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Facebook Marketplace vs Facebook Shop: Choosing the Best Platform for Selling on Meta 

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Facebook Marketplace Vs Facebook Shop

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Meta has provided several ways for entrepreneurs and brands to sell products on Facebook. In fact, the social media platform has two specific features intended for e-commerce operations: Facebook Marketplace and Facebook Shop. But which of these two Meta e-commerce platforms is the right choice for you?

Both Facebook Marketplace and Facebook Shop come with different requirements and features. In this guide, we’ll understand how these two Meta sales channels work and help you decide which is right for your business.

Selling on Facebook Marketplace

buying items on Facebook Marketplace

Do you remember Craigslist? It’s the online version of classified ads where people can list anything they can think of—products, jobs, and even spaces and cars for rent. You get the picture, right?

Facebook Marketplace was designed to function like that. It’s a peer-to-peer sales tool where users can buy and sell their products within the Facebook platform

Facebook Marketplace was launched way back in 2016, but it has grown a lot since then. According to recent reports, the platform attracts 1 billion users every month.

While Facebook Marketplace is mainly designed for local transactions, some sellers can also offer nationwide shipping for their products. This option is available in different categories, such as clothing, shoes, accessories, books, hobbies, home goods, toys, games, electronics, and collectibles.

Advantage of Selling on Facebook Marketplace

One of the biggest advantages of selling on Facebook Marketplace is that listing your product is completely free. Unlike other e-commerce or reselling marketplaces, Facebook charges zero fees to list your items if you sell them locally.

That also means that everyone can sell on the Marketplace—not only entrepreneurs, brands, or online shop owners, but literally everyone, even those people who have spare items in their house.

The process of selling on the marketplace is also straightforward. You simply need to sign up as a seller and upload your items. You are required to fill in descriptions of your items such as the title, price, category, and condition.

While Facebook Marketplace is designed to be purely a peer-to-peer operation, the platform has several features and filtering options to facilitate a successful e-commerce operation. Both sellers and customers can narrow down their search by location, price, condition, category, and delivery method.

Furthermore, Facebook Marketplace allows you to advertise your listing by simply boosting your post.

Communication is also straightforward. Sellers or buyers communicate directly through Facebook Messenger. Here, they can arrange payment and delivery details.

Another advantage of Facebook Marketplace is that everyone can see the profile and ratings of both sellers and buyers. It also has built-in features that allow users to report or block any suspicious or abusive users.

Disadvantage of Selling on Facebook Marketplace

If you are interested in selling items on Facebook Marketplace, it’s important to be aware of its drawbacks. For instance, you are responsible for arranging the delivery or pickup of your items. 

The platform doesn’t have fulfillment services, so you will have to take care of that yourself, which can be time-consuming and costly.

These peer-to-peer transactions can also expose you to different risks such as scams and fraud. If something goes wrong, the platform has no seller protection or dispute resolution system.

Finally, Facebook Marketplace does not offer a dedicated storefront for your business or page.

 You can only create individual listings for your products. This can be challenging considering the number of sellers on the platform.

Selling on Facebook Shop

Facebook Shop

Facebook Shop is a digital storefront that was launched way back in 2020. In this Meta e-commerce platform, businesses can showcase and sell their products on Facebook Pages.

Facebook Shop is different from Facebook business pages. While you can also showcase products on the Facebook page, your buyers still need to go to a different page or platform to complete their purchase.

Shops, as mentioned, are digital storefronts for businesses. That means that you’re not only able to list your products on the platform, but you can also process orders and payments all in one place. 

Here, your customers can browse your products, add them to their cart, and check out without leaving Facebook.

Advantage of Selling on Facebook Shop

Facebook Shop is a powerful platform for online sellers who want to reach a large and engaged audience. Here, you can easily create your shop page, without any fees or coding skills required. 

The Facebook Shop platform also supports a variety of payment options and shipping processes, which streamline your e-commerce operation.

Unlike Marketplace, Facebook Shop offers exclusive access to different e-commerce tools for sellers. For instance, you can use Facebook’s Pixel to track the actions and conversions of your customers on your shop. There are also analytics tools that let you monitor your clicks, impressions, revenue, and more.

Integration with other e-commerce platforms is also easy. You can connect your Facebook Shop with third-party platforms such as Shopify, WooCommerce, and more.

 This way, you can easily sync your inventory, orders, and products. Furthermore, you can showcase your products on other Meta platforms such as Instagram, Stories, and WhatsApp.

Disadvantage of Selling on Facebook Shop

Since Facebook was launched not more than 4 years ago, you can say that the platform is still in its early phase.

You can expect several changes to happen on the platform. However, some of these changes may have a negative impact on online sellers and brands in the Philippines.

One such change is the removal of the Shop feature on Facebook and Instagram.

On April 27, 2023, Meta announced that Shops on Facebook and Instagram and associated features are no longer available in the Philippines and other APAC countries.

This also means that product tagging (in posts, Reels, and stories) and creating custom and lookalike audiences based on shop visitors are no longer possible.

As of this writing, the reason for this decision is unclear. It is uncertain whether the Shop feature will ever come back to the Philippines. However, Meta continues to update the Shop platform for other regions.

Facebook Marketplace Vs Facebook Shop: A Brief Comparison

What’s the difference between Facebook Marketplace and Shop? In this section, we will highlight the key features of the two Meta e-commerce platforms and how they differ from each other. 

Facebook Marketplace 

 

  • Sellers can list products for free.
  • Buyers and Sellers need to arrange their payment and shipping methods outside the platform.
  • Has no store customization feature.
  • Doesn’t offer e-commerce tools for sellers.
  • Sellers cannot integrate their products into other platforms.
  • Available for merchants and brands in the Philippines.

Facebook Shop 

 

  • Sellers can list products for free but may need to pay commissions and fees for every item sold.
  • Supports multiple payment options and shipping processes.
  • Allows sellers to customize their storefront based on their branding.
  • Offers exclusive tools for marketing, customer support, analytics, and more.
  • Sellers can integrate Facebook shops with an eCommerce platform like Shopify or WooCommerce.
  • Currently not available in the Philippines (as of August 2023).

Sell More Online on Different E-commerce Platforms

As an e-commerce business, it’s important to be available on different platforms. Facebook isn’t the only option you have. There are many other platforms out there that can help you reach more customers and grow your business.

Be Global E-commerce Corporation can help you with that. Whether you want to sell on Lazada, Shopee, Zalora, or any other marketplaces, we can help you set up your store, upload your products, and manage your orders. We also provide marketing and customer service support.

Contact us today and let us Sell More Online.

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