Facebook is launching 'Collections', a new feature aimed at retailers that Facebook hopes will increase its stature as an e-commerce destination.

Currently, only US-based Facebook users can trial the new feature, which is being tested by seven American companies.

Collections

Collections allows brands to share a product as a post, which fans of the brand can now Like, Want or Collect.

Liking a collection that a brand has shared adds it to a new ‘products’ section of a user’s timeline. When a user decides to Want a product that a brand posts, it will be added to another new section called ‘wishlist’.

Collect is the drawcard, as it allows users to purchase the product directly from the Facebook page.

The Collect button also adds the item to the ‘products’ section, as well as sharing it as a post to appear on friends’ news feeds.

Privacy problems

Collections has potential positives and potential negatives for users and brands.

Brands will hope the feature can increase sales as they are able to highlight current products, while it also means users do not have to click-through to their website to purchase the product.

While this might lead to more impulse buys, brands are missing out on potential sales when a user doesn’t click through to the website to discover more products.

Users, however, may worry about the privacy of sharing anything they purchase through Facebook, especially a gift or something personal.

Potential purchases may also be delayed by a resistance to entering credit card details via Facebook.

Facebook does allow users in Australia to purchase game credits with Paypal, POLi (a web-based system used by airlines) or even a direct bank transfer, so it is not out of the question that users may use these when Collections launches here.

Room for improvement

As Collections is still in beta testing, some related features available to brands aren't yet integrated.

Collections only appear to existing fans, as brands are unable to turn the post into a Sponsored Story advertisement, which appears to users who aren't fans of the brand.

Facebook Gifts was launched two weeks ago, and Collections' new wishlist feature could link the two together if brands and users take to both services.

Aside from challenging Pinterest, Facebook will hope brands are enticed to keep users on the network, rather than moving to an external website.

Having over one billion potential customers helps, too.

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