Facebook Inc introduced gift cards on Thursday that consumers can use at
Target Corp and a handful of other businesses in the social network's
latest move into the retail market.
Consumers in the United States can
buy the cards for their Facebook friends and choose from four different
businesses: Target, LVMH Moet Hennessy Louis Vitton SA's Sephora, Jamba
Inc's Jamba Juice and Darden Restaurants Inc's Olive Garden.
A card can hold multiple gift balances, each dedicated to a specific retailer, Facebook said.
world's No. 1 social network, with more than one billion users,
Facebook is gradually offering more retail services, though it relies on
advertising for the bulk of its revenue.
Last year, it launched a
feature that allows users to send retail goods, such as sunglasses and
pastries, to their friends on the social network.
Chief David Ebersman tempered expectations about the new gifts business
in its quarterly earnings conference call with analysts on Wednesday.
Facebook believes online commerce has "long-term potential," the
current revenue from such efforts is very small and will remain so
throughout the year, said Ebersman.
Shares of Facebook fell 13 cents at $31.10 in mid-day trading.
© Thomson Reuters 2013