With Facebook’s conversion of its Gifts offering to all-digital and elimination of physical gifts, announced last month, the social network unveiled a redesign of both the Gifts page and the pages for individual partners.
One of the main reasons behind the explosion of the gift-card industry is how easy it makes the process from both ends: The gift giver avoids the process of traveling to stores, choosing gifts, transporting them, wrapping them, and making sure they get to recipients; recipients, in turn, can choose exactly what they want to spend the amount of the card on, and they are spared the hassle of returning unwanted gifts. Logistical reasons also fueled Facebook’s decision to scrap physical gifts from its Gifts offering and shift its focus to its own gift card, the Facebook Card.
The payment platform behind the Facebook Card, plastic gift cards that hold all electronic gift cards users have received through the social network, introduced in January, received a different type of payment, as Marqeta Thursday announced the closing of $14 million in series-B funding.
Facebook jumped into the hard plastic gift card market in January with the Facebook Card, which allows you to spend and keep track of money used at places such as Sephora, Jamba Juice, and Olive Garden. We haven’t heard much about it lately, but it appears that Facebook has partnered with drugstore Rite Aid to sell more Facebook Cards.
Last week, Facebook entered the gift card market with the Facebook Card — a new addition to Facebook Gifts. Unlike other gift card options offered by Gifts, this is a plastic card that can be used at Target, Sephora, Jamba Juice, and Olive Garden. Noah Mallin, vice president of social media for brand agency Digitas, thinks that the Facebook Card could be a very powerful way that brands learn more about users’ spending habits, and it could also revolutionize mobile ads.