August 2013 - It is being widely reported today that Facebook are in the process of testing a new payment system that would allow online shoppers to pay for goods and services on mobile apps using their Facebook login credentials without entering billing information during the checkout!
The services would work for any Facebook member that has previously provided their credit card details according to sources familiar with the company's plans and reported by All Things D. What is not clear is how many credit cards Facebook has on file, but one has to beleive it is a lot!
To test the service it is beleived that JackThreads (flash-sale shopping site for young men) is the Pilot Partner for the service. A good choice and fit for a pilot program partner as there is a strong relationship with Facebook, have substantial revenues over mobile and appear to have the right demographic overlap with Facebook gamers, who already would have provided Facebook with billing information.
Should the pilot program prove to be a success and full-scale implementation ensues, it would no doubt compete with the digital payment giant, PaylPal. Another consideration here is that this would alos level the playing field with offerings from other giants such as Amazon, Google and many other start-ups focused on mobile payment solutions.
There are a number of other downstream benefits this program coul deliver if successful, such as giving Facebook insight into the shopping habbits of their users, with this data being used to optimize advertising sales, potentially help recommend stores to users and such like.