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Facebook to Get "Pro" Apps Thanks to Z-Commerce

Written by Sarah Perez / March 2, 2009 3:20 PM / 71 Comments

Are any application developers making money on Facebook? Not really, but they could be. According to Bruce Richardson of AMR Research, less than 2% of Facebook developers make any "real" money. Part of the problem is that Facebook has not had any decent e-commerce engine for monetizing applications - until now, that is. Instead, developers have had to rely on the advertising model, which isn't always a good fit for their type of application, nor is it all that effective. Z-Commerce, a new service launching today at DEMO 09, aims to address this problem. But the big question is this: are there any Facebook applications worth paying for?

Zuora, the company behind Z-Commerce, is a startup already familiar with subscription billing and payments services - it's their main business. And now with Z-Commerce, they've integrated their SaaS solution with the Facebook API to provide their services to Facebook developers. This opens the door for Facebook apps to "go Pro." In other words, application developers are provided with the infrastructure and tools to make their applications subscription-based services. With a Z-Commerce-enabled application, developers can implement a business model on Facebook similar to what we have on the iPhone today: free apps that prompt you to upgrade to the full, paid version.

z-commerce_screens.png

But there's still a small problem here. Most Facebook applications aren't worth paying for. "It's sort of the chicken and the egg scenario," says Zuora chief executive Tien Tzuo, "we're providing the chicken, but are hoping it will hatch an egg."

It's not as if there isn't potential for a paid application marketplace. Facebook hosts some 50,000 apps and there are more than 600,000 developers on the Facebook platform. The problem is that a good bit of these apps are time-wasters, games, trivia, quizzes, and other somewhat non-essential applications - hardly anything worth your hard-earned money.

Z-Commerce, though, can imagine all sorts of applications that could take advantage of this new e-commerce platform. We would love to see professional, useful applications such as they ones they've envisioned - things like LinkedIn Recruiting, Relationship Managers, and other imaginary - but exciting - application ideas.

To get the ball rolling, Zuora is launching a contest for which they're seeking five Facebook developers to be the very first to build a subscription-based application with Z-Commerce for Facebook. Selected developers will receive free access to Z-Commerce for Facebook for one year. For more details, visit http://developer.zuora.com/facebook.


Comments

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  1. (I can't think of any)

    Posted by: Sarah Perez Posted on FriendFeed   | March 2, 2009 3:52 PM



  2. None

    Posted by: M F Posted on FriendFeed   | March 2, 2009 3:56 PM



  3. They would have to pay me to reopen my account!

    Posted by: John D Reasor Posted on FriendFeed   | March 2, 2009 3:57 PM



  4. I agree with everyone

    Posted by: Shevonne Posted on FriendFeed   | March 2, 2009 3:57 PM



  5. None.

    Posted by: Mona N. Posted on FriendFeed   | March 2, 2009 3:58 PM



  6. the guys before me said it all

    Posted by: Dobromir Hadzhiev Posted on FriendFeed   | March 2, 2009 3:58 PM



  7. None.

    Posted by: Jennifer Dittrich Posted on FriendFeed   | March 2, 2009 3:59 PM



  8. *thinks* Nope, I got nothing.

    Posted by: Jandy Stone Posted on FriendFeed   | March 2, 2009 3:59 PM



  9. Absolutely none.

    Posted by: Rochelle Posted on FriendFeed   | March 2, 2009 4:00 PM



  10. none

    Posted by: Rob Michael Posted on FriendFeed   | March 2, 2009 4:00 PM



  11. It is answer ---> : )

    Posted by: Erhan Erdogan Posted on FriendFeed   | March 2, 2009 4:00 PM



  12. Would You Do Me?

    Posted by: sofarsoshawn Posted on FriendFeed   | March 2, 2009 4:01 PM



  13. NADA. NUNCA.

    Posted by: Far Posted on FriendFeed   | March 2, 2009 4:03 PM



  14. My Lil' Green Patch - I just couldn't live without that -[

    Posted by: Chris Loft Posted on FriendFeed   | March 2, 2009 4:05 PM



  15. None.

    Posted by: Helen Sventitsky Posted on FriendFeed   | March 2, 2009 4:07 PM



  16. BWAAAAAAAAAHAHAHAHAHA!!!!!!!

    Posted by: Rahsheen ™ Posted on FriendFeed   | March 2, 2009 4:08 PM



  17. Put them on the iPhone and I'll pay for some of 'em (already bought Scrabble) :)

    Posted by: Jason Kaneshiro Posted on FriendFeed   | March 2, 2009 4:08 PM



  18. By the way, I asked if this platform could enable external Facebook-Connect enabled sites to monetize and they said they would have to "look into that."

    Posted by: Sarah Perez Posted on FriendFeed   | March 2, 2009 4:13 PM



  19. @Jason: I think lots of people would pay for Scrabble if it went "Pro"

    Posted by: Sarah Perez Posted on FriendFeed   | March 2, 2009 4:14 PM



  20. The only app I'd pay for is one that annihilates all other FB apps.

    Posted by: Jonathon Posted on FriendFeed   | March 2, 2009 4:18 PM



  21. +1 Jonathon. But I'm afraid they'd actually start charging to get apps to leave you alone, and that wouldn't be cool.

    Posted by: Jandy Stone Posted on FriendFeed   | March 2, 2009 4:20 PM



  22. That's like asking me to pay for Facebook... I wouldn't. I suppose most of the teens and tweens will talk their parents into wasting money on something like Dopewars though.

    Posted by: Anrkist | March 2, 2009 4:32 PM



  23. In the early days of facebook I loved the applications. Was always finding new interesting ones and loved sharing them with my friends. Then something changed. They started spamming me. Application developers started making their application only usable by spamming your friends. Clearly not a cool thing to do. At this point I, and many of my friends, lost all hope in facebook applications. I now no longer use ANY facebook apps.

    For the idea of pro apps to work on facebook, facebook the company needs to re-examine the whole app architecture. (Maybe there is something to the Apple model of vetting each application?) Personally if done well applications on facebook are great additions. But sadly facebook doesn't appear to be that interested in them anymore

     Posted by: Ben Author Profile Page Posted on FriendFeed   | March 2, 2009 4:48 PM



  24. none

    Posted by: Duane Posted on FriendFeed   | March 2, 2009 10:10 PM



  25. none, nada, zero, and zilch are the only apps i can think of off the top of my head

    Posted by: chaz2b Posted on FriendFeed   | March 2, 2009 10:20 PM



  26. Uh, none!

    Posted by: Jeff P. Henderson Posted on FriendFeed   | March 2, 2009 10:21 PM



  27. maybe, if I had to, lexulous

    Posted by: Bryce Posted on FriendFeed   | March 2, 2009 10:21 PM



  28. They use the 'chicken & egg' analogy, but it seems like they have bought a Rooster...

    Posted by: Michael | March 2, 2009 10:29 PM



  29. I'm not even sure I would pay for Facebook itself. In fact, if it weren't for the enormous userbase and the fact that everyone I know refuses to use anything else, I'd be off of it already.

    Posted by: mike fabio Posted on FriendFeed   | March 2, 2009 10:35 PM



  30. Don't believe ppl will pay for FB apps

    Posted by: Bindu Reddy Posted on FriendFeed   | March 2, 2009 10:37 PM



  31. My prediction is Facebook is acquired by MSFT within 3 years. After that, Facebook will be like AOL. More open solutions will prevail.

    Posted by: Chris White Posted on FriendFeed   | March 2, 2009 10:39 PM



  32. Can't think of any off the top of my head.

     Posted by: Ron Author Profile Page | March 2, 2009 10:47 PM



  33. none of them

    Posted by: Michael McGimpsey Posted on FriendFeed   | March 2, 2009 10:57 PM



  34. None

    Posted by: Umut AYDIN | March 3, 2009 12:06 AM



  35. none

    Posted by: Eldon Posted on FriendFeed   | March 3, 2009 1:43 AM



  36. None. I find myself annoyed at all the throws and pokes. I prefer notes, status updates, and pics.

    Posted by: Ernie Oporto Posted on FriendFeed   | March 3, 2009 2:21 AM



  37. the one that would block all events notifications, pokes and apps invitations!

    Posted by: Sasha Kovaliov = ♂♥♫☺ Posted on FriendFeed   | March 3, 2009 2:29 AM



  38. I would consider paying facebook to .. wait .. what Sasha said :)

    Posted by: Mattb4rd Posted on FriendFeed   | March 3, 2009 2:44 AM



  39. I'd pay a lot to make facearse not exist. it's the worst webshite ever.

    Posted by: Joe Breen Posted on FriendFeed   | March 3, 2009 5:42 AM



  40. none, facebook is boring.

    Posted by: Thomas Hawk Posted on FriendFeed   | March 3, 2009 5:50 AM



  41. I would pay for an app that blocks all the bait & switch apps that use invite friends as a growth tool

    Posted by: mike "glemak" dunn Posted on FriendFeed   | March 3, 2009 5:55 AM



  42. would i own it or would facebook own it?

    Posted by: Alex Gawley Posted on FriendFeed   | March 3, 2009 5:59 AM



  43. None! But I'd think about it if one existed that would give the finger to old high school classmates that want to be friends now, yet back in the day wouldn't give me the time of day. That could be fun.

    Posted by: Ace Posted on FriendFeed   | March 3, 2009 5:59 AM



  44. None, thank you very much.

    Posted by: AJ Kohn Posted on FriendFeed   | March 3, 2009 6:03 AM



  45. None, I don't use that many as it is so I wouldn't start using them just because I'd have to pay.

    Posted by: Aaron Hood Posted on FriendFeed   | March 3, 2009 6:40 AM



  46. none

    Posted by: Peter Efland Posted on FriendFeed   | March 3, 2009 8:58 AM



  47. I wouldn't want to pay for ANY facebook app, it different thought if I were running on my computer or phone

    Posted by: Sebastiaan van den Akker Posted on FriendFeed   | March 3, 2009 9:02 AM



  48. None

    Posted by: Ryan Posted on FriendFeed   | March 3, 2009 9:23 AM



  49. I wouldn't pay for any.

    Posted by: Nicholas James Posted on FriendFeed   | March 3, 2009 9:54 AM



  50. I would never pay for facebook or apps there.

    Posted by: Frode Stenstrøm Posted on FriendFeed   | March 3, 2009 11:02 AM



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