“Facebook Gifts” allows Facebook users to purchase and send products to their friends. Over one hundred “Facebook Gifts” vendors, such as Starbucks and Magnolia Bakery from New York, will ship orders clicked to their site. Initially, a random group of Facebook users logging on will be able to participate. Smartphone apps are in the works also.
“Facebook Gifts” is seen as a strategic move to continue diversifying revenue beyond display advertising. “Gifting” is seen by Facebook executives as a natural extension of the Facebook user experience. Facebook Gifts” revenue will derive from a percentage of each gift transaction.