By: David M. LewisSource: The Hollywood ReporterDecember 29, 2018 | 11:42:20″There’s a lot of people who are buying a lot more of things on Facebook.
They’re buying a bunch of gift cards and they’re buying lots of things like movie tickets and gift cards,” says Mark Wachter, senior market analyst at IBISWorld.
“They’re really looking for ways to maximize their earnings from Facebook, which is a good time to do that.”
Wachter says that, like many retailers, you can see Facebook sales as a percentage of revenue.
For example, if Facebook sells 30% of your business in a given quarter, that’s about 30% sales on Facebook per quarter.
For businesses with multiple brands, the figures are different, but for smaller businesses that have only one brand, he says.
In fact, the company is trying to make the sales of gift card purchases more appealing to its customers.
“We’re going to have more ways for people to spend money on Facebook than we have for retailers,” says Wachters.
“It’s just a lot easier for them to buy things on their own.”
“You could probably get away with it if you’re doing a lot less,” he adds.
“You don’t need to spend a lot.”
Wichter says people who want to do some Christmas shopping, for example, can still spend their money on things like gifts for family or friends.
But he says it’s a better idea to spend that money on gift cards, since the company doesn’t charge for them.
“They’re not going to pay you for them,” Wachts says.
“I think it’s just about the ease of buying something that’s less expensive than what you’d pay for a regular item.”
There are other ways to spend your holiday money, of course.
“If you’re just looking for a good deal on your next trip, I think that’s probably going to be the thing you’re looking at the most,” Wichters says.
He says if you want to make sure you have a good selection of gifts for the holidays, you could look at Amazon or Walmart for gift cards.
“Amazon and Walmart are probably the best places to go for those, because they’ll usually have something that is really cheap, but also have a lot that you can’t get on Amazon,” he says, adding that he doesn’t think they’ll offer all of the best deals.
For example, you’ll likely see more discounts at Amazon if you are shopping on holiday, but you’ll also find a lot fewer Amazon deals on Thanksgiving and Christmas Day, says Wichter.
Wichters also points out that if you need to pay off some of your credit card debt, you’re going get a lot better deals.
“When you have more debt, the best way to go is to use the money to make your mortgage payments,” he explains.
“Amazon has a pretty good credit card program, but Walmart, Target and other retailers have a little bit of a different program.
They don’t have as much free cash flow, so they have a higher cost structure.
You’ll probably have more good deals there, but the prices will be cheaper.”
Wochters says you might also want to look at things like holiday travel and entertainment, because these types of purchases will be a big source of income for many businesses, and he recommends checking out some of the deals that are available on these sites.
“When you’re traveling, it’s easy to buy stuff on Facebook,” he said.
“There’s always the option of buying things that you might not need in your life, or maybe you have to buy something at a time when you need it.”
For more from Wachting, check out his post here.