How Big a Threat Is Facebook to Amazon?
Feb 21st 2013 8:35PM
Updated Feb 21st 2013 10:00PM
As if Amazon.com didn't already have enough tough-knuckled competitors, now Facebook may soon introduce new feeds for books, movies, and fitness apps. It's as if the social network wants to replicate its success with Zynga in other industries.
For those who don't know, Zynga accounted for about 9% -- or roughly $458 million -- of Facebook's revenue last year.
Partnerships chief Dan Rose teased the idea of creating more such partners at last week's D: Dive Into Media conference. "We think this is going to be the year of movies, books and fitness," Rose said during an interview. Activity in each area could be fed into a distinct stream for sharing with friends and followers, and perhaps encouraging add-on purchases.
Will the strategy pay off? How would Amazon respond to this sort of social commerce? Tim Beyers, of Motley Fool Rule Breakers and Motley Fool Supernova, addresses these questions and more in the video below. Please watch, and then be sure to leave a comment to let us know what you think.
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The article How Big a Threat Is Facebook to Amazon? originally appeared on Fool.com.Fool contributor Tim Beyers is a member of the Motley Fool Rule Breakers stock-picking team and the Motley Fool Supernova Odyssey I mission. He didn't own shares in any of the companies mentioned in this article at the time of publication. Check out Tim's web home and portfolio holdings or connect with him on Google+, Tumblr, or Twitter, where he goes by @milehighfool. You can also get his insights delivered directly to your RSS reader.The Motley Fool owns shares of Facebook and Amazon.com. The Fool has bought calls on Facebook. Motley Fool newsletter services have recommended buying shares of Amazon.com and Facebook. The Motley Fool has a disclosure policy. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. Try any of our Foolish newsletter services free for 30 days.
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