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Problem:Article: EBay will launch an online group gift-buying service today designed to make it easier for several people to chip in, buy and pay for gifts using their social-network and e-mail contacts. EBay North America Vice President Christopher Payne says it is going to be a major step forward in social commerce, which is the still-small practice of selling products through social networks.Online retail experts aren't as certain, but eBay says the new tool makes it easier for friends and relatives to chip in for gifts because it eliminates the headache of collecting contributions.It can also be used for family members to pitch in to buy, say, an expensive child seat for a mother. Anything on eBay that's available immediately, rather than up for bid, can be purchased this way starting today atgroupgifts.eBay.com.If members of an extended family wanted to buy a gift for one member, one person would choose a gift -- or have one recommended by eBay -- and invite family members to chip in using Facebook or e-mail.Those who wanted to join in would choose an amount to contribute (or agree to pay a requested amount) and pay using either PayPal or a credit card.They could also add a personal note. If enough people don't chip in, the organizer can ask people to contribute more or choose a less expensive gift. "I see myself using this most in cases when I typically might not buy someone what they want because of price," says Nitzan Shaer of Boston, who was part of an online test of the site. EBay, with its 200 million products, millions of sellers and mobile commerce proficiency, is a logical place to pull together the products, groups of buyers and payment tools, Payne says. At least 12 sites, such as FrumUs.com and eDivvy.com, facilitate (,) group purchases but don't sell products.Although a handful of retailers, including Victoria's Secret and 1-800-Flowers, sell products through Facebook, Payne says he expects social commerce will take off as rapidly as shopping using mobile devices.EBay did more than $600 million in sales on mobile devices last year and expects mobile sales to increase to $1.5 billion this year. Although one in five consumers surveyed said they'd used Facebook for shopping in the past year, 88% said they would not be buying holiday gifts through a social network, mobile phone or smartphone.Of these, 26% were reluctant because of security or privacy concerns, and 20% were unclear about the benefits of using phones or Facebook to shop.
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