Facebook is making a major new push into e-commerce. The company today announced the launch of Shops, a way for businesses to set up free storefronts on Facebook and Instagram. The shops, which will be powered by third-party services, including Shopify, BigCommerce, and Woo, are designed to turn the social network into a top-tier shopping destination.
In a live stream, CEO Mark Zuckerberg said expanded e-commerce would be important to begin rebuilding the economy while the pandemic continues. “If you can’t physically open your store or restaurant, you can still take orders online and ship them to people,” he said. “We’re seeing a lot of small businesses that never had online businesses get online for the first time.”
The launch of Shops comes as stay-at-home orders related to the COVID-19 pandemic have led to record sales for e-commerce companies. The pandemic has also been devastating for small businesses, with a third of them reporting that they have stopped operating in a survey conducted by Facebook and the Small Business Roundtable. An additional 11 percent say they could fail within the next three months if the current situation continues.