Companies on social networking website Facebook are not only leveraging its popularity to increase awareness, but can now also directly sell products on the site – for no added cost.

‘Payvment’ is used by 30,000 businesses and brands worldwide according to its website, providing access to online shopping for the half a billion people worldwide with a Facebook account.

Businesses have been harnessing the marketing power of Facebook for a few years now, via fan and community pages with information and special offers, which appear directly in a Facebook user’s news feed.

If you’re on Facebook, it’s likely you are already following a favourite brand, business or retailer, from a well-renowned fashion label to a local band or musician.

Previously, in order to conduct a sale, businesses had to direct Facebook users to an external website (often the company’s online store on its own website), now the Payvment application allows businesses to conduct transactions without actually leaving Facebook.

Anyone with a Payvment account and a PayPal account (both free of charge) can set up an online store on their Facebook page, with next to no technical knowledge required.

This technology could convince more businesses to embrace social networking websites, as they’re now capable of being used as a selling tool, as well as a marketing tool.

Facebook users who officially ‘like’ a business or product can also receive discounts through the Payvment store, a direct incentive for consumers to directly engage with a business, and recommend to friends and family.

There are also other companies looking to help businesses sell directly on Facebook, like Alvenda and BigCommerce.

Payvment is currently in its free public beta phase, and is being used by businesses in the United States, Europe and Asia. There is not an Australian example yet, but Payvment accommodates more than 20 currencies, including Australian dollars.

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