Facebook Marketplace vs Facebook Shops! (Which one's better?)

so facebook marketplace or facebook shops which one is better well in this video we'll compare the two and answer that question what's up everyone paul here from dropshippingtitans. com where i teach regular people just like you how to start your first successful drop shipping store now there are really two ways that you can sell products dropship products onto facebook you can use facebook marketplace and work with it directly or you can use facebook shops so in this video i want to explain the differences between the two and find out which one will be better for you now the first thing i want to talk about is how customers are actually going to find your items and where those items will be listed now right here i'm on facebook marketplace so if i search for something like comforter then you're going to see listings from many different sellers hundreds of sellers here selling comforter sets so this is kind of good and bad it's good because this is where all the customers are marketplace is great because we are literally listing up products in a place where millions of customers come every single day and we get access to all those customers for free just by selling our products on facebook marketplace of course the downside of that is that you're also in competition with other sellers here as well so that's different from facebook shops because with a shop this is what a shop looks like all these products are owned by one person or one business so if i purchase anything on this page that one person will make the sale and make money from it now the downside of this shop right here is that if this person wants someone to come to this page come to the shop and actually purchase something they're going to have to pay for advertising to get someone here on this shop it's a lot different than marketplace where the customers already are luckily facebook made a change recently that has made shops a lot more powerful because what happens now is if you have products in a facebook shop just like this person has right here those products can be pushed to facebook marketplace so they're also available in marketplace so check this out right here these are a bunch of listings here on marketplace but if i open this first one on the top left you'll see that this item is being sold by this shop right here this is the item right here at the top and here it is on marketplace so all this person did was listed up for sale in their shop and facebook pushed it to facebook marketplace so this is a win for both camps right now because both of them allow you to sell directly on facebook marketplace which is exactly where we want to be the second thing i want to talk about is how we get our items onto facebook marketplace using these two different methods so let's say we have an item right here that we want to sell the type of drop shipping that i do on facebook marketplace i drop shipped from other retail websites like walmart. com so i found this item right here that i really want to list up for sale and marketplace now if i'm just selling directly onto facebook marketplace this is super easy to do and very straightforward all i'm going to do is click here on the left where it says create new listing choose an item for sale then i just have to copy over the photos copy over the title make it better increase the price and copy and paste the description or i actually have a chrome extension that does all that for me in just a matter of seconds just like that so very straightforward very easy to do with a chrome extension or even just copying and pasting with shops what we have to do is first add the products to our facebook shop and then have facebook push those products to facebook marketplace so there's kind of an extra step involved there but again both the products end up in the same place so which one of these is easier when it comes to adding products before we can answer that we have to go to the next topic which is software and how software works with each of these different methods now i already showed you the chrome extension that i developed that allows us to quickly list items onto facebook marketplace directly from other suppliers websites and that software that chrome extension works really well but with facebook shops we see something that's kind of at the next level so here i am inside my commerce manager for one of my facebook shops and i'm trying to add an item there's a few different ways you can add items but one of them is using something called a data feed i'm not going to spend a lot of time getting into what a data feed is all you need to know is that you can connect software to facebook using a data feed that allows you to quickly list up a ton of items very fast and then if those items go out of stock on walmart or if the price changes on walmart that software can detect it and make those changes on facebook through this data feed for you instantly you don't need your computer on it all runs in the background so when using software with facebook marketplace directly yes we have software but a lot of it's just chrome extensions kind of workarounds because facebook doesn't really have a way to connect software

directly with facebook marketplace but as you see right here software is able to connect directly to a facebook shop so in this category i think the winner here is facebook shops software works a lot better with shops than it does with straight facebook marketplace and as a result of that it is easier to add items directly to a facebook shop than it is with marketplace so far that's two points for facebook shops and zero for facebook marketplace now before we move on to the next comparison i want to let you all know that this week i'm hosting a free facebook marketplace drop shipping and facebook shops training so if you want to check that out click the first link down below and get registered for the free masterclass it won't be too long but i'll go really in depth tell you guys a lot about how marketplace and all this new shop stuff is working as well now the fourth thing i want to talk about may not seem that important to a lot of you but it's very important to me and i think it should be important to you as well when you're selling directly onto facebook marketplace you are only allowed to sell as yourself as an individual when you sell through a facebook shop you set the whole thing up as a business i think this is very important because i'm always trying to keep my personal assets separate from my business assets and with shops it allows me to do that i'm selling as my business as my llc under my ein number and not under my own social security number so i really like that i like keeping that all separate and facebook shops allows us to do that while selling directly on facebook marketplace you're not allowed to do that all right let's get a little bit more into the weeds here so when you start selling on facebook marketplace and you start making sales and fulfilling your orders and getting your tracking numbers you're going to find that when you try to upload those tracking numbers to facebook only allows you to use one of three different carriers usps fedex or ups now usually that's fine that's what most suppliers use for their carriers but some suppliers will use other carriers that aren't mentioned here and this is where shops wins yet again when you're selling with shops and you go to upload a tracking number there are so many different carriers available many of them so many you probably haven't even heard of so this helps you with your valid tracking rate so to speak really helps you as a seller just give you more options when it comes to carriers because those are the ones that your suppliers are using anyway moving along let's talk about scaling up our business by using virtual assistants so virtual assistants are individuals that you hire that are usually from another country where the cost of living there is lower so i hire all my virtual assistants from the philippines where i can usually pay them a lower wage than i would an employee here in the united states it's a livable wage for them it's a fair wage for them but it's also a wage that i can afford to pay my virtual assistance and still have a profitable business now one of the challenges with using facebook marketplace is that because you're selling as an individual the way you log into marketplace is through your facebook profile so if you want to give a virtual assistant access to your marketplace account to have them help you run your marketplace business you have to give them access to your facebook account and personally i never liked doing that even though i did end up doing it shops allows you to give limited access to different employees or virtual assistants so coming in here again inside the commerce manager i can add people enter their email address and choose what kind of permissions i want to give them do i only want them to be able to help me manage orders add products i can do that and not give them access to anything else this is so helpful for us business owners that want to scale up that want to use virtual assistants and now we can do it with facebook shops another place where facebook shops really outshines marketplace is with your selling insights i would call them so here on facebook marketplace you'll see you don't get too much information as to how well your store is doing i could see my seller rating right here they'll tell me what people say i do well that's it there's not a ton of information they give you but on facebook shops you get a ton of information over here in insights i can see how well my store is performing in terms of sales and purchases and views and visitors and all that information i can see items in my store i can see exactly who's buying from me the demographics of everyone and inside of account health i can see exactly how well my store's doing they can tell me oh yes you're doing really well here or you're not doing well or this is what you need to improve on or this is where you're struggling and you need to improve this or else something might happen to your account that sort of insight is exactly what we want as sellers and shops gives it to us now there's two more i want to talk about and the last one is very important but so is this one what i want to talk about right now is very much an opinion but i think it's an opinion that's based on a lot of evidence and a lot of facts so

the question is which one makes more sales you would think it doesn't make a difference the products are ending up in the same place they all end up on facebook marketplace and that's where the sale actually happens so you would think that if you have the same number of listings even if they were the same listings that you would make equal number of sales whether you had straight facebook marketplace or using facebook shops but that's not what we're seeing everyone i've talked to who has started on the facebook marketplace and then has started to use facebook shops says the same thing as soon as they start using facebook shops their sales increase now we can speculate as to why that is i personally think it's because facebook favors the more professional seller and they see shops as more professional sellers whether that's exactly why it happens who knows but everyone says the same thing with shops you see more sales than you do if you're selling directly on facebook marketplace but there's one final thing we have to talk about which is which one of these is more difficult to set up going to be harder now selling on facebook marketplace as i showed you is so super simple you find a product on walmart click create a listing copy and paste it all over use a chrome extension that's it it's now listed very simple to get started with it as long as you have a facebook profile you're good to go facebook shops on the other hand have a lot more steps involved and very confusing steps because facebook doesn't tell you this is exactly what you need to do to create a shop they just don't provide that information so we have to figure it out for ourselves and we have and we know that there are many steps involved and that things can go wrong along the way facebook might not always accept you they have to approve your shop and they don't approve everyone's shops so it is much harder with shops than it is to sell directly on facebook marketplace so what i've done recently is for all the students inside my facebook marketplace dropshipping course i've created a whole new mini course all about how to use facebook shops and i'm giving that to all my students inside my facebook course for free now a lot of them have been asking me which one should they do facebook marketplace or facebook shops so my recommendation is this do both at the same time when you start selling you want to sell directly on facebook marketplace because it's so easy you're going to get the quick wins you're going to start making sales with it very fast because you're able to get it all set up fast but you don't want to waste that time not getting shops set up shops does take time because there are many steps so start the process get the ball rolling on that also use that time to make sales with basic marketplace the skills you learn doing that can be transferred over to facebook shops so do both at the same time and hey once you get shops up and running and it's working for you if you like it better which i think you will then you can go ahead if you want stop selling on facebook marketplace directly and then just concentrate on facebook shops which is what we're seeing a lot of people do all right so one final reminder that i'm hosting that free training later this week all about facebook marketplace drop shipping and how to use facebook shops for drop shipping so if you're kind of curious how this whole thing works you're thinking about leveling up from marketplace to shops or looking to start and trying to figure out which one you want to do or if this is the right thing for you definitely check out this training i'll have it linked up down below the first link register and i'll see you guys there otherwise if you enjoyed this video i would appreciate if you guys gave the video a big thumbs up and subscribe to the channel for more free content all about drop shipping facebook marketplace and facebook shops thanks so much for checking out the video see you guys next time