Facebook abandons physical gifts and replaces with digital gift codes

Facebook is abandoning the sale of physical gifts from its Facebook Gifts service and will instead focus on digital gift cards and codes

The major redesign of Facebook Gifts, first reported by TechCrunch, will see a focus on digital gift codes and cards instead of physical gifts previously offered such as chocolate and wine.

Facebook's move towards digital gifts comes after reports that these types of gifts were 80% of Facebook Gifts sales as well as costing less to ship and produce.

The social network giant has announced that 10% of its U.S. user base will be able to see the redesigned Facebook Gifts.

The rest of the U.S. will have to wait for the redesign to slowly roll out over the next few weeks.

Read more: Facebook makes VIP app

A redesign will see Gifts receive its own marketplace landing page, as opposed to the overlaid window currently operating.

Facebook Gifts manager, Lee Linden says the move is to keep Gifts going, not to kill it off because the service is "definitely going up. It's been steadily going up since the beginning of the year and I think it will keep going up with this," TechCrunch reports.

Read more: Facebook starts charging users

The big sellers were gift credits for products and places such as Starbucks and iTunes while physical gifts were only attracting 20% of sales.

Facebook will use users personal information to suggest to friends approriate gifts for purchase e.g. from a friends' check-in.

Source: TechCrunch

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