Is anyone using Facebook Credits?
Do people trust Facebook with their credit card number?
We spoke with an insider who works with Facebook Credits and we came away favourably impressed.
Here’s what we learned (keep in mind this is gossip from one person — who is in the industry and so has an incentive to be bullish):
- The gossip around the industry is that 200 million people have used Facebook Credits at least once. When Facebook launched Credits they gave each user 25 credits to seed the platform. Given that PayPal, over 10 years after launching, has 100 million active users, 200 million total users, even including inactive, is a staggering number.
- Credits are only going to get bigger. There are only going to be more reasons to use Facebook Credits. It’s not just games anymore but things like movie rentals, and Facebook’s groupon-like Deals platform. And starting July 1st, Credits will be the only payments platform allowed on Facebook.
- If people have a problem giving Facebook their credit card number, it’s certainly less of a problem than giving it to some social games company or some third party, which is what it was before.
- Facebook is NOT going to go directly after PayPal and build an off-Facebook payments service, the person said, simply because their payments team right now is very small and they’ve got a bunch of things to get right on their platform before they can look at the rest of the web. (This is basically the same reason why they’re not doing an ad network.)
So it looks like Credits are going to be another money-spinner for Facebook.
Don’t Miss: The Escalating Payments War →
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