FONU2 Inc (FONU)

[powerbattles]

FONU2 App Changes Social Media and Commerce
By Kathleen Delaney

Social commerce applications bring word of mouth marketing and peer to peer sales to social media. FONU2 announced that it is creating a social commerce application specifically for Facebook's phones. This tool will change both social media and online commerce.

How the FONU2 App Changes Online Commerce

Facebook is the 2,000-pound gorilla of the Internet. There are people who spend hours a day on the website. eBay, an online marketplace, is one of the few sites as "sticky" as Facebook. If consumers who now browse Facebook for family updates, economic news, political debates and games can now shop through FONU2, Facebook could potentially become the only site consumers need to visit.

Even if consumers visit other sites, Facebook can grow its online sales. Furthermore, Facebook will gain more attention from marketers and salespeople who currently focus on whether their websites are tailored to Google's latest SEO rules or have high Amazon sales rankings. Millions of small businesspeople who avoid Facebook could be lured back because of the potential of selling newsletters, advice and products through the FONU2 social commerce app as they discuss their products and services on Facebook. The FONU2 app will probably become part of the Facebook page of millions of businesses, directly improving sales in the way Facebook ‘likes’ correlate to market recognition.


How the FONU2 App Changes Social Media

Social commerce apps are potentially profitable revenue sources, but they face a marketplace with constantly changing consumer preferences. The marketplace itself is challenging, because there are so many competing applications. FONU2's social commerce app becomes a standard for Facebook users, since it will be the standard tool for Facebook phones. It could also become the social commerce tool for millions of users.

Benefits for Facebook

It is difficult to imagine Facebook not receiving a cut of all sales through the FONU2 social commerce app. This would be a brand new revenue source. Facebook can also use the FONU2 social commerce app to promote its main income source: advertising. Facebook could sell more mobile ads or charge higher rates if it can show that the FONU2 app is leading to far more sales, since customers can buy what they see through the new app immediately.

Benefits for FONU2

FONU2's biggest benefit is the market presence that comes from partnering from Facebook. FONU2 will become the default social commerce app for millions of Facebook phone customers and many online users. Simply by teaming up with Facebook, it gains access to one of the largest online communities and an organization that will promote it to those users. All FONU2 has to do is deliver a good product and tweak it according to Facebook's requests.

FONU2 gains immediate market share and income from teaming up with Facebook. Facebook benefits from the merger with potentially more users, greater advertising income and future income streams. Consumers could benefit long term from a standardized social commerce application. With this merger, FON2U could become the industry standard for this type of application.

Edited by Alisen Downey

http://www.mobilecommerceinsider.com/topics/mobilecommerceinsider/articles/354289-fonu2-app-changes-social-media-commerce.htm