Meta promotes in-site shopping, will Chinese sellers gain new competitors?

According to foreign media reports, Meta (formerly Facebook) is planning to increase investment in in-site stores and will sell more products through in-site stores.

It is understood that Facebook 's parent company Meta will prioritize investment in promoting "in-site shopping" in 2022 and encourage all of its applications ( including Facebook, Instagram and Messenger ) to sell products directly on the site through in-site stores .

Meta 's predecessor Facebook has been trying to enter the e-commerce field since at least 2015. In 2020, Facebook and Instagram successively launched store features in their applications. As Facebook changed its name to Meta, its business model has changed, and e-commerce is becoming an important part of its revenue model.

In the latest earnings conference, Meta CEO Mark Zuckerberg said: "Our next priority is commerce, helping people discover new products they are interested in, and attracting customers to stay in our applications. We will unlock a lot of opportunities."

A Meta insider said Meta's goal of increasing on-site sales is to increase the company's advertising revenue. Internal documents show that if on-site store ads perform better than ads that direct users to open external sites, then 2022 will be a successful year for Meta.

At the same time, the insider said that Meta's increased investment in on-site sales may have an impact on some of Shopify's businesses. "Shopify is Meta's rival, and Shopify is currently ahead of Meta."

It should be noted that Meta's "on-site shopping" business will focus on American lifestyle merchants, and merchants outside the United States are not considered in promoting the "on-site shopping" business. From this point of view, Meta will focus on supporting local American sellers on its platform.

Meta's social APP has huge traffic. With the development of social e-commerce, it may become an important e-commerce platform in the future and compete with Amazon. However, this platform has closed its doors to Chinese sellers. Domestic Amazon sellers may face competition from Meta platform sellers in the future.

In addition, will Meta's increased investment in "on-site shopping" affect the advertising on its platform and the advertising traffic of independent site sellers? This also needs to be observed in the future.

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