ADDING VALUE TO MESSENGER
Facebook loves to keep almost everyone on their online services for as long as possible. And with the announcement of a new feature for Messenger that lets users send and receive money, it proves just that.
Available only for those in the US for now, the feature will let users add their debit card information in Messenger’s settings section and send payments by striking up a conversation with a friend, selecting the “$” icon and hitting “Pay.” The recipients will then be given the option of accepting the payment when prompted. For now, the company allows users to only add their debit card information, so as to minimise fraud and avoid fees.
For any Internet company, the longer people spend using their service, the better. With the new payments feature, Facebook is making a play to get users to do just that. According to eMarketer, adults in the US averaged 21 minutes per day on Facebook in 2014, the second-most trafficked site behind Google.
The advantages are quite a few. Higher engagement reduces the chances of Facebook users resorting to outside services that may be competition now or in the
For any Internet company, the longer people spend using their service, the better. With the new
payments feature, Facebook is making a play to get users
to do just that future. Also, given that mobile payments are fast-growing in popularity, entering the space is a safe bet for a player like Facebook. Intergrating payments into Messenger also has the potential to boost the standalone app’s utility.
While the mobile payments space is a crowded one with many established as well as emerging players, none of those services have Facebook’s potential reach. This looks to work in the company’s favour. Users, of course, may have concerns about sharing their banking information with the network, but Facebook assures that they shouldn’t worry. The software and equipment are PCI compliant, the same security standard applied to credit card transactions, and stored in a secure environment separate from the rest of Facebook. It also claims to have an antifraud team working round the clock.
The feature will roll out to Facebook users in the US across desktop, Android and iOS over the next few months.