Consumer Psychology for a Digital Age

P&G Launch 6 New Facebook Stores: “Live Learning Labs” [Screenshots]

P&G have upped their f-commerce game, opening new Facebook stores for  Tide, Gillette, Olay, Gain, CoverGirl, Luvs and Febreze.

As with last year’s pilot P&G Facebook stores, P&G are outsourcing e-commerce heavy lifting; this time not to Amazon, but to PFSWeb‘s eStore – an independent online retailer that exclusively sells P&G products.  The f-commerce software is a very slick looking Resource Interactive product formally known as “off-the-wall”, but now rebranded as DCP (Distributed Commerce Platform). For a brand manufacturer with limited e-commerce experience, this outsourcing is smart.

Interestingly, P&G is leaving the door open for other retail partners to join the party and sell from their brands’ Facebook pages: A message on the splash tab of the e-commerce apps invites customers to “Purchase on Facebook through these trusted retailers” – although eStore is the only option currently available (Walmart is rumoured to be interested).

Apart from the innovative ‘f-commerce without tears’ approach adopted by P&G, what’s interesting is WHY P&G are doing f-commerce at all.

It seems that for P&G f-commerce is less about sales, and more about creating a “Live Learning Lab” for the business to learn about consumers, customer centricity and e-commerce.

Whilst it may be clear why P&G are selling on Facebook, it’s less clear why consumers will want to buy from the Facebook pages of P&G brands. Why buy P&G brands on Facebook when you can buy them on eStore, or any number of online beauty and household retailers?  It’s no cheaper or faster than on eStore – in fact the stores are (ports of) the eStore.  There appear to no added benefits to shopping from Facebook brand pages.

P&G might think that consumers will appreciate the theoretical convenience of not having to leave the familiar and trusted Facebook environment and click through to external websites, but we don’t think convenience is a real f-commerce benefit.  P&G may be setting up the store as a virtual flagship store, that like other flagship stores is not there to make money, but to build the brand, and if so fair enough.  But unless P&G offer a compelling benefit for shopping on Facebook, we’re not convinced it will work.

Ultimately, our view is that simply replicating what’s available elsewhere on the Web is not a viable f-commerce solution.  The future, we think, is in Facebook fan-stores offering fan-first and fan-only exclusives, along with exclusive branded fan merchandise. All with a view to activating brand advocacy.  If P&G don’t play the “fan-exclusives” card with f-commerce, consumers may be unwilling to shop there.

 

Comments (31):

  1. Jeff Sable

    June 10, 2011 at 14:27

    “Ultimately, our view is that simply replicating what’s available elsewhere on the Web is not a viable f-commerce solution. The future, we think, is in Facebook fan-stores offering fan-first and fan-only exclusives, along with exclusive branded fan merchandise.”

    Paul, you know that I concur.

    jeff

    Reply
  2. Christina Pappas

    June 10, 2011 at 16:23

    Was going to respond to this statement ‘There appear to no added benefits to shopping from Facebook brand pages.’ until I saw that you already know that the perceived benefit is that consumers can shop where are already are. So if they are on Facebook and happen to land on your fan page, see something they like, they can buy it without it disrupting their social time. But you already said it and your not convinced this is a benefit because the products are the same. Yes, you cannot think of an Fcommerce store in the same manner as you would an e-tail or e-commerce store. You need to think about the benefit (as you articulated) to the consumer to transact with you in the network and people want some kind of incentive – to feel special. Brands have failed because they have created these ‘warehouse’ of products on a shopping tab and called it Facebook Commerce. Not exactly…

    Reply
  3. Facebook Store

    June 19, 2011 at 14:38

    Does anyone know what Facebook store platform P&G used?

    Reply
  4. Mary

    June 22, 2011 at 12:46

    Your title says P&G opened 6 new stores, but I count 7. Which one existed previously?

    “P&G Launch 6 New Facebook Stores”
    “P&G have upped their f-commerce game, opening new Facebook stores for Tide, Gillette, Olay, Gain, CoverGirl, Luvs and Febreze.”

    Thank you.

    Reply

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