Every business on Facebook is trying to make money. With the growing number of Facebook profiles and the increasing popularity of social media marketing companies to carry the weight of company advertising, a startup company might have just proven that Facebook Shops can work.
Zindigo is a startup company that encourages Facebook users to sell company merchandise to receive a 40% commission; 40% commission!! According to the report on Mashable, consumers open their own shops as business pages on Facebook stocking their shops with merchandise from more than 80 apparel and accessories designers. Merchandise sold will include items from Kara Ross, Erickson Beamon and Isabella Fiore and while Zindigo will focus initially on fashion, the company plans to expand into travel, hospitality, automotive and entertainment.
Zindigo has 18 employees divided between New York City and Palm Beach, Fla. The company takes around a 15% cut of every sale. In addition to individually operated storefronts, Zindigo will also have its own Facebook store for partner brands, as well as an ecommerce consultancy for brands.
What’s important to take from the Zindigo project is that anyone can be an entrepreneur within the Facebook universe. If you want to make some money by just promoting a certain product you can easily do so. Just getting someone to buy a $500 pair of shoes can get you $200; nothing like a digital Mom and Pop store to get yourself a new pair of shoes.
How can marketing companies utilize this strategy for their clients? An online marketing company can attract a different population of users to sell their client products while earning revenue or sample products for themselves. Getting potential consumers to promote a product is not very different to the blogosphere where a blogger is rewarded for promoting product. While 40% is a little high, a solid percentage of commission can be regulated depending on the product that is being offered.
What can result from this strategy is a strong forceful push to achieve Facebook brand page likes and revenue. This strategy could also impact SEO if the consumer clicks on the links that lead the consumer to the actual website. If there is any service that is worth putting all your eggs into a single basket, I think this is the one.