numbers are there but does this mean that e-commerce will be replaced by F-commerce? Time will tell, but probably not. What it means is that in our struggle to care for both e-commerce and m-commerce (mobile commerce) we just have another channel to tend to: F-commerce. And let’s be honest: It’s great! So if you want to nurture this channel you need as a minimum to have a shop tab on your facebook fanpage giving your customers a shopping experience equal to one you give them on your website.

See Whitepaper from Adgregate Markets and Webtrends.


  1. Internet marketing, also known as digital marketing, and web marketing, online marketing, search marketing or e-marketing, is the marketing of products or services over the Internet. Facebook will help in E-business as it is known by everyone everywhere. By the way I think it is not possible that facebook will replace e-commerce.

    online sales

  2. I agree, I think Facebook will help e-business but I don't think it will replace it. Not as Facebook is today. But Facebook might change and my opinion might change too.