Facebook starts selling retail gift cards on website

SAN FRANCISCO Fri Feb 1, 2013 12:15am IST

A women works with her computer which displays Facebook logos on the screen in Bordeaux, Southwestern France, January 30, 2013. REUTERS/Regis Duvignau

A women works with her computer which displays Facebook logos on the screen in Bordeaux, Southwestern France, January 30, 2013.

Credit: Reuters/Regis Duvignau

Related Topics

Stocks

   

SAN FRANCISCO (Reuters) - Facebook Inc(FB.O) introduced gift cards on Thursday that consumers can use at Target Corp (TGT.N) and a handful of other businesses in the social network's latest move into the retail market.

Consumers in the United States can buy the cards for their Facebook friends and choose from four different businesses: Target, LVMH Moet Hennessy Louis Vitton SA's Sephora, Jamba Inc's (JMBA.O) Jamba Juice and Darden Restaurants Inc's(DRI.N) Olive Garden.

A card can hold multiple gift balances, each dedicated to a specific retailer, Facebook said.

The world's No. 1 social network, with more than one billion users, Facebook is gradually offering more retail services, though it relies on advertising for the bulk of its revenue.

Last year, it launched a feature that allows users to send retail goods, such as sunglasses and pastries, to their friends on the social network.

Facebook Finance Chief David Ebersman tempered expectations about the new gifts business in its quarterly earnings conference call with analysts on Wednesday.

While Facebook believes online commerce has "long-term potential," the current revenue from such efforts is very small and will remain so throughout the year, said Ebersman.

Shares of Facebook fell 13 cents at $31.10 in mid-day trading.

(Reporting by Alexei Oreskovic; Editing by Jeffrey Benkoe)

FILED UNDER:

Sony Cyber Attack

REUTERS SHOWCASE

Forceful Conversions

Forceful Conversions

BJP distances itself from religious conversions.  Full Article 

Photo

Fund Raising

Flipkart raises $700 million in fresh funding.   Full Article 

Reforms Push

Reforms Push

Modi may order insurance, coal reforms if vote delayed - officials.  Full Article 

Economic Pulse

Economic Pulse

Crank up public spending to revive growth - chief economic adviser.  Full Article 

Reuters Exclusive

Reuters Exclusive

India looks to sway Americans with nuclear power insurance plan  Full Article 

Down Under

Down Under

Magic Johnson inspires Australia to second test win.  Full Article 

Going International

Going International

Bollywood’s Priyanka Chopra sets sights on American TV.  Full Article 

India This Week

India This Week

Some of our best photos from this week.   Full Coverage 

Reuters India Mobile

Reuters India Mobile

Get the latest news on the go. Visit Reuters India on your mobile device   Full Coverage