Facebook trying to compete with Groupon and Amazon Local

Starting Tuesday, Facebook is releasing Deals as a ?test? in five cities: Atlanta, Austin, Dallas, San Diego and San Francisco. The company, which has more than 600 million members, said it hoped that its ability to tap directly into the communications and activities of networks of friends will help it offer a more compelling service than rivals. It will be easy to share deals with friends, see when a friend buys something and find offers that your friends are interested in, said Emily White, Facebook?s director for local. Facebook will focus on offers for things that are best done with friends, like concerts or events, she said.
?You can receive Facebook deals via e-mail,? she said. ?But if there is a deal that is good for you, it will likely show up in your news feed at some point in the day.?
Most of the sites you can get deals from let you link the deals to Facebook but this would be more of the actual site getting these deals as aposed to sharing via Groupon or Living Social. This is going to be another way for Facebook to increase revenue streams, with the movie rental testing seemingly going well, it is no doubt that if Facebook has the right amount of deals, people will pay for them.

 

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