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Study: Online retailers lagging on Facebook logins

September 11, 2012

Only 30 of the top 500 online retailers — or 6 percent — integrate Facebook with the core of their e-commerce site for user account creation, according to a study released today by Social Labs, titled “Log In with Facebook and the 2012 Internet Retailer Top 500.”

As The Next Web reports, the findings indicate that the Facebook plugin shows “an untapped opportunity area.” Adopting this social technology offers companies benefits including: “simplified account creation, elimination of required site-specific passwords, increased onsite personalization, richer CRM data and increased referral traffic from Facebook.”

The three main reasons that companies cited for resisting integration were technical barriers, perceived security concerns and the level of effort required for implementation.

Interestingly, the study’s conclusion observed, “the largest online retailers have been slower to adopt social technology, and log in with Facebook in particular, than the broader Web community.”

Social Labs believes that companies will overcome these concerns soon, and that Facebook will remain the dominant social log in option for online retailers in the future (over Twitter, Yahoo and Google).

However, The Next Web also noted the recent controversy surrounding the use of social plugins. While integration offers unprecedented opportunity to connect to customers, forcing users to log in with Facebook will likely cause a backlash. — Kyra Auffermann


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